Novonesis (NVZMY) AI Stock Analysis

• Market Cap: $29.70B
• Dividend Yield: 1.51%
• Average Volume (3M): 1.56K
• Price to Earnings (P/E): 88.3
• Beta (1Y): 0.18
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 10,582
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.47
• Shares Outstanding: 414,555,050
• 10 Day Avg. Volume: 2,114
• 30 Day Avg. Volume: 1,559
• PEG Ratio: -15.01
• Price to Book (P/B): 10.13
• Price to Sales (P/S): 29.52
• P/FCF Ratio: 171.45
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 2.94
• Enterprise Value/Gross Profit: 11.28
• Enterprise Value/Ebitda: 24.09
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 63 Neutral
• Price Target: $68.00 ▲(7.24% Upside)

Novonesis's overall stock score is driven by strong operational efficiency and positive earnings call sentiment, highlighting growth in emerging markets and innovative product launches. However, the high P/E ratio indicates overvaluation, and technical indicators suggest cautious optimism. The decline in revenue and free cash flow growth remains a concern.

Positive Factors

Emerging Markets Growth

Strong growth in emerging markets indicates Novonesis's ability to capture new opportunities and expand its market presence, supporting long-term revenue growth.

Innovative Product Launches

The launch of new products enhances Novonesis's competitive edge and diversifies its offerings, which can drive sustained growth and market leadership.

EBITDA Margin Improvement

Improved EBITDA margins reflect operational efficiency and cost management, which can enhance profitability and provide financial stability.

Negative Factors

Revenue Decline

A decline in revenue growth poses a risk to Novonesis's future profitability and market competitiveness, necessitating strategic adjustments.

Free Cash Flow Decline

Decreasing free cash flow limits Novonesis's ability to invest in growth opportunities and may strain financial flexibility over time.

Beverage Segment Decline

The decline in the Beverage segment highlights challenges in maintaining market share, which could affect overall revenue and growth prospects.

Novonesis Business Overview & Revenue Model

Company Description

Novonesis (NVZMY) is a technology-driven company specializing in innovative solutions for the healthcare and life sciences sectors. The company focuses on developing advanced biotechnology products and services aimed at improving patient outcomes and enhancing operational efficiencies within medical institutions. Novonesis is known for its cutting-edge research and development in drug delivery systems, diagnostic tools, and personalized medicine, positioning itself as a leader in the biopharmaceutical landscape.

How the Company Makes Money

Novonesis generates revenue through multiple streams, primarily by selling its proprietary biotechnology products and services to healthcare providers, research institutions, and pharmaceutical companies. Key revenue streams include direct sales of its advanced drug delivery systems and diagnostic tools, as well as licensing agreements for its patented technologies. Additionally, Novonesis may enter into strategic partnerships with larger pharmaceutical companies for collaborative research and development projects, which can provide significant financial backing and shared revenue opportunities. The company's focus on personalized medicine also opens up avenues for reimbursement from healthcare payers, further enhancing its revenue potential.

Novonesis Financial Statement Overview

Summary

Novonesis demonstrates strong operational efficiency with healthy profit margins and a stable balance sheet characterized by low leverage. However, the significant decline in revenue and free cash flow growth presents challenges. The company needs to address these growth issues to maintain its financial health and support future expansion.

Income Statement

Novonesis has experienced a significant decline in revenue growth with a TTM decrease of 36.53%. Despite this, the company maintains a healthy gross profit margin of 51.81% and a net profit margin of 13.24%. The EBIT and EBITDA margins are also robust at 19.26% and 28.34%, respectively, indicating strong operational efficiency. However, the declining revenue trend poses a risk to future profitability.

Balance Sheet

The company's debt-to-equity ratio is relatively low at 0.29, suggesting a conservative leverage strategy. Return on equity is modest at 5.63%, reflecting moderate profitability relative to shareholder equity. The equity ratio stands at 65.89%, indicating a strong equity base relative to total assets. Overall, the balance sheet reflects financial stability with low leverage risk.

