Novartis (NYSE:NVS) Shares Gap Up – Still a Buy?

Shares of Novartis AG (NYSE:NVS) gapped up prior to trading on Thursday . The stock had previously closed at $110.77, but opened at $114.35. Novartis shares last traded at $113.39, with a volume of 399,463 shares trading hands.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on NVS. Deutsche Bank Aktiengesellschaft raised Novartis from a “hold” rating to a “buy” rating in a research note on Tuesday, February 4th. UBS Group reaffirmed a “neutral” rating on shares of Novartis in a research note on Thursday, February 13th. Barclays reissued an “underweight” rating on shares of Novartis in a research note on Monday, February 3rd. Morgan Stanley started coverage on shares of Novartis in a research note on Wednesday, February 12th. They issued an “underweight” rating for the company. Finally, HSBC cut shares of Novartis from a “hold” rating to a “reduce” rating in a research report on Wednesday, December 4th. Three analysts have rated the stock with a sell rating, six have issued a hold rating, one has given a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, Novartis has a consensus rating of “Hold” and a consensus price target of $123.38.

Novartis Stock Up 2.2 %

The company has a debt-to-equity ratio of 0.48, a quick ratio of 0.84 and a current ratio of 1.04. The firm’s fifty day simple moving average is $108.65 and its 200 day simple moving average is $107.09. The stock has a market capitalization of $231.38 billion, a price-to-earnings ratio of 19.25, a P/E/G ratio of 1.70 and a beta of 0.56.

Novartis (NYSE:NVS) last issued its quarterly earnings data on Friday, January 31st. The company reported $1.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.80 by $0.18. Novartis had a net margin of 23.56% and a return on equity of 37.24%. On average, sell-side analysts forecast that Novartis AG will post 8.45 earnings per share for the current year.

Novartis Dividend Announcement

The company also recently declared a dividend, which was paid on Wednesday, March 12th. Stockholders of record on Wednesday, March 12th were issued a $3.8695 dividend. The ex-dividend date of this dividend was Wednesday, March 12th. Novartis’s dividend payout ratio (DPR) is 42.69%.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of NVS. Continuum Advisory LLC boosted its position in Novartis by 10.3% during the 4th quarter. Continuum Advisory LLC now owns 1,021 shares of the company’s stock worth $99,000 after acquiring an additional 95 shares during the last quarter. Bryn Mawr Capital Management LLC lifted its position in shares of Novartis by 0.8% in the fourth quarter. Bryn Mawr Capital Management LLC now owns 12,884 shares of the company’s stock worth $1,254,000 after purchasing an additional 100 shares in the last quarter. Rothschild Investment LLC lifted its position in shares of Novartis by 0.6% in the fourth quarter. Rothschild Investment LLC now owns 16,682 shares of the company’s stock worth $1,623,000 after purchasing an additional 101 shares in the last quarter. Meridian Wealth Management LLC boosted its holdings in Novartis by 2.6% during the fourth quarter. Meridian Wealth Management LLC now owns 4,161 shares of the company’s stock worth $405,000 after purchasing an additional 106 shares during the last quarter. Finally, Angeles Wealth Management LLC grew its position in Novartis by 3.5% in the fourth quarter. Angeles Wealth Management LLC now owns 3,249 shares of the company’s stock valued at $316,000 after purchasing an additional 110 shares in the last quarter. 13.12% of the stock is currently owned by institutional investors.

Novartis Company Profile

Novartis AG engages in the research, development, manufacture, and marketing of healthcare products in Switzerland and internationally. The company offers prescription medicines for patients and physicians. It focuses on therapeutic areas, such as cardiovascular, renal and metabolic, immunology, neuroscience, and oncology, as well as ophthalmology and hematology.