Novartis Ag Adr Stock Buy Hold or Sell Recommendation

NVS Stock  USD 109.06  0.05  0.05%   
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Novartis AG ADR is 'Strong Buy'. A buy or sell recommendation is an automated directive regarding whether to purchase or sell Novartis AG ADR given historical horizon and risk tolerance. When we issue a 'buy' or 'sell' recommendation for Novartis AG ADR, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Novartis Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
Note, we conduct extensive research on individual companies such as Novartis and provide practical buy, sell, or hold advice based on investors' constraints. Novartis AG ADR. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in real.

Execute Novartis Buy or Sell Advice

The Novartis recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Novartis AG ADR. Macroaxis does not own or have any residual interests in Novartis AG ADR or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Novartis' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell NovartisBuy Novartis
Strong Buy

Market Performance

GoodDetails

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Barely shadows the marketDetails

Investor Sentiment

ImpartialDetails

Analyst Consensus

HoldDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon Novartis AG ADR has a Risk Adjusted Performance of 0.1122, Jensen Alpha of 0.1833, Total Risk Alpha of 0.3174, Sortino Ratio of 0.2139 and Treynor Ratio of 0.5643
Macroaxis provides trade recommendations on Novartis AG ADR to complement and cross-verify current analyst consensus on Novartis. Our advice engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Novartis AG ADR is not overpriced, please verify all Novartis AG ADR fundamentals, including its cash flow from operations, and the relationship between the cash and equivalents and beta . Given that Novartis AG ADR has a price to book of 4.89 X, we recommend you to check Novartis market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Novartis Trading Alerts and Improvement Suggestions

Novartis Returns Distribution Density

The distribution of Novartis' historical returns is an attempt to chart the uncertainty of Novartis' future price movements. The chart of the probability distribution of Novartis daily returns describes the distribution of returns around its average expected value. We use Novartis AG ADR price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Novartis returns is essential to provide solid investment advice for Novartis.
Mean Return
0.16
Value At Risk
-2.12
Potential Upside
2.25
Standard Deviation
1.31
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Novartis historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Novartis Stock Institutional Investors

The Novartis' institutional investors refer to entities that pool money to purchase Novartis' securities or originate loans. These institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds.
Shares
Goldman Sachs Group Inc2024-12-31
2.3 M
Cullen Capital Management, Llc2024-12-31
2.2 M
Northern Trust Corp2024-12-31
2.1 M
Fisher Asset Management, Llc2024-12-31
M
Blackrock Inc2024-12-31
M
Envestnet Asset Management Inc2024-12-31
1.9 M
Wells Fargo & Co2024-12-31
1.9 M
Ubs Group Ag2024-12-31
1.7 M
State Street Corp2024-12-31
1.6 M
Dodge & Cox2024-12-31
12.2 M
Primecap Management Company2024-12-31
11 M
Note, although Novartis' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Novartis Cash Flow Accounts

202020212022202320242025 (projected)
Change In Cash(1.5B)2.7B(4.9B)5.9B(1.9B)(1.8B)
Free Cash Flow11.1B12.1B11.6B11.7B13.8B9.3B
Depreciation6.5B6.1B7.2B8.3B6.1B4.3B
Other Non Cash Items(3.1B)(18.2B)(1.1B)(3.4B)(2.4B)(2.5B)
Capital Expenditures2.6B3.0B2.7B2.8B3.8B2.7B
Net Income8.1B24.0B7.0B8.6B11.9B8.9B
End Period Cash Flow9.7B12.4B7.5B13.4B11.5B7.9B
Change To Inventory(543M)81M(830M)(546M)(225M)(236.3M)
Dividends Paid7.0B7.4B7.5B7.3B7.6B5.2B
Investments(13.2B)6.8B1.5B5.9B(7.5B)(7.1B)
Net Borrowings(5.0B)7.1B(6.0B)(2.6B)(2.3B)(2.2B)
Change To Netincome(2.1B)2.8B(13.5B)3.7B3.3B3.5B

Novartis Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Novartis or Pharmaceuticals sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Novartis' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Novartis stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
0.18
β
Beta against Dow Jones0.27
σ
Overall volatility
1.32
Ir
Information ratio 0.20

Novartis Volatility Alert

Novartis AG ADR has relatively low volatility with skewness of 0.11 and kurtosis of 1.46. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Novartis' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Novartis' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Novartis Fundamentals Vs Peers

Comparing Novartis' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Novartis' direct or indirect competition across all of the common fundamentals between Novartis and the related equities. This way, we can detect undervalued stocks with similar characteristics as Novartis or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Novartis' fundamental indicators could also be used in its relative valuation, which is a method of valuing Novartis by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Novartis to competition
FundamentalsNovartisPeer Average
Return On Equity0.26-0.31
Return On Asset0.1-0.14
Profit Margin0.23 %(1.27) %
Operating Margin0.30 %(5.51) %
Current Valuation233.69 B16.62 B
Shares Outstanding1.98 B571.82 M
Shares Owned By Institutions6.76 %39.21 %
Number Of Shares Shorted5.04 M4.71 M
Price To Earning9.22 X28.72 X
Price To Book4.89 X9.51 X
Price To Sales4.17 X11.42 X
Revenue51.72 B9.43 B
Gross Profit38.91 B27.38 B
EBITDA20.71 B3.9 B
Net Income11.94 B570.98 M
Cash And Equivalents4.64 B2.7 B
Cash Per Share8.84 X5.01 X
Total Debt31.26 B5.32 B
Debt To Equity0.47 %48.70 %
Current Ratio1.31 X2.16 X
Book Value Per Share22.30 X1.93 K
Cash Flow From Operations17.62 B971.22 M
Short Ratio2.17 X4.00 X
Earnings Per Share5.87 X3.12 X
Price To Earnings To Growth3.26 X4.89 X
Target Price108.96
Number Of Employees75.88 K18.84 K
Beta0.49-0.15
Market Capitalization215.56 B19.03 B
Total Asset102.25 B29.47 B
Retained Earnings49.65 B9.33 B
Working Capital1.01 B1.48 B
Current Asset22.84 B9.34 B

Novartis Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Novartis . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Novartis Buy or Sell Advice

When is the right time to buy or sell Novartis AG ADR? Buying financial instruments such as Novartis Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Novartis in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Single Stock ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Single Stock ETFs theme has 136 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Single Stock ETFs Theme or any other thematic opportunities.
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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.