GSK (GSK) Competitors

GSK (NYSE:GSK) and Novartis (NYSE:NVS) are both large-cap medical companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, profitability, media sentiment, valuation, analyst recommendations, dividends and institutional ownership.

Does the media prefer GSK or NVS?

In the previous week, Novartis had 20 more articles in the media than GSK. MarketBeat recorded 25 mentions for Novartis and 5 mentions for GSK. Novartis' average media sentiment score of 1.38 beat GSK's score of 0.41 indicating that Novartis is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
GSK	2 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Neutral
Novartis	20 Very Positive mention(s)	2 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more risk and volatility, GSK or NVS?

GSK has a beta of 0.53, suggesting that its stock price is 47% less volatile than the S&P 500. Comparatively, Novartis has a beta of 0.64, suggesting that its stock price is 36% less volatile than the S&P 500.

Do insiders & institutionals believe in GSK or NVS?

15.7% of GSK shares are held by institutional investors. Comparatively, 13.1% of Novartis shares are held by institutional investors. 10.0% of GSK shares are held by insiders. Comparatively, 0.0% of Novartis shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Is GSK or NVS a better dividend stock?

GSK pays an annual dividend of $1.69 per share and has a dividend yield of 3.8%. Novartis pays an annual dividend of $2.59 per share and has a dividend yield of 2.0%. GSK pays out 78.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Novartis pays out 37.7% of its earnings in the form of a dividend.

Do analysts prefer GSK or NVS?

GSK presently has a consensus target price of $37.38, indicating a potential downside of 14.90%. Novartis has a consensus target price of $120.33, indicating a potential downside of 8.46%. Given Novartis' stronger consensus rating and higher probable upside, analysts plainly believe Novartis is more favorable than GSK.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GSK	1 Sell rating(s)	7 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.88
Novartis	3 Sell rating(s)	4 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.10

Is GSK or NVS more profitable?

Novartis has a net margin of 25.64% compared to GSK's net margin of 10.81%. GSK's return on equity of 49.22% beat Novartis' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
GSK	10.81%	49.22%	11.31%
Novartis	25.64%	41.08%	16.83%

Which has better earnings & valuation, GSK or NVS?

Novartis has higher revenue and earnings than GSK. Novartis is trading at a lower price-to-earnings ratio than GSK, 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
GSK	$31.63B	2.82	$3.29B	$2.16	20.33
Novartis	$55.19B	5.03	$11.94B	$6.87	19.13

Summary

Novartis beats GSK on 14 of the 19 factors compared between the two stocks.