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GSK vs. SOLV: A Head-to-Head Stock Comparison

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Here’s a clear look at GSK and SOLV, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

GSK trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, SOLV is a standard domestic listing.

SymbolGSKSOLV
Company NameGSK plcSolventum Corporation
CountryUnited KingdomUnited States
GICS SectorHealth CareHealth Care
GICS IndustryPharmaceuticalsHealth Care Equipment & Supplies
Market Capitalization91.59 billion USD12.66 billion USD
ExchangeNYSENYSE
Listing DateMarch 28, 1980March 26, 2024
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of GSK and SOLV by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

GSK vs. SOLV: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolGSKSOLV
5-Day Price Return6.03%1.64%
13-Week Price Return11.47%-3.74%
26-Week Price Return6.71%-1.67%
52-Week Price Return5.28%8.04%
Month-to-Date Return8.40%-0.12%
Year-to-Date Return16.93%10.51%
10-Day Avg. Volume5.46M1.15M
3-Month Avg. Volume5.70M1.01M
3-Month Volatility24.21%24.25%
Beta0.990.93

Profitability

Return on Equity (TTM)

GSK

24.18%

Pharmaceuticals Industry

Max
38.59%
Q3
19.84%
Median
11.85%
Q1
5.40%
Min
-10.91%

In the upper quartile for the Pharmaceuticals industry, GSK’s Return on Equity of 24.18% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

SOLV

11.61%

Health Care Equipment & Supplies Industry

Max
29.93%
Q3
16.99%
Median
9.28%
Q1
5.10%
Min
-12.52%

SOLV’s Return on Equity of 11.61% is on par with the norm for the Health Care Equipment & Supplies industry, indicating its profitability relative to shareholder equity is typical for the sector.

GSK vs. SOLV: A comparison of their Return on Equity (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Net Profit Margin (TTM)

GSK

10.82%

Pharmaceuticals Industry

Max
40.67%
Q3
19.07%
Median
12.31%
Q1
4.50%
Min
-9.91%

GSK’s Net Profit Margin of 10.82% is aligned with the median group of its peers in the Pharmaceuticals industry. This indicates its ability to convert revenue into profit is typical for the sector.

SOLV

4.52%

Health Care Equipment & Supplies Industry

Max
24.41%
Q3
13.71%
Median
10.08%
Q1
5.96%
Min
-5.58%

Falling into the lower quartile for the Health Care Equipment & Supplies industry, SOLV’s Net Profit Margin of 4.52% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

GSK vs. SOLV: A comparison of their Net Profit Margin (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Operating Profit Margin (TTM)

GSK

16.22%

Pharmaceuticals Industry

Max
45.78%
Q3
23.14%
Median
16.68%
Q1
7.98%
Min
-7.13%

GSK’s Operating Profit Margin of 16.22% is around the midpoint for the Pharmaceuticals industry, indicating that its efficiency in managing core business operations is typical for the sector.

SOLV

9.26%

Health Care Equipment & Supplies Industry

Max
31.09%
Q3
18.11%
Median
15.07%
Q1
8.48%
Min
-0.28%

SOLV’s Operating Profit Margin of 9.26% is around the midpoint for the Health Care Equipment & Supplies industry, indicating that its efficiency in managing core business operations is typical for the sector.

GSK vs. SOLV: A comparison of their Operating Profit Margin (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Profitability at a Glance

SymbolGSKSOLV
Return on Equity (TTM)24.18%11.61%
Return on Assets (TTM)5.77%2.58%
Net Profit Margin (TTM)10.82%4.52%
Operating Profit Margin (TTM)16.22%9.26%
Gross Profit Margin (TTM)71.77%54.65%

Financial Strength

Current Ratio (MRQ)

GSK

0.87

Pharmaceuticals Industry

Max
4.65
Q3
2.64
Median
1.85
Q1
1.26
Min
0.78

GSK’s Current Ratio of 0.87 falls into the lower quartile for the Pharmaceuticals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

SOLV

1.22

Health Care Equipment & Supplies Industry

Max
5.19
Q3
3.00
Median
2.13
Q1
1.44
Min
0.86

SOLV’s Current Ratio of 1.22 falls into the lower quartile for the Health Care Equipment & Supplies industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

GSK vs. SOLV: A comparison of their Current Ratio (MRQ) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Debt-to-Equity Ratio (MRQ)

GSK

1.17

Pharmaceuticals Industry

Max
1.75
Q3
0.82
Median
0.35
Q1
0.13
Min
0.00

GSK’s leverage is in the upper quartile of the Pharmaceuticals industry, with a Debt-to-Equity Ratio of 1.17. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

SOLV

2.14

Health Care Equipment & Supplies Industry

Max
1.61
Q3
0.76
Median
0.45
Q1
0.14
Min
0.00

With a Debt-to-Equity Ratio of 2.14, SOLV operates with exceptionally high leverage compared to the Health Care Equipment & Supplies industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

GSK vs. SOLV: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Interest Coverage Ratio (TTM)

GSK

2.37

Pharmaceuticals Industry

Max
103.95
Q3
43.60
Median
9.83
Q1
2.37
Min
-42.71

GSK’s Interest Coverage Ratio of 2.37 is positioned comfortably within the norm for the Pharmaceuticals industry, indicating a standard and healthy capacity to cover its interest payments.

