Erste Group Bank Predicts Weaker Earnings for Novartis

Novartis AG (NYSE:NVS) – Equities researchers at Erste Group Bank reduced their FY2026 EPS estimates for shares of Novartis in a research report issued on Thursday, April 2nd. Erste Group Bank analyst H. Engel now anticipates that the company will post earnings per share of $8.82 for the year, down from their prior forecast of $8.85. The consensus estimate for Novartis’ current full-year earnings is $8.45 per share.

Novartis (NYSE:NVS) last issued its quarterly earnings data on Tuesday, February 3rd. The company reported $2.03 EPS for the quarter, topping analysts’ consensus estimates of $1.99 by $0.04. Novartis had a net margin of 25.65% and a return on equity of 40.53%. The business had revenue of $13.86 billion during the quarter, compared to analysts’ expectations of $13.85 billion. During the same period last year, the company posted $1.98 EPS. The business’s revenue was up 1.4% on a year-over-year basis.

NVS has been the subject of a number of other reports. HSBC reaffirmed a “reduce” rating and set a $112.00 price target on shares of Novartis in a research note on Wednesday, December 10th. TD Cowen reaffirmed a “hold” rating on shares of Novartis in a research note on Tuesday, February 17th. Argus raised shares of Novartis from a “hold” rating to a “buy” rating and set a $180.00 price target for the company in a research note on Wednesday, March 11th. Weiss Ratings raised shares of Novartis from a “buy (b)” rating to a “buy (a-)” rating in a research note on Friday, February 6th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a “buy” rating on shares of Novartis in a research note on Thursday, February 12th. Two analysts have rated the stock with a Strong Buy rating, six have given a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $141.20.

Novartis Stock Performance

Shares of NYSE:NVS opened at $151.00 on Wednesday. Novartis has a 52 week low of $97.71 and a 52 week high of $170.46. The stock has a market capitalization of $318.98 billion, a P/E ratio of 21.09, a PEG ratio of 2.64 and a beta of 0.52. The firm has a fifty day simple moving average of $156.75 and a two-hundred day simple moving average of $141.40. The company has a quick ratio of 0.89, a current ratio of 1.12 and a debt-to-equity ratio of 0.60.

Novartis Announces Dividend

The company also recently declared an annual dividend, which was paid on Monday, March 16th. Investors of record on Wednesday, March 11th were paid a dividend of $4.773 per share. The ex-dividend date of this dividend was Wednesday, March 11th. This represents a dividend yield of 306.0%. Novartis’s payout ratio is currently 43.02%.

Institutional Investors Weigh In On Novartis

Several large investors have recently added to or reduced their stakes in NVS. Arlington Trust Co LLC purchased a new stake in Novartis in the 4th quarter valued at about $25,000. CrossGen Wealth LLC purchased a new stake in Novartis in the 4th quarter valued at about $28,000. Valley Wealth Managers Inc. purchased a new stake in Novartis in the 3rd quarter valued at about $31,000. Bank of Jackson Hole Trust boosted its position in Novartis by 425.0% in the 4th quarter. Bank of Jackson Hole Trust now owns 231 shares of the company’s stock valued at $32,000 after buying an additional 187 shares during the period. Finally, Measured Wealth Private Client Group LLC purchased a new stake in Novartis in the 3rd quarter valued at about $33,000. 13.12% of the stock is owned by hedge funds and other institutional investors.

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.