Novartis AG (NYSE:NVS) Receives Average Recommendation of “Reduce” from Analysts

Shares of Novartis AG (NYSE:NVS) have earned an average rating of “Reduce” from the nine analysts that are currently covering the stock, Marketbeat Ratings reports. One research analyst has rated the stock with a sell recommendation and eight have given a hold recommendation to the company. The average 12 month target price among brokerages that have covered the stock in the last year is $121.50.

A number of analysts recently issued reports on the stock. Bank of America downgraded shares of Novartis from a “buy” rating to a “neutral” rating and decreased their price objective for the stock from $135.00 to $130.00 in a report on Wednesday, September 11th. The Goldman Sachs Group reaffirmed a “neutral” rating and issued a $121.00 price target (up previously from $119.00) on shares of Novartis in a report on Thursday, September 5th. Jefferies Financial Group lowered Novartis from a “buy” rating to a “hold” rating in a report on Tuesday, September 3rd. Erste Group Bank reaffirmed a “hold” rating on shares of Novartis in a research report on Tuesday, November 19th. Finally, BMO Capital Markets lifted their price objective on Novartis from $118.00 to $120.00 and gave the stock a “market perform” rating in a report on Wednesday, October 30th.

Novartis Price Performance

Shares of NYSE NVS opened at $105.77 on Friday. The company has a quick ratio of 0.90, a current ratio of 1.11 and a debt-to-equity ratio of 0.55. The company has a market capitalization of $216.19 billion, a PE ratio of 12.28, a PEG ratio of 1.51 and a beta of 0.58. The stock’s 50 day moving average price is $110.72 and its 200-day moving average price is $110.18. Novartis has a twelve month low of $92.35 and a twelve month high of $120.92.

Novartis (NYSE:NVS) last announced its quarterly earnings data on Tuesday, October 29th. The company reported $2.06 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.94 by $0.12. The firm had revenue of $12.82 billion during the quarter, compared to the consensus estimate of $12.62 billion. Novartis had a return on equity of 34.80% and a net margin of 35.96%. During the same quarter in the prior year, the company earned $1.74 EPS. On average, equities analysts anticipate that Novartis will post 7.66 EPS for the current year.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the stock. New Millennium Group LLC bought a new stake in shares of Novartis during the second quarter valued at about $28,000. Legacy Investment Solutions LLC bought a new stake in Novartis during the 3rd quarter worth approximately $28,000. Lynx Investment Advisory purchased a new stake in Novartis in the 2nd quarter worth approximately $29,000. Industrial Alliance Investment Management Inc. purchased a new stake in Novartis in the 2nd quarter worth approximately $30,000. Finally, Richardson Financial Services Inc. purchased a new position in shares of Novartis during the 2nd quarter valued at $30,000. Institutional investors own 13.12% of the company’s stock.

About Novartis

Novartis AG engages in the research, development, manufacture, and marketing of healthcare products in Switzerland and internationally. The company offers prescription medicines for patients and physicians. It focuses on therapeutic areas, such as cardiovascular, renal and metabolic, immunology, neuroscience, and oncology, as well as ophthalmology and hematology.