Company Profile: Novartis AG (NYSE: NVS) is a leading multinational pharmaceutical company based in Switzerland, dedicated to the research, development, manufacturing, and marketing of innovative medicines. The company employs over 109,000 individuals from more than 140 nationalities globally.
Recent Developments
Ianalumab Trial Results: On August 11, 2025, Novartis announced positive Phase III trial results for ianalumab, a novel monoclonal antibody. The drug successfully met its primary endpoints in trials for Sjögren’s disease and primary immune thrombocytopenia (ITP), positioning it as a potential first targeted treatment for Sjögren’s, a chronic autoimmune disorder with significant unmet needs.
Leqvio FDA Approval: On July 31, 2025, the FDA approved a label update for Leqvio, a cholesterol-lowering medication, allowing it to be used as a first-line monotherapy. This update enhances its utility and addresses patient adherence challenges in cholesterol management, a key risk factor for heart disease.
Market Response
Stock Ratings: Following these positive developments, Novartis received a Buy rating from Kepler Capital and Deutsche Bank, while UBS maintained a Hold rating. The stock continues to attract institutional interest, with 34 hedge funds holding stakes in the company.
Dividend Information: Novartis offers an annual dividend of $3.99 per share, making it one of the best annual dividend stocks according to hedge funds.
Investment Considerations
Comparative Analysis: While Novartis shows potential as an investment, the article suggests that certain AI stocks may offer greater upside potential and lower downside risk. A report on undervalued AI stocks is mentioned for those interested in alternative investment opportunities.
Wall Street analysts forecast NVS stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for NVS is 127.75 USD with a low forecast of 112.00 USD and a high forecast of 143.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
6 Analyst Rating
Wall Street analysts forecast NVS stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for NVS is 127.75 USD with a low forecast of 112.00 USD and a high forecast of 143.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Buy
4 Hold
1 Sell
Hold
Current: 145.000
Low
112.00
Averages
127.75
High
143.00
Current: 145.000
Low
112.00
Averages
127.75
High
143.00
Deutsche Bank
Buy
maintain
2026-01-16
Reason
Deutsche Bank
Price Target
AI Analysis
2026-01-16
maintain
Buy
Reason
Deutsche Bank raised the firm's price target on Novartis to CHF 125 from CHF 120 and keeps a Buy rating on the shares.
Barclays
Underweight -> Equal Weight
upgrade
2026-01-06
Reason
Barclays
Price Target
2026-01-06
upgrade
Underweight -> Equal Weight
Reason
Barclays upgraded Novartis to Equal Weight from Underweight.
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Barclays
Underweight -> Equal Weight
upgrade
$120
2026-01-06
Reason
Barclays
Price Target
$120
2026-01-06
upgrade
Underweight -> Equal Weight
Reason
As previously reported, Barclays upgraded Novartis to Equal Weight from Underweight with a CHF 120 price target as the firm transferred coverage of European large-cap pharma to a new analyst. The firm sees the company's "fairly rich" pipeline as mostly well reflected in valuation or with competition, says the analyst, who also cites a "weak" operational outlook for 2026.
Evercore ISI
Outperform
to
In Line
downgrade
$65 -> $72
2025-12-18
Reason
Evercore ISI
Price Target
$65 -> $72
2025-12-18
downgrade
Outperform
to
In Line
Reason
Evercore ISI downgraded Avidity Biosciences (RNA) to In Line from Outperform with a price target of $72, up from $65. Novartis (NVS) has agreed to acquire Avidity for $72 per share in cash and the acquisition is expected to close in the first half of 2026.
About NVS
Novartis AG is a Switzerland-based pharmaceutical company. The Company develops, manufactures, and markets branded and generic prescription drugs, active pharmaceutical ingredients (APIs), biosimilars and ophthalmic products. The Company uses science and digital technologies for treatments in the disease areas of immunology, dermatology, cancer, ophthalmology, neuroscience, respiratory, cardiovascular, renal and metabolism. The business activities of the Company are divided into two segments: Innovative Medicines, which includes innovative patent-protected prescription medicines for blood pressure, cancer and other ailments, and Sandoz, which includes generic pharmaceuticals and biosimilars.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
