GSK (GSK) Competitors

Novo Nordisk A/S (NYSE:NVO) and GSK (NYSE:GSK) are both large-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, valuation, institutional ownership, risk, profitability, dividends, analyst recommendations and media sentiment.

Does the media refer more to NVO or GSK?

In the previous week, Novo Nordisk A/S had 22 more articles in the media than GSK. MarketBeat recorded 46 mentions for Novo Nordisk A/S and 24 mentions for GSK. Novo Nordisk A/S's average media sentiment score of 1.23 beat GSK's score of 0.84 indicating that Novo Nordisk A/S is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Novo Nordisk A/S	36 Very Positive mention(s)	3 Positive mention(s)	4 Neutral mention(s)	3 Negative mention(s)	0 Very Negative mention(s)	Positive
GSK	10 Very Positive mention(s)	3 Positive mention(s)	7 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts rate NVO or GSK?

Novo Nordisk A/S presently has a consensus price target of $112.00, indicating a potential upside of 56.28%. GSK has a consensus price target of $37.38, indicating a potential downside of 1.52%. Given Novo Nordisk A/S's stronger consensus rating and higher probable upside, analysts plainly believe Novo Nordisk A/S is more favorable than GSK.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Novo Nordisk A/S	2 Sell rating(s)	5 Hold rating(s)	3 Buy rating(s)	1 Strong Buy rating(s)	2.27
GSK	1 Sell rating(s)	7 Hold rating(s)	0 Buy rating(s)	1 Strong Buy rating(s)	2.11

Is NVO or GSK a better dividend stock?

Novo Nordisk A/S pays an annual dividend of $1.64 per share and has a dividend yield of 2.3%. GSK pays an annual dividend of $1.71 per share and has a dividend yield of 4.5%. Novo Nordisk A/S pays out 48.5% of its earnings in the form of a dividend. GSK pays out 88.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Is NVO or GSK more profitable?

Novo Nordisk A/S has a net margin of 34.52% compared to GSK's net margin of 9.89%. Novo Nordisk A/S's return on equity of 80.94% beat GSK's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Novo Nordisk A/S	34.52%	80.94%	24.23%
GSK	9.89%	48.82%	11.15%

Which has more risk & volatility, NVO or GSK?

Novo Nordisk A/S has a beta of 0.64, meaning that its share price is 36% less volatile than the S&P 500. Comparatively, GSK has a beta of 0.5, meaning that its share price is 50% less volatile than the S&P 500.

Which has preferable earnings & valuation, NVO or GSK?

Novo Nordisk A/S has higher revenue and earnings than GSK. GSK is trading at a lower price-to-earnings ratio than Novo Nordisk A/S, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Novo Nordisk A/S	$42.12B	7.60	$14.64B	$3.38	21.20
GSK	$40.10B	1.93	$3.29B	$1.94	19.56

Do institutionals and insiders believe in NVO or GSK?

11.5% of Novo Nordisk A/S shares are owned by institutional investors. Comparatively, 15.7% of GSK shares are owned by institutional investors. 0.1% of Novo Nordisk A/S shares are owned by company insiders. Comparatively, 10.0% of GSK shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Novo Nordisk A/S beats GSK on 15 of the 18 factors compared between the two stocks.