Galenica AG (CH:GALE)
:GALE
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Galenica AG
(GALE)
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Rating:61Neutral
Price Target:
CHF99.00
▲(10.31% Upside)
Action:DowngradedDate:03/12/26
The score is supported by generally solid fundamentals (steady profitability and good cash conversion) but held back by increased leverage and weak near-term technical momentum. Valuation is moderately unattractive at ~26.9x earnings despite a ~2.46% dividend yield.
Positive Factors
Diversified business model
Galenica’s dual model—nationwide wholesale/logistics plus a large pharmacy retail network—creates stable, complementary revenue streams. Vertical exposure to both B2B distribution and consumer retail reduces reliance on a single channel and supports durable cash flow across cycles.
Negative Factors
Rising leverage
Material increase in leverage reduces financial flexibility and raises sensitivity to interest-rate or earnings shocks. For a distribution business with working-capital needs, higher debt can constrain strategic options, increase refinancing risk and magnify profit volatility.
Read all positive and negative factors
Positive Factors
Negative Factors
Diversified business model
Galenica’s dual model—nationwide wholesale/logistics plus a large pharmacy retail network—creates stable, complementary revenue streams. Vertical exposure to both B2B distribution and consumer retail reduces reliance on a single channel and supports durable cash flow across cycles.
Read all positive factors
Galenica AG (GALE) vs. iShares MSCI Switzerland ETF (EWL)
Market Cap
CHF4.47B
Dividend Yield2.36%
Average Volume (3M)91.35K
Price to Earnings (P/E)26.9
Beta (1Y)0.35
Revenue Growth5.84%
EPS Growth8.57%
CountryCH
Employees4,511
SectorHealthcare
Sector Strength45
IndustryMedical - Distribution
Share Statistics
EPS (TTM)1.86
Shares Outstanding50,000,000
10 Day Avg. Volume70,861
30 Day Avg. Volume91,351
Financial Highlights & Ratios
PEG Ratio-24.67
Price to Book (P/B)3.29
Price to Sales (P/S)1.18
P/FCF Ratio17.88
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
CHF85.00Price Target Upside-5.29% Downside
Rating ConsensusModerate Sell
Number of Analyst Covering1
EPS Forecast (FY)3.99
Revenue Forecast (FY)CHF4.36B
Galenica AG Business Overview & Revenue Model
Company Description
Galenica AG operates as a healthcare service provider in Switzerland and internationally. It operates through two segments, Products & Care, and Logistics & IT. The Products & Care segment operates 520 pharmacies, including 368 owned pharmacies an...
How the Company Makes Money
Galenica makes money primarily through two complementary activities: (1) pharmaceutical logistics/wholesale distribution and (2) pharmacy retail. In wholesale distribution, it generates revenue by purchasing prescription and over-the-counter medic...
Galenica AG Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
63
Positive
Cash Flow
70
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 4.14B | 3.92B | 3.75B | 4.01B | 3.83B |
| Gross Profit | 428.80M | 1.09B | 387.60M | 374.13M | 350.55M |
| EBITDA | 339.18M | 331.31M | 306.92M | 290.46M | 300.33M |
| Net Income | 181.10M | 182.95M | 173.60M | 165.13M | 167.68M |
Balance Sheet | |||||
| Total Assets | 3.34B | 3.07B | 2.99B | 2.66B | 2.62B |
| Cash, Cash Equivalents and Short-Term Investments | 115.51M | 129.68M | 116.16M | 93.93M | 164.98M |
| Total Debt | 1.06B | 775.60M | 236.04M | 686.49M | 672.65M |
| Total Liabilities | 1.86B | 1.52B | 1.52B | 1.41B | 1.38B |
| Stockholders Equity | 1.48B | 1.55B | 1.47B | 1.25B | 1.23B |
Cash Flow | |||||
| Free Cash Flow | 272.35M | 192.34M | 149.34M | 166.51M | 273.02M |
| Operating Cash Flow | 299.76M | 264.70M | 225.71M | 236.87M | 333.10M |
| Investing Cash Flow | -333.14M | -151.08M | -124.17M | -130.62M | -88.34M |
| Financing Cash Flow | 19.20M | -100.22M | -79.05M | -177.21M | -139.53M |
Galenica AG Technical Analysis
Negative
89.75
Price Trends
96.92
Negative
94.24
Negative
90.57
Negative
Market Momentum
-1.70
Positive
29.01
Positive
16.39
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:GALE, the sentiment is Negative. The current price of 89.75 is below the 20-day moving average (MA) of 93.82, below the 50-day MA of 96.92, and below the 200-day MA of 90.57, indicating a bearish trend. The MACD of -1.70 indicates Positive momentum. The RSI at 29.01 is Positive, neither overbought nor oversold. The STOCH value of 16.39 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CH:GALE.
Galenica AG Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | CHF3.91B | 7.66 | 27.15% | 0.67% | 27.63% | 160.67% | |
69 Neutral | CHF2.89B | 34.95 | 23.76% | 0.45% | 16.59% | 65.76% | |
62 Neutral | CHF4.70B | 30.18 | 9.76% | 1.43% | 17.34% | 18.15% | |
62 Neutral | CHF3.25B | 19.36 | 15.79% | 0.51% | 0.77% | 16.70% | |
61 Neutral | CHF4.47B | 26.89 | ― | 2.36% | 5.84% | 8.57% | |
55 Neutral | CHF1.47B | -14.70 | 4.57% | 2.31% | -9.34% | -37.50% | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% |
* Healthcare Sector Average
CH:GALE
Galenica AG
89.75
12.44
16.09%
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18.41%
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144.60
11.46
8.61%
CH:SFZN
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71.80
-20.90
-22.55%
CH:TECN
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125.10
-46.25
-26.99%
CH:YPSN
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288.50
-63.14
-17.96%
Galenica AG Corporate Events
Galenica’s Bichsel Unit to Shut Drug Production, Cut 152 Jobs by 2026
Mar 12, 2026
Galenica’s subsidiary Bichsel will shut down its loss-making pharmaceutical manufacturing operations by the end of 2026 after a consultation process confirmed that continued production is not economically viable, despite past investments and...
Galenica lifts earnings, boosts dividend and raises mid‑term profit targets
Mar 10, 2026
Galenica reported a strong 2025 performance, with net sales up 5.5% to CHF 4.14 billion and adjusted EBIT rising 11.3% to CHF 234.8 million, driven by all business areas and supported by improved margins and tighter working capital management. The...
Galenica to Close Bichsel Drug Production and Pivot to Home Care
Feb 24, 2026
Galenica’s Interlaken-based subsidiary Bichsel, a manufacturer of pharmaceutical products and provider of home care services, plans to shut down its pharmaceutical production operations by the end of 2026 after years of insufficient profitab...
Galenica tops CHF 4 billion in sales as integrated healthcare network drives record growth
Jan 22, 2026
Galenica AG reported record group sales of CHF 4,135.6 million for 2025, a 5.5% increase driven by broad-based growth across all business areas, notably strong demand for prescription medicines – including GLP-1 weight-loss products – ...
Galenica Expands Digital Presence with Puravita Stake Increase
Dec 16, 2025
Galenica AG has increased its stake in Puravita AG to 80%, enhancing its digital presence and diversifying its business. This move strengthens Galenica’s online offerings in the drugstore and health food sectors, aligning with its strategy t...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.