Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
Novartis AGFRA:NOT +0.26%81 3-Year Share Buyback Ratio is 3.40 as of Jun. 2026, which is 209% above its 10-year median of 1.10. GuruFocus rates FRA:NOT with a GF Score™ of 81/100 and a GF Value™ of €111.02 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 644 Drug Manufacturers companies, Novartis AG ranks better than 98.14% on this metric.
Shares Outstanding (EOP) are shares that have been authorized, issued, and purchased by investors and are held by them.
3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. A positive ratio may indicate share buybacks over the period, while a zero or negative ratio may reflect no repurchases or potential share issuance. Novartis AG's current 3-Year Share Buyback Ratio was 3.40%.
The historical rank and industry rank for Novartis AG's 3-Year Share Buyback Ratio or its related term are showing as below:
FRA:NOT'
s 3-Year Share Buyback Ratio Range Over the Past 10 Years
Min: -2.1 Med: 1.1 Max: 4
Current: 3.4
During the past 13 years, Novartis AG's highest 3-Year Share Buyback Ratio was 4.00%. The lowest was -2.10%. And the median was 1.10%.
FRA:NOT's 3-Year Share Buyback Ratio is ranked better than 98.14% of 644
companies
in the Drug Manufacturers industry
Industry Median: -2
vs FRA:NOT: 3.40
Novartis AG (FRA:NOT) 3-Year Share Buyback Ratio Explanation
A negative number means the company might be issuing new shares. A positive number indicates that the company is buying back shares.
Be Aware
Investors usually like share buybacks. But as pointed by Warren Buffett, only if a company buys back shares at the prices below the stock's intrinsic value, it rewards remaining shareholders. If a company buys its overvalued stocks back, it destroys shareholder value.
Novartis AG 3-Year Share Buyback Ratio Related Terms
FRA:NOT vs LLY, JNJ, ABBV: 3-Year Share Buyback Ratio Comparison
For the Drug Manufacturers - General subindustry, Novartis AG's 3-Year Share Buyback Ratio, along with its competitors' market caps and 3-Year Share Buyback 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 3-Year Share Buyback Ratio vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Novartis AG's 3-Year Share Buyback Ratio distribution charts can be found below:
* The bar in red indicates where Novartis AG's 3-Year Share Buyback Ratio falls into.
Novartis AG 3-Year Share Buyback Ratio Calculation
This is the annualized percentage change in shares outstanding from three years ago to the current year. The annualized percentage change is calculated with expontential compound based on the latest four years of annual data on Shares Outstanding (EOP).
Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the average dividends per share growth rate.
What does a 3-Year Share Buyback Ratio of 3.40 mean?
Novartis AG (FRA:NOT) has a 3-Year Share Buyback Ratio of 3.40 as of Jun. 2026. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for Novartis AG and its competitors. This is 209% above median its historical median of 1.10. According to the industry distribution chart, Novartis AG ranks #12 out of 644 companies in the Drug Manufacturers industry, placing it in the top 1.9%.
Is Novartis AG's 3-Year Share Buyback Ratio too high?
Novartis AG's current 3-Year Share Buyback Ratio of 3.40 is 209% above median its 10-year median of 1.10. Based on the distribution chart, Novartis AG ranks #12 out of 644 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Novartis AG has a GF Score™ of 81/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Novartis AG's 3-Year Share Buyback Ratio compare to LLY and JNJ?
According to the Drug Manufacturers industry distribution chart, Novartis AG ranks #12 out of 644 companies for 3-Year Share Buyback Ratio. This places Novartis AG in the top 2% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Share Buyback Ratio for a Drug Manufacturers company?
A good 3-Year Share Buyback Ratio depends on the Drug Manufacturers industry context. However, 3-Year Share Buyback Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Share Buyback Ratio mean?
A high 3-Year Share Buyback Ratio can signal that a stock is expensive relative to its fundamentals. The 3-Year Share Buyback Ratio measures the average annual proportion of a company's outstanding shares repurchased over the past three years. It is calculated as the annualized percentage change in shares outstanding from three years ago to the current year. View historical data for Novartis AG and its competitors. Novartis AG's current 3-Year Share Buyback Ratio is 3.40, which is 209% above median its own 10-year median of 1.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Novartis AG stock overvalued right now?
Based on GuruFocus' analysis, Novartis AG (FRA:NOT) is currently considered Modestly Overvalued. The stock's GF Value™ is €111.02, compared to a current price of €131.54 — trading 18.5% above its estimated fair value. The current 3-Year Share Buyback Ratio is 3.40, which is 209% above median its 10-year median of 1.10. Novartis AG's overall GF Score™ is 81/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Share Buyback Ratio calculated?
3-Year Share Buyback Ratio is calculated from a company's financial statements. For Novartis AG (FRA:NOT), the current 3-Year Share Buyback Ratio is 3.40 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Novartis AG (FRA:NOT) Overvalued in 2026?
Based on GuruFocus' analysis, Novartis AG stock appears to be overvalued.
The current stock price of €131.54 is trading 18.5% above its estimated GF Value™ of €111.02.
GuruFocus considers Novartis AG to be Modestly Overvalued.
Key valuation signals for FRA:NOT:
3-Year Share Buyback Ratio: 3.40 (209% above median its 10-year median of 1.10)
GF Value™: €111.02 vs. price of €131.54 (18.5% above fair value)
No single metric tells the full story. See the FRA:NOT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Novartis develops and manufactures innovative drugs. Key areas of drug development are oncology, immunology, neuroscience, respiratory, and cardiovascular, renal, and metabolic. It also has an established medicines business, which includes off-patent franchises. The company sells its products globally, with the United States constituting close to one-third of total revenue.
81GF Score
Get the complete analysis for FRA:NOT
3-Year Share Buyback Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
FRA:NOT has been successfully added to your 
