NVO vs. SOLV: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at NVO and SOLV, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
NVO 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.
| Symbol | NVO | SOLV |
|---|---|---|
| Company Name | Novo Nordisk A/S | Solventum Corporation |
| Country | Denmark | United States |
| GICS Sector | Health Care | Health Care |
| GICS Industry | Pharmaceuticals | Health Care Equipment & Supplies |
| Market Capitalization | 200.09 billion USD | 12.45 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | April 30, 1981 | March 26, 2024 |
| Security Type | ADR | Common Stock |
Historical Performance
This chart compares the performance of NVO 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.
Historical Performance at a Glance
| Symbol | NVO | SOLV |
|---|---|---|
| 5-Day Price Return | -7.64% | 4.67% |
| 13-Week Price Return | -9.73% | -0.10% |
| 26-Week Price Return | -36.57% | 9.62% |
| 52-Week Price Return | -61.31% | -4.37% |
| Month-to-Date Return | -7.83% | 3.98% |
| Year-to-Date Return | -53.35% | 8.67% |
| 10-Day Avg. Volume | 7.68M | 1.12M |
| 3-Month Avg. Volume | 6.88M | 1.02M |
| 3-Month Volatility | 41.90% | 26.90% |
| Beta | 1.57 | 0.96 |
Profitability
Return on Equity (TTM)
NVO
66.95%
Pharmaceuticals Industry
- Max
- 38.59%
- Q3
- 19.84%
- Median
- 11.85%
- Q1
- 5.40%
- Min
- -10.91%
NVO’s Return on Equity of 66.95% is exceptionally high, placing it well beyond the typical range for the Pharmaceuticals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
SOLV
41.02%
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 41.02% is exceptionally high, placing it well beyond the typical range for the Health Care Equipment & Supplies industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Net Profit Margin (TTM)
NVO
32.88%
Pharmaceuticals Industry
- Max
- 40.67%
- Q3
- 19.07%
- Median
- 12.31%
- Q1
- 4.50%
- Min
- -9.91%
A Net Profit Margin of 32.88% places NVO in the upper quartile for the Pharmaceuticals industry, signifying strong profitability and more effective cost management than most of its peers.
SOLV
18.13%
Health Care Equipment & Supplies Industry
- Max
- 24.41%
- Q3
- 13.71%
- Median
- 10.08%
- Q1
- 5.96%
- Min
- -5.58%
A Net Profit Margin of 18.13% places SOLV in the upper quartile for the Health Care Equipment & Supplies industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin (TTM)
NVO
42.03%
Pharmaceuticals Industry
- Max
- 45.78%
- Q3
- 23.14%
- Median
- 16.68%
- Q1
- 7.98%
- Min
- -7.13%
An Operating Profit Margin of 42.03% places NVO in the upper quartile for the Pharmaceuticals industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
SOLV
25.11%
Health Care Equipment & Supplies Industry
- Max
- 31.09%
- Q3
- 18.11%
- Median
- 15.07%
- Q1
- 8.48%
- Min
- -0.28%
An Operating Profit Margin of 25.11% places SOLV in the upper quartile for the Health Care Equipment & Supplies industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | NVO | SOLV |
|---|---|---|
| Return on Equity (TTM) | 66.95% | 41.02% |
| Return on Assets (TTM) | 21.29% | 10.50% |
| Net Profit Margin (TTM) | 32.88% | 18.13% |
| Operating Profit Margin (TTM) | 42.03% | 25.11% |
| Gross Profit Margin (TTM) | 82.05% | 54.18% |
Financial Strength
Current Ratio (MRQ)
NVO
0.78
Pharmaceuticals Industry
- Max
- 4.65
- Q3
- 2.64
- Median
- 1.85
- Q1
- 1.26
- Min
- 0.78
NVO’s Current Ratio of 0.78 is notably low, falling beneath the typical range for the Pharmaceuticals industry. This suggests a heightened liquidity risk and could indicate potential challenges in meeting its short-term obligations.
