Novartis (NVS) closed the latest trading day at $95.92, indicating a -1.39% change from the previous session's end. The stock's performance was behind the S&P 500's daily gain of 0.63%. At the same time, the Dow added 0.2%, and the tech-heavy Nasdaq gained 0.82%.

The drugmaker's stock has dropped by 2.91% in the past month, falling short of the Medical sector's gain of 0.91% and the S&P 500's gain of 1.76%.

Analysts and investors alike will be keeping a close eye on the performance of Novartis in its upcoming earnings disclosure. The company's upcoming EPS is projected at $1.73, signifying a 1.17% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $11.43 billion, indicating a 11.75% decline compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $7.18 per share and revenue of $47.44 billion, which would represent changes of +4.06% and -4.69%, respectively, from the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Novartis. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 0.69% lower within the past month. As of now, Novartis holds a Zacks Rank of #3 (Hold).

Investors should also note Novartis's current valuation metrics, including its Forward P/E ratio of 13.56. Its industry sports an average Forward P/E of 14.16, so one might conclude that Novartis is trading at a discount comparatively.

Meanwhile, NVS's PEG ratio is currently 1.51. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Large Cap Pharmaceuticals industry stood at 1.72 at the close of the market yesterday.