|Bid||0.00 x 800|
|Ask||0.00 x 900|
|Day's Range||21.76 - 21.81|
|52 Week Range||18.87 - 23.82|
|PE Ratio (TTM)||201.94|
|Beta (3Y Monthly)||0.92|
|Expense Ratio (net)||0.30%|
Sanofi (SNY) is one of the largest pharmaceutical companies. Since the company’s headquarters are in Paris, its reports its financial results in euros. Sanofi is set to release its third-quarter earnings on October 31. Wall Street analysts expect the EPS to be 1.71 euros on revenues of 9.32 billion euros during the third quarter.
Alcon, the eye care business of Novartis AG (NVS), includes surgical products and vision care products. Alcon reported revenues of ~$1.76 billion during the third quarter of 2018, a 3% increase in year-over-year (or YoY) revenues as compared to ~$1.71 billion in the third quarter of 2017. The growth was driven by a 5% growth in operating revenues, offset by a 2% negative impact of foreign exchange.
As discussed earlier, Novartis (NVS) missed Wall Street analysts’ estimates for revenues with reported revenues of ~$12.78 billion during the third quarter of 2018, a 2.9% increase in YoY revenues. Novartis AG is the holding company providing healthcare solutions, and its business is classified into three business segments including the Innovative Medicines segment, Sandoz, and Alcon. The below chart shows the revenue performance of Novartis’s segments since the first quarter of 2017.
Novartis’s (NVS) revenue is mainly driven by the strong performance of its Innovative Medicines segment, while Sandoz and Alcon also contribute to the company’s overall growth.
Novartis’s (NVS) business is separated into three segments: Innovative Medicines, the prescription medicines business Sandoz, the generics business Alcon, the eye care business
GW Pharmaceuticals (GWPH) has developed prescription medicines derived from the cannabis plant for the treatment of spasticity from multiple sclerosis. Its portfolio includes clinical stage cannabinoid products focused on the treatment of neurological conditions.
GlaxoSmithKline (GSK) segregates its business portfolio into three business segments—Pharmaceuticals, Vaccines, and Consumer Healthcare. As a British multinational company, GlaxoSmithKline reports its revenues in pounds sterling. The chart below compares GlaxoSmithKline’s EPS and revenues since the first quarter of 2017, as well as its estimates for the third quarter.
GlaxoSmithKline’s (GSK) Vaccines segment includes influenza vaccines, meningitis vaccines, shingles vaccines, and established vaccines. The vaccines segment reported revenues of ~1.3 billion pounds during the second quarter of 2018, a 13% increase in YoY revenues. The growth includes a 16% increase in operating revenues offset by a 3% negative impact of foreign exchange during the quarter.
As we’ve already seen, Novartis’s (NVS) Innovative Medicines business includes prescription products from two business units: Novartis Pharmaceuticals and Novartis Oncology. Innovative Medicines contributed ~67.4% of Novartis’s total revenues in Q2 2018, a 10% growth YoY (year-over-year) to $8.9 billion.
This year, analysts expect GlaxoSmithKline’s (GSK) revenue to grow 0.4% YoY (year-over-year) to ~30.3 billion British pounds from ~30.2 billion pounds, and its income margin to narrow YoY to 17.9% from 18.1%. They expect it to report EPS of 110.75 pence.
In the second quarter, GlaxoSmithKline’s (GSK) revenue was nearly flat YoY (year-over-year) at 7.3 billion British pounds, reflecting 4% growth at constant exchange rates offset by a 4% impact by foreign exchange. The pound strengthened, weakening GSK’s revenue. The chart below shows GlaxoSmithKline’s revenue since the first quarter of 2017.
Novartis’s (NVS) Innovative Medicines segment includes prescription products from two business units: Novartis Pharmaceuticals and Novartis Oncology. The segment contributed 67.4% of Novartis’s total revenues in the second quarter and reported a 10% growth YoY (year-over-year) at $8.9 billion.
GlaxoSmithKline (GSK) is focused on maintaining a sustainable growth model by strategizing its business beyond pharmaceuticals.
In 1Q18, analysts expect Sanofi’s (SNY) revenue to fall ~6.6% YoY (year-over-year) to 8.1 billion euros from 8.7 billion euros, and its earnings per share to fall to 1.13 euros from 1.42 euros. Sanofi’s stock price has fallen ~9.4% over the last 12 months and ~7.1% year-to-date. Analysts’ price target of $47.67 suggests the stock could return ~19.2% over the next 12 months based on its price of $39.95 on April 23.