Thursday 21 May 2015

Bidness ETC - Novartis Stock Update For Current Quarter



Novartis stocks are estimated an earning per share of $1.12 for the current quarter.

Novartis AG is a prominent name in the world of healthcare providing health solutions globally. The company’s network is global having the status of a multinational firm whose expertise lies in marketing, research, manufacturing and development in a variety of medical products for healthcare purposes. The company has a diversified portfolio of products in services where it caters to medicines, animal health products, preventive vaccines, eye care, diagnostic tools, generic pharmaceuticals that are cost effective etc.

There are five core operating segments of the company: pharmaceuticals which comprises of patent protected medicine prescription, Alcon that deals with surgical, vision care products and ophthalmic pharmaceutical, diagnostic and vaccines that deals with blood testing procedures and human vaccine development, consumer health that provides over the counter medicines along with Animal Health.

The company in 2011 acquired a non controlling interest in Alcon which was again a major breakthrough for them.

Analysts at Wall Street expect that the first quarter earnings per share for Novartis stocks is estimated to be $1.12 for the current quarter. The digits have been derived from the average estimations made by the sell-side research organization dealing with the stocks. Recent NVS reported their earnings per share (EPS) which compounded to $1.33 for the first quarter of the fiscal year of 2015. This highlights that the digits are almost 0.21 where analysts estimate an 18.75 percent difference.

On an average, all the analysts who have kept eyes on Novartis stock price have estimated a price target of $108.166. this is said to be mean estimates of the three companies that are watching this stock closely. This is said to be the latest update in terms of Novartis stock price target.

In general the broker recommendation is basically an average taken of individual ratings that are provided by analysts allowing them to come up with Consensus Analyst Rating for each and every stock. Usually, there are ratings given for each stock from 1 to 5 where 1 means a strong BUY whereas 5 means a strong SELL.

Hence, Novartis at this point of time has 1.75 rating given by three sell-side analysts. A part of this group is a sell-side firm that expects a substantial upside on the stock price which is said to turn to $115 in a year’s time. The analyst who is conservative about the stock has given an estimated price target of $103.5 in a year’s time.

Novartis (NVS) stocks are currently extremely bullish and even those conservative about the stock have given a fairly good price target.

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