NVSEF - Why Novartis Deserves Your Attention After Q2 2024 Results
2024-07-19 10:15:54 ET
Summary
- On July 18, Novartis AG released its second-quarter 2024 financial results, which were solid.
- The company's free cash flow was about $4.62 billion for the second quarter of 2024, up 40% year over year, primarily due to strong sales of its oncology franchise.
- So, Kisqali sales amounted to $717 million for the three months ended June 30, 2024, an increase of 45.4% year-on-year.
- On the other hand, sales of Entresto, a heart medication, were $1.9 billion in the second quarter, not only up 28% year over year but also beating my expectations.
- Consequently, I am initiating coverage of Novartis with a “buy” rating.
Novartis AG ( NVS ) is a Swiss pharmaceutical company with one of the leading positions in the global cancer and autoimmune disease therapeutics markets.
Investment thesis
On July 18 , Novartis published financial results for the second quarter of 2024. These demonstrated to Wall Street the ability of its CEO Vasant Narasimhan to make significant progress in developing its oncology and immunology franchises despite increasing competition from pharmaceutical giants Merck ( MRK ), Pfizer ( PFE ), and AbbVie ( ABBV )....
Why Novartis Deserves Your Attention After Q2 2024 Results