Cash Flow

Novonesis shows a decline in free cash flow growth by 39.23% TTM, which is concerning. The operating cash flow to net income ratio is 0.49, indicating that a significant portion of net income is supported by operating cash flow. The free cash flow to net income ratio is 0.76, suggesting that free cash flow generation is still relatively strong despite the decline. Cash flow management needs improvement to support long-term growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.81B	3.83B	17.90B	17.55B	14.95B	14.01B
Gross Profit	2.82B	1.81B	9.72B	9.58B	8.62B	7.85B
EBITDA	1.32B	8.07B	5.47B	6.12B	5.40B	4.82B
Net Income	725.96M	305.80M	3.02B	3.68B	3.15B	2.83B
Balance Sheet
Total Assets	19.16B	15.20B	28.39B	27.98B	24.77B	20.51B
Cash, Cash Equivalents and Short-Term Investments	363.66M	284.00M	1.12B	1.12B	1.04B	1.30B
Total Debt	3.65B	1.80B	7.73B	411.00M	482.00M	3.78B
Total Liabilities	6.53B	4.02B	14.04B	13.76B	12.56B	9.27B
Stockholders Equity	12.62B	11.18B	13.98B	13.84B	11.83B	11.23B
Cash Flow
Free Cash Flow	999.60M	660.10M	2.10B	1.12B	2.82B	3.42B
Operating Cash Flow	1.46B	1.02B	4.15B	4.01B	4.06B	4.36B
Investing Cash Flow	-1.97B	-199.70M	-2.13B	-2.67B	-2.75B	-1.52B
Financing Cash Flow	528.83M	-703.20M	-1.89B	-1.25B	-1.59B	-2.31B

Novonesis Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 63.41
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NVZMY, the sentiment is Positive. The current price of 63.41 is above the 20-day moving average (MA) of 62.40, above the 50-day MA of 62.49, and below the 200-day MA of 64.54, indicating a neutral trend. The MACD of 0.35 indicates Negative momentum. The RSI at 58.34 is Neutral, neither overbought nor oversold. The STOCH value of 99.79 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NVZMY.

Novonesis Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RPM	71 Outperform	$13.61B	19.82	24.05%	1.96%	3.09%	12.25%
PPG	67 Neutral	$23.41B	18.62	16.31%	2.71%	-12.98%	-11.34%
NVZMY	63 Neutral	$29.70B	88.30	21.63%	1.51%	―	―
DD	62 Neutral	$17.29B	-22.39	-0.46%	1.74%	2.42%	-196.54%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
IFF	61 Neutral	$17.28B	-41.67	-2.84%	2.41%	-3.01%	82.30%
LYB	52 Neutral	$13.92B	-11.50	-10.44%	12.78%	-19.65%	-157.13%

Novonesis Corporate Events

Novonesis A/S’s Promising Study on Gut Health Supplement: Market Implications

Novonesis A/S – Adr (NVZMY) is conducting a clinical study titled A Randomized, Double-Blind, Placebo-Controlled Decentralized Trial to Assess the Effect and Tolerability of Limosilactobacillus Reuteri DSM 17648 Supplement in Healthy Adults Reporting Upper Gastrointestinal Discomfort. The study aims to evaluate the effectiveness of the Limosilactobacillus reuteri DSM 17648 supplement in alleviating symptoms of upper gastrointestinal discomfort, improving quality of life, and assessing its impact on gut microbiota.

Novonesis A/S – Adr Reports Strong 2025 Earnings

The recent earnings call from Novonesis A/S – Adr revealed a solid performance in the first half of 2025, characterized by strong organic sales growth and improved EBITDA margins. Despite facing challenges such as currency headwinds and softness in the Beverages segment, the company’s positive outlook and strategic plans for future growth contributed to a balanced sentiment.

Novonesis A/S Reports Strong H1 2025 Growth

Novonesis A/S, a key player in the biosolutions industry, specializes in providing innovative solutions across food, health, and planetary health sectors, leveraging its strong market presence and strategic acquisitions to drive growth.