SOLV
1.50
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 1.50 aligns with the median group of the Health Care Equipment & Supplies industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
NVO
0.60
Pharmaceuticals Industry
- Max
- 1.75
- Q3
- 0.82
- Median
- 0.35
- Q1
- 0.13
- Min
- 0.00
NVO’s Debt-to-Equity Ratio of 0.60 is typical for the Pharmaceuticals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
SOLV
1.03
Health Care Equipment & Supplies Industry
- Max
- 1.61
- Q3
- 0.76
- Median
- 0.45
- Q1
- 0.14
- Min
- 0.00
SOLV’s leverage is in the upper quartile of the Health Care Equipment & Supplies industry, with a Debt-to-Equity Ratio of 1.03. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio (TTM)
NVO
149.07
Pharmaceuticals Industry
- Max
- 103.95
- Q3
- 43.60
- Median
- 9.83
- Q1
- 2.37
- Min
- -42.71
With an Interest Coverage Ratio of 149.07, NVO demonstrates a superior capacity to service its debt, placing it well above the typical range for the Pharmaceuticals industry. This stems from either robust earnings or a conservative debt load.
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.
Financial Strength at a Glance
| Symbol | NVO | SOLV |
|---|---|---|
| Current Ratio (MRQ) | 0.78 | 1.50 |
| Quick Ratio (MRQ) | 0.57 | 1.14 |
| Debt-to-Equity Ratio (MRQ) | 0.60 | 1.03 |
| Interest Coverage Ratio (TTM) | 149.07 | 2.65 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
NVO
4.03%
Pharmaceuticals Industry
- Max
- 7.14%
- Q3
- 3.45%
- Median
- 2.17%
- Q1
- 0.33%
- Min
- 0.00%
With a Dividend Yield of 4.03%, NVO 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.
Dividend Payout Ratio (TTM)
NVO
68.98%
Pharmaceuticals Industry
- Max
- 199.58%
- Q3
- 97.17%
- Median
- 53.47%
- Q1
- 22.97%
- Min
- 0.00%
NVO’s Dividend Payout Ratio of 68.98% 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.
Dividend at a Glance
| Symbol | NVO | SOLV |
|---|---|---|
| Dividend Yield (TTM) | 4.03% | 0.00% |
| Dividend Payout Ratio (TTM) | 68.98% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
NVO
12.46
Pharmaceuticals Industry
- Max
- 45.19
- Q3
- 27.91
- Median
- 20.59
- Q1
- 15.08
- Min
- 3.79
In the lower quartile for the Pharmaceuticals industry, NVO’s P/E Ratio of 12.46 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
SOLV
8.18
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 8.18 is below the typical range for the Health Care Equipment & Supplies industry. This may indicate that the stock is potentially undervalued, or it could reflect market concerns about the company’s future prospects.
Price-to-Sales Ratio (TTM)
NVO
4.10
Pharmaceuticals Industry
- Max
- 8.87
- Q3
- 4.56
- Median
- 2.14
- Q1
- 1.58
- Min
- 0.11
NVO’s P/S Ratio of 4.10 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
1.48
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 1.48 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.
Price-to-Book Ratio (MRQ)
NVO
6.88
Pharmaceuticals Industry
- Max
- 9.78
- Q3
- 4.99
- Median
- 2.48
- Q1
- 1.53
- Min
- 0.59
NVO’s P/B Ratio of 6.88 is in the upper tier for the Pharmaceuticals industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
SOLV
2.54
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 2.54 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.
Valuation at a Glance
| Symbol | NVO | SOLV |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 12.46 | 8.18 |
| Price-to-Sales Ratio (TTM) | 4.10 | 1.48 |
| Price-to-Book Ratio (MRQ) | 6.88 | 2.54 |
| Price-to-Free Cash Flow Ratio (TTM) | 19.82 | 54.14 |