SOLV

2.65

Health Care Equipment & Supplies Industry

Max
56.35
Q3
25.56
Median
9.60
Q1
3.78
Min
-26.49

In the lower quartile for the Health Care Equipment & Supplies industry, SOLV’s Interest Coverage Ratio of 2.65 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

GSK vs. SOLV: A comparison of their Interest Coverage Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Financial Strength at a Glance

SymbolGSKSOLV
Current Ratio (MRQ)0.871.22
Quick Ratio (MRQ)0.570.86
Debt-to-Equity Ratio (MRQ)1.172.14
Interest Coverage Ratio (TTM)2.372.65

Growth

Revenue Growth

GSK vs. SOLV: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

GSK vs. SOLV: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

GSK

3.93%

Pharmaceuticals Industry

Max
7.14%
Q3
3.45%
Median
2.17%
Q1
0.33%
Min
0.00%

With a Dividend Yield of 3.93%, GSK offers a more attractive income stream than most of its peers in the Pharmaceuticals industry, signaling a strong commitment to shareholder returns.

SOLV

0.00%

Health Care Equipment & Supplies Industry

Max
4.15%
Q3
1.76%
Median
0.79%
Q1
0.00%
Min
0.00%

SOLV currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

GSK vs. SOLV: A comparison of their Dividend Yield (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Dividend Payout Ratio (TTM)

GSK

54.01%

Pharmaceuticals Industry

Max
199.58%
Q3
97.17%
Median
53.47%
Q1
22.97%
Min
0.00%

GSK’s Dividend Payout Ratio of 54.01% is within the typical range for the Pharmaceuticals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

SOLV

0.00%

Health Care Equipment & Supplies Industry

Max
160.00%
Q3
66.60%
Median
27.49%
Q1
0.00%
Min
0.00%

SOLV has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

GSK vs. SOLV: A comparison of their Dividend Payout Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Dividend at a Glance

SymbolGSKSOLV
Dividend Yield (TTM)3.93%0.00%
Dividend Payout Ratio (TTM)54.01%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

GSK

18.51

Pharmaceuticals Industry

Max
45.19
Q3
27.91
Median
20.59
Q1
15.08
Min
3.79

GSK’s P/E Ratio of 18.51 is within the middle range for the Pharmaceuticals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SOLV

33.41

Health Care Equipment & Supplies Industry

Max
67.29
Q3
47.01
Median
30.94
Q1
23.91
Min
10.79

SOLV’s P/E Ratio of 33.41 is within the middle range for the Health Care Equipment & Supplies industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

GSK vs. SOLV: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Price-to-Sales Ratio (TTM)

GSK

2.00

Pharmaceuticals Industry

Max
8.87
Q3
4.56
Median
2.14
Q1
1.58
Min
0.11

GSK’s P/S Ratio of 2.00 aligns with the market consensus for the Pharmaceuticals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

SOLV

1.51

Health Care Equipment & Supplies Industry

Max
9.49
Q3
5.41
Median
2.86
Q1
2.07
Min
0.74

In the lower quartile for the Health Care Equipment & Supplies industry, SOLV’s P/S Ratio of 1.51 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

GSK vs. SOLV: A comparison of their Price-to-Sales Ratio (TTM) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Price-to-Book Ratio (MRQ)

GSK

3.84

Pharmaceuticals Industry

Max
9.78
Q3
4.99
Median
2.48
Q1
1.53
Min
0.59

GSK’s P/B Ratio of 3.84 is within the conventional range for the Pharmaceuticals industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

SOLV

3.60

Health Care Equipment & Supplies Industry

Max
10.85
Q3
6.56
Median
3.53
Q1
2.36
Min
0.71

SOLV’s P/B Ratio of 3.60 is within the conventional range for the Health Care Equipment & Supplies industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

GSK vs. SOLV: A comparison of their Price-to-Book Ratio (MRQ) against their respective Pharmaceuticals and Health Care Equipment & Supplies industry benchmarks.

Valuation at a Glance

SymbolGSKSOLV
Price-to-Earnings Ratio (TTM)18.5133.41
Price-to-Sales Ratio (TTM)2.001.51
Price-to-Book Ratio (MRQ)3.843.60
Price-to-Free Cash Flow Ratio (TTM)13.5855.06