Heavy Trading On Novartis (NVS) Before Market Open
Trade-Ideas LLC identified
(
) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Novartis as such a stock due to the following factors:
- NVS has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $137.8 million.
- NVS traded 1.2 million shares today in the pre-market hours as of 8:53 AM, representing 68.3% of its average daily volume.
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More details on NVS:
Novartis AG researches, develops, manufactures, and markets a range of healthcare products worldwide. It operates through three segments: Pharmaceuticals, Alcon, and Sandoz. The stock currently has a dividend yield of 3%. NVS has a PE ratio of 2. Currently there are 4 analysts that rate Novartis a buy, 2 analysts rate it a sell, and 4 rate it a hold.
The average volume for Novartis has been 2.3 million shares per day over the past 30 days. Novartis has a market cap of $180.5 billion and is part of the health care sector and drugs industry. Shares are down 13.2% year-to-date as of the close of trading on Thursday.
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Analysis:
rates Novartis as a
. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow.
Highlights from the ratings report include:
- The current debt-to-equity ratio, 0.39, is low and is below the industry average, implying that there has been successful management of debt levels. Even though the company has a strong debt-to-equity ratio, the quick ratio of 0.48 is very weak and demonstrates a lack of ability to pay short-term obligations.
- The gross profit margin for NOVARTIS AG is rather high; currently it is at 63.86%. Regardless of NVS's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 17.33% trails the industry average.
- Net operating cash flow has declined marginally to $1,542.00 million or 9.50% when compared to the same quarter last year. In conjunction, when comparing current results to the industry average, NOVARTIS AG has marginally lower results.
- The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. When compared to other companies in the Pharmaceuticals industry and the overall market, NOVARTIS AG's return on equity is below that of both the industry average and the S&P 500.
- You can view the full Novartis Ratings Report.
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