Novo Nordisk A/S (NVO) vs Sanofi (SNY)

Novo Nordisk A/S and Sanofi are both Drug Manufacturers General companies. Novo Nordisk A/S is the larger, with a market value of $134.8B against $111.8B — 1.2× the size. Novo Nordisk A/S trades at the lower P/E: 10.1× against 23.3×. Sanofi grew revenue faster over the last twelve months: 26.3% against 11.1%. Novo Nordisk A/S has the higher net margin (34.1% vs 8.27%) and the higher return on invested capital (29.6% vs 7.05%). Both pay a dividend; Sanofi yields more (5.15% vs 4.46%). Across the 23 metrics below, Novo Nordisk A/S leads on 12 and Sanofi on 11.

Valuation

Metric NVO SNY Drug Manufacturers General median
P/E 10.12 23.30 26.51
P/S 3.41 1.91 3.49
P/B 5.28 1.40 5.28
Price to free cash flow 25.76 6.75 21.67
EV/EBITDA 6.99 11.45 14.73
EV/Sales 3.67 2.14 4.15
Earnings yield 9.88% 4.29% 2.41%
Free cash flow yield 3.88% 14.82% 4.07%

Profitability

Metric NVO SNY Drug Manufacturers General median
Gross margin 80.89% 73.44% 73.01%
Operating margin 42.66% 18.73% 18.34%
Net margin 34.09% 8.27% 7.31%
Free cash flow margin 13.25% 40.26% 18.56%
Return on equity 58.84% 0.00% 5.80%
Return on assets 20.52% 3.24% 2.28%
Return on invested capital 29.63% 7.05% 6.26%

Growth

Metric NVO SNY Drug Manufacturers General median
Revenue growth (TTM) 11.14% 26.32% 6.72%
EPS growth (last fiscal year) 6.40% 45.97% 21.81%
Revenue growth, 5-year CAGR 19.20% 4.37% 4.75%
Net income growth, 5-year CAGR 19.16% (8.87%) 0.00%

Health

Metric NVO SNY Drug Manufacturers General median
Debt to equity 0.62 0.25 0.62
Current ratio 0.84 1.12 1.39
Net debt to EBITDA 0.65 0.76 1.15

Dividend

Metric NVO SNY Drug Manufacturers General median
Dividend yield 4.46% 5.15% 2.32%
Payout ratio 0.45 1.20 0.59

Size

Metric NVO SNY Drug Manufacturers General median
Market cap 134.84b 111.81b 129.04b

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