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Novartis AG ADR NVS

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Morningstar’s Analysis

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1-Star Price

PREMIUM

5-Star Price

PREMIUM

Economic Moat

PREMIUM

Stewardship

PREMIUM

Trump's Executive Orders on Drug Prices Have Limited Impact on Our Industry FVEs and Moat Ratings

Damien Conover, CFA Sector Director

Analyst Note

| Damien Conover, CFA |

President Donald Trump’s executive orders targeting drug prices create modest pricing headwinds and slightly higher uncertainty for drug firms. However, we don’t expect these actions to significantly affect our fair value estimates or moat ratings due to limited details, challenging implementation, and only minor impacts.

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Company Profile

Business Description

Novartis AG develops and manufactures healthcare products through two segments: Innovative Medicines and Sandoz. It generates the vast majority of its revenue from Innovative Medicines segment consisting global business franchises in oncology, ophthalmology, neuroscience, immunology, respiratory, cardio-metabolic, and established medicines. The company sells its products globally, with the United States representing close to one third of total sales.

Contact
Lichtstrasse 35
Basel, 4056, Switzerland
T +41 613241111
Sector Healthcare
Industry Drug Manufacturers - General
Most Recent Earnings Jun 30, 2020
Fiscal Year End Dec 31, 2019
Stock Type —
Employees 103,914

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