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ABBV vs. NVO: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ABBV and NVO, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

With ABBV at 321.13 billion USD and NVO at 305.18 billion USD, their market capitalizations sit in the same ballpark.

ABBV’s beta of 0.55 points to much larger expected swings compared to NVO’s calmer 0.21, suggesting both higher upside and downside potential.

NVO is an ADR, letting U.S. buyers tap its non-U.S. business directly, unlike ABBV, which is purely domestic.

SymbolABBVNVO
Company NameAbbVie Inc.Novo Nordisk A/S
CountryUSDK
SectorHealthcareHealthcare
IndustryDrug Manufacturers - GeneralDrug Manufacturers - General
CEOMr. Robert A. Michael CPAMr. Lars Fruergaard Jorgensen
Price181.8 USD68.2 USD
Market Cap321.13 billion USD305.18 billion USD
Beta0.550.21
ExchangeNYSENYSE
IPO DateJanuary 2, 2013April 30, 1981
ADRNoYes

Performance Comparison

This chart compares the performance of ABBV and NVO over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

For a detailed comparison of valuation metrics between ABBV and NVO, please refer to the table below.

SymbolABBVNVO
Price-to-Earnings Ratio (P/E, TTM)76.6218.78
Forward PEG Ratio (TTM)7.161.31
Price-to-Sales Ratio (P/S, TTM)5.606.53
Price-to-Book Ratio (P/B, TTM)226.3514.18
Price-to-Free Cash Flow Ratio (P/FCF, TTM)20.8726.50
EV-to-EBITDA (TTM)23.5812.81
EV-to-Sales (TTM)6.736.80
EV-to-Free Cash Flow (TTM)25.0827.57

Dividend Comparison

Both ABBV and NVO offer similar dividend yields (3.51% vs. 2.58%), indicating comparable approaches to balancing income and growth.

SymbolABBVNVO
Dividend Yield (TTM)3.51%2.58%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ABBV and NVO, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • With current ratios of 0.76 and 0.74, both ABBV and NVO have less current assets than short-term liabilities, which could strain their working capital and force reliance on additional financing.
  • Both ABBV (quick ratio 0.64) and NVO (quick ratio 0.56) fall below 0.8, meaning their most liquid assets—excluding inventory—aren’t enough to meet short-term obligations. This could force them to rely on receivables, inventory turn, or external financing.
  • ABBV is heavily leveraged (debt-to-equity ratio 49.22), which can boost returns but raises risk if borrowing costs climb, while NVO at 0.86 keeps leverage at a more moderate level.
SymbolABBVNVO
Current Ratio (TTM)0.760.74
Quick Ratio (TTM)0.640.56
Debt-to-Equity Ratio (TTM)49.220.86
Debt-to-Assets Ratio (TTM)0.510.24
Interest Coverage Ratio (TTM)6.1417.84