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Novartis AG (MEX:NVS N) Cyclically Adjusted PB Ratio : 3.42 (As of Jul. 05, 2025)


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What is Novartis AG Cyclically Adjusted PB Ratio?

As of today (2025-07-05), Novartis AG's current share price is MXN2092.19. Novartis AG's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2025 was MXN612.20. Novartis AG's Cyclically Adjusted PB Ratio for today is 3.42.

The historical rank and industry rank for Novartis AG's Cyclically Adjusted PB Ratio or its related term are showing as below:

MEX:NVS N' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 2.23   Med: 2.8   Max: 3.73
Current: 3.66

During the past years, Novartis AG's highest Cyclically Adjusted PB Ratio was 3.73. The lowest was 2.23. And the median was 2.80.

MEX:NVS N's Cyclically Adjusted PB Ratio is ranked worse than
72.39% of 746 companies
in the Drug Manufacturers industry
Industry Median: 1.99 vs MEX:NVS N: 3.66

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Novartis AG's adjusted book value per share data for the three months ended in Mar. 2025 was MXN400.643. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is MXN612.20 for the trailing ten years ended in Mar. 2025.

Shiller PE for Stocks: The True Measure of Stock Valuation


Novartis AG Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Novartis AG's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Novartis AG Cyclically Adjusted PB Ratio Chart

Novartis AG Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.94 2.79 2.81 3.04 3.28

Novartis AG Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.13 3.46 3.55 3.28 3.65

Competitive Comparison of Novartis AG's Cyclically Adjusted PB Ratio

For the Drug Manufacturers - General subindustry, Novartis AG's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Novartis AG's Cyclically Adjusted PB Ratio Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Novartis AG's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Novartis AG's Cyclically Adjusted PB Ratio falls into.


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Novartis AG Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Novartis AG's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=2092.19/612.20
=3.42

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Novartis AG's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2025 is calculated as:

For example, Novartis AG's adjusted Book Value per Share data for the three months ended in Mar. 2025 was:

Adj_Book=Book Value per Share/CPI of Mar. 2025 (Change)*Current CPI (Mar. 2025)
=400.643/107.7224*107.7224
=400.643

Current CPI (Mar. 2025) = 107.7224.

Novartis AG Quarterly Data

Book Value per Share CPI Adj_Book
201506 511.686 100.464 548.657
201509 541.041 99.785 584.077
201512 558.073 99.386 604.882
201603 519.129 99.475 562.169
201606 562.727 100.088 605.651
201609 610.336 99.604 660.082
201612 649.862 99.380 704.418
201703 537.951 100.040 579.263
201706 539.441 100.285 579.446
201709 566.268 100.254 608.455
201712 628.544 100.213 675.644
201803 554.179 100.836 592.028
201806 650.089 101.435 690.384
201809 631.095 101.246 671.468
201812 667.880 100.906 712.997
201903 394.411 101.571 418.298
201906 431.036 102.044 455.022
201909 457.886 101.396 486.456
201912 461.914 101.063 492.350
202003 521.512 101.048 555.962
202006 542.641 100.743 580.234
202009 529.174 100.585 566.726
202012 498.864 100.241 536.098
202103 460.000 100.800 491.591
202106 480.950 101.352 511.179
202109 521.805 101.533 553.617
202112 620.990 101.776 657.275
202203 553.793 103.205 578.033
202206 579.958 104.783 596.228
202209 568.756 104.835 584.422
202212 545.823 104.666 561.761
202303 447.479 106.245 453.703
202306 429.761 106.576 434.386
202309 323.419 106.570 326.918
202312 387.536 106.461 392.127
202403 322.709 107.355 323.814
202406 377.635 107.991 376.696
202409 426.618 107.468 427.628
202412 465.098 107.128 467.678
202503 400.643 107.722 400.643

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Novartis AG  (MEX:NVS N) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Novartis AG Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Novartis AG's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Novartis AG Business Description

Address
Lichtstrasse 35, Basel, CHE, 4056
Novartis develops and manufactures innovative drugs. Key areas of drug development include oncology, rare diseases, neuroscience, immunology, respiratory, cardio-metabolic, and established medicines. The company sells its products globally, with the United States comprising close to one third of total revenue.

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