Erste Group Bank Lowers Earnings Estimates for Novartis

Novartis AG (NYSE:NVS) – Equities research analysts at Erste Group Bank cut their FY2027 EPS estimates for shares of Novartis in a research note issued to investors on Wednesday, March 4th. Erste Group Bank analyst H. Engel now forecasts that the company will earn $9.76 per share for the year, down from their prior estimate of $9.80. The consensus estimate for Novartis’ current full-year earnings is $8.45 per share.

A number of other brokerages have also recently weighed in on NVS. HSBC reissued a “reduce” rating and set a $112.00 target price on shares of Novartis in a report on Wednesday, December 10th. Citigroup reaffirmed a “buy” rating on shares of Novartis in a research report on Thursday, February 5th. JPMorgan Chase & Co. upgraded shares of Novartis from a “neutral” rating to an “overweight” rating in a research note on Monday, December 8th. Bank of America raised shares of Novartis from a “neutral” rating to a “buy” rating in a report on Tuesday, November 25th. Finally, Weiss Ratings raised Novartis from a “buy (b)” rating to a “buy (a-)” rating in a report on Friday, February 6th. Two research analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, six have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $119.75.

Novartis Stock Performance

Shares of NVS opened at $160.21 on Monday. The stock has a market capitalization of $338.43 billion, a PE ratio of 22.38, a price-to-earnings-growth ratio of 2.45 and a beta of 0.49. The business’s fifty day moving average price is $152.44 and its 200 day moving average price is $137.30. The company has a debt-to-equity ratio of 0.60, a current ratio of 1.12 and a quick ratio of 0.89. Novartis has a 12-month low of $97.71 and a 12-month high of $170.46.

Novartis (NYSE:NVS) last posted its quarterly earnings results on Wednesday, February 4th. The company reported $2.03 EPS for the quarter, topping analysts’ consensus estimates of $1.99 by $0.04. The business had revenue of $13.86 billion during the quarter, compared to the consensus estimate of $13.85 billion. Novartis had a return on equity of 40.53% and a net margin of 25.65%.The company’s revenue for the quarter was up 1.4% compared to the same quarter last year. During the same period last year, the firm earned $1.98 earnings per share.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of NVS. Arlington Trust Co LLC acquired a new stake in Novartis in the fourth quarter worth about $25,000. CrossGen Wealth LLC bought a new stake in shares of Novartis during the 4th quarter worth about $28,000. Legacy Investment Solutions LLC bought a new stake in shares of Novartis during the 2nd quarter worth about $30,000. Valley Wealth Managers Inc. acquired a new stake in shares of Novartis in the 3rd quarter worth approximately $31,000. Finally, Bank of Jackson Hole Trust boosted its holdings in shares of Novartis by 425.0% in the fourth quarter. Bank of Jackson Hole Trust now owns 231 shares of the company’s stock valued at $32,000 after acquiring an additional 187 shares in the last quarter. Institutional investors own 13.12% of the company’s stock.

Novartis Announces Dividend

The company also recently announced an annual dividend, which will be paid on Monday, March 16th. Shareholders of record on Wednesday, March 11th will be paid a dividend of $4.773 per share. This represents a yield of 312.0%. The ex-dividend date of this dividend is Wednesday, March 11th. Novartis’s payout ratio is presently 36.31%.

Novartis Company Profile

Novartis is a Swiss multinational pharmaceutical company headquartered in Basel that researches, develops, manufactures and commercializes prescription medicines and related health-care products. Formed through the 1996 merger of Ciba-Geigy and Sandoz, Novartis operates globally and focuses on bringing therapeutics from discovery through clinical development to commercial markets worldwide.

The company’s activities center on innovative pharmaceuticals across several therapeutic areas, including oncology, immunology, cardiovascular and metabolic diseases, neuroscience and ophthalmology, alongside capabilities in advanced therapies such as biologics, cell and gene therapies.