2023-07-23 08:30:00 ET
For a dividend investor, generating enough income to become and stay financially independent (higher passive income than expenses) comes down in large part to the longevity of the businesses in an investment portfolio. Here's what I mean: When you invest your money in a business, you want to be reasonably confident it will be around a good long while. After all, a company can't pay dividends if its business crumbles.
With a corporate history dating back to the 18th century, few businesses are as capable of paying dividends for many more decades as the Swiss pharmaceutical giant Novartis (NYSE: NVS) . But is the stock currently a buy for dividend investors today? Let's drill down into Novartis' fundamentals and valuation to settle this question.
Novartis routinely ranks among the 10 largest drugmakers in the world. The company's $220 billion market capitalization is supported by an unbelievably deep portfolio of medicines. Based on results from the first half of 2023, 14 of Novartis' products will exceed $1 billion in annual net sales this year. This is led by the No. 1 heart failure brand prescribed by cardiologists, Entresto, which is poised to surpass $6 billion in net sales in 2023.
For further details see:
Should Income Investors Buy This Blue Chip Stock?