Novartis Valuation
| NOVN Stock | CHF 93.68 2.12 2.32% |
At this time, the firm appears to be fairly valued. Novartis AG secures a last-minute Real Value of ₣95.26 per share. The latest price of the firm is ₣93.68. Our model forecasts the value of Novartis AG from analyzing the firm fundamentals such as Profit Margin of 0.13 %, return on equity of 0.11, and Current Valuation of 194.1 B as well as examining its technical indicators and probability of bankruptcy.
Fairly Valued
Today
Please note that Novartis' price fluctuation is very steady at this time. Calculation of the real value of Novartis AG is based on 3 months time horizon. Increasing Novartis' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Novartis stock is determined by what a typical buyer is willing to pay for full or partial control of Novartis AG. Since Novartis is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Novartis Stock. However, Novartis' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 93.68 | Real 95.26 | Hype 93.68 | Naive 95.32 |
The intrinsic value of Novartis' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Novartis' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Novartis AG helps investors to forecast how Novartis stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Novartis more accurately as focusing exclusively on Novartis' fundamentals will not take into account other important factors: Novartis Total Value Analysis
Novartis AG is now anticipated to have takeover price of 194.1 B with market capitalization of 170.42 B, debt of 21.78 B, and cash on hands of 4.64 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Novartis fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
194.1 B | 170.42 B | 21.78 B | 4.64 B |
Novartis Investor Information
About 34.0% of the company shares are owned by institutional investors. The book value of Novartis was now reported as 28.0. The company last dividend was issued on the 9th of March 2023. Novartis AG had 5:6 split on the 3rd of October 2023. Based on the key indicators related to Novartis' liquidity, profitability, solvency, and operating efficiency, Novartis AG is not in a good financial situation at the moment. It has a very high risk of going through financial straits in December.Novartis Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Novartis has an asset utilization ratio of 44.13 percent. This indicates that the Company is making ₣0.44 for each dollar of assets. An increasing asset utilization means that Novartis AG is more efficient with each dollar of assets it utilizes for everyday operations.Novartis Ownership Allocation
Novartis AG maintains a total of 2.12 Billion outstanding shares. 30% of Novartis outstanding shares are owned by institutional investors. Institutional investors are typically referred to investors that purchase positions in a given stock to benefit from reduced commissions. Consequently, institutional investors are subject to different rules and regulations than regular investors. Please look out for any change in current institutional holding as this could mean something significant has changed at the company or is about to change. Please note that no matter how many assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.Novartis Profitability Analysis
The company reported the revenue of 51.83 B. Net Income was 6.96 B with profit before overhead, payroll, taxes, and interest of 36.74 B.About Novartis Valuation
Our relative valuation model uses a comparative analysis of Novartis. We calculate exposure to Novartis's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Novartis's related companies.Novartis AG researches, develops, manufactures, and markets healthcare products worldwide. The company was incorporated in 1996 and is headquartered in Basel, Switzerland. NOVARTIS N operates under Drug ManufacturersGeneral classification in Switzerland and is traded on Switzerland Exchange. It employs 108000 people.
8 Steps to conduct Novartis' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Novartis' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Novartis' valuation analysis, follow these 8 steps:- Gather financial information: Obtain Novartis' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Novartis' revenue streams: Identify Novartis' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Novartis' industry and market trends, including the size of the market, growth rate, and competition.
- Establish Novartis' growth potential: Evaluate Novartis' management, business model, and growth potential.
- Determine Novartis' financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Novartis' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Novartis Stock Analysis
When running Novartis' price analysis, check to measure Novartis' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Novartis is operating at the current time. Most of Novartis' value examination focuses on studying past and present price action to predict the probability of Novartis' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Novartis' price. Additionally, you may evaluate how the addition of Novartis to your portfolios can decrease your overall portfolio volatility.