Fact based stock research
Alcon (SWX:ALC)

CH0432492467

How to read the free ranks

For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

Alcon stock research in summary

alcon.com

ANALYSIS: With an Obermatt Combined Rank of 31 (worse than 69% compared with investment alternatives), Alcon (Health Care Supplies, Switzerland) shares have somewhat below-average financial characteristics compared with similar stocks. Shares of Alcon are low in value (priced high) with a consolidated Value Rank of 29 (worse than 71% of alternatives) and show below-average growth (Growth Rank of 45) but are safely financed (Safety Rank of 66), which means low debt burdens. ...read more

RECOMMENDATION: A Combined Rank of 31, is a hold recommendation based on Alcon's financial characteristics. As the company Alcon's critical financial metrics exhibit below-average performance, such as low value (Obermatt Value Rank of 29) and low growth (Obermatt Growth Rank of 45), it is a somewhat questionable stock investment, where the risk of paying too much for the shares is significant, unless the company has an exceptionally bright future. In this case, good financing practices (Obermatt Safety Rank of 66) are a positive sign, because it may allow the company to weather challenging times until the hoped-for cash flows materialize. This may be true for high-tech or biotechnology companies with enough cash to sustain prolonged business development. If they own properties that only provide cash flows in the future, the stock may look excessively expensive and unattractive today. In such cases, the Obermatt Method has limited value, as it is based on facts we can observe today. If the facts lie all in the future, stock investing becomes guesswork, and this should only be a driver in a limited number of investments that account for a small fraction of a safe portfolio. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	29
Growth Rank	45
Safety Rank	66
Combined Rank	31

Country	Switzerland
Industry	Health Care Supplies
Index	SPI, SMI
Size class	X-Large

This stock has achievements: Top 10 Stock.

27-Mar-2025. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

Multiple opinions. One number.

Analysts rarely agree on a stock’s future. So, who do you believe? Obermatt translates those collective views into a single Sentiment Rank. That plus the financial ranks give you the ultimate 360° View. Sign up to access them.

Why popular stocks have low ratings

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: Alcon

RESEARCH HISTORY	2022	2023	2024	2025
VALUE
VALUE	49	41	22	29
GROWTH
GROWTH	51	47	42	45
SAFETY
SAFETY	19	39	57	66
SENTIMENT
SENTIMENT	58	47	90	^new
360° VIEW
360° VIEW	27	25	57	^new

Most recent update of the stock research: 27-Mar-2025. Financial reporting date used for calculating ranks: 30-Sep-2024. Stock research history is based on the Obermatt Method. The higher the rank, the better Alcon is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2022	2023	2024	2025
VALUE
VALUE	49	41	22	29
GROWTH
GROWTH	51	47	42	45
SAFETY
SAFETY	19	39	57	66
COMBINED
COMBINED	17	18	14	31

Last update of combined financial performance: 27-Mar-2025. Stock analysis on combined financial performance: The higher the rank of Alcon the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 29 (worse than 71% compared with alternatives), Alcon shares are more expensive than the average comparable stock. The Value Rank is based on consolidating four value indicators where three out of four are below average for Alcon. Only the Price-to-Book Capital ratio (also referred to as market-to-book ratio) indicates good stock value with a Price-to-Book Rank of 59, which means that the stock price is lower compared with invested capital than for 59% of comparable investments. All other value indicators are below the market median. Price-to-Sales is 8 which means the stock price compared with what market professionals expect for future profits is higher than 92% of comparable companies, indicating a low value concerning Alcon's revenue levels. The same is valid for the Price-to-Book Capital ratio (also referred to as market-to-book ratio) with a Price-to-Book Rank of 59 and for the dividend yields rank which is lower than for 64% of comparable companies, making the stock more expensive as regards to with the company's expected dividend payouts. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 29, is a hold recommendation based on Alcon's stock price compared with the company's operational size and dividend yields. Why are market participants paying such a high price for Alcon, where three out of four value indicators are below par? One reason could be that the company is well financed, indicated by the high book capital level, and has a promising future that is not yet visible in reported revenues and profits. That would also explain the low dividend yield because the company needs the cash to invest in its future. If investors can verify a picture in this sense, the stock may still be a good investment, even though current company-reported financials don't fully explain current stock prices. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision, which is essential in this case, as the financial indicators are inconclusive. ...read more

VALUE METRICS	2022	2023	2024	2025
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	31	28	13	8
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	29	35	28	27
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	84	70	61	59
DIVIDEND YIELD
DIVIDEND YIELD	32	34	30	36
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	49	41	22	29

Last update of Value Rank: 27-Mar-2025. Stock analysis on value ratios: The higher the rank, the lower the value ratio of Alcon; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 45 (better than 45% compared with alternatives), Alcon shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for Alcon. Sales Growth has a rank of 54 which means that currently professionals expect the company to grow more than 54% of its competitors. Stock Returns are also above average with a rank of 69. But Capital Growth has only a rank of 13, which means that currently professionals expect the company to grow its invested capital less than 87% of its competitors. Profit Growth is also low, with a rank of only 46, which means that, currently, professionals expect the company to grow its profits below average. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 45, is a hold recommendation for growth and momentum investors. This is a surprising picture, as the messages from the operating growth indicators of revenues, profits, and invested capital are mixed, while stock returns are above average. It may indicate new intellectual properties, such as brand improvement or a strong market position that shows in revenues but not in the capital. The low profit-growth rate may indicate an early phase where costs are still high, and revenues don't fully cover upfront investments or fixed costs. The positive investor outlook with a 69% peer outperformance is reaffirmed in this case which may be a good sign for an investment into a well-protected high-growth company. This fact needs to be confirmed by researching the company website and press. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is mixed here. ...read more

GROWTH METRICS	2022	2023	2024	2025
REVENUE GROWTH
REVENUE GROWTH	27	26	36	54
PROFIT GROWTH
PROFIT GROWTH	81	74	39	46
CAPITAL GROWTH
CAPITAL GROWTH	44	42	28	13
STOCK RETURNS
STOCK RETURNS	49	53	84	69
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	51	47	42	45

Last update of Growth Rank: 27-Mar-2025. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of Alcon.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 66 (better than 66% compared with alternatives), the company Alcon has financing practices on the safer side, which mean that their overall debt burden is lower than average. This doesn't mean that the business of Alcon is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with two out of three indicators above average for Alcon. Leverage is at a rank of 70, meaning the company has a below-average debt-to-equity ratio. It has less debt than 70% of its competitors. Liquidity is also good at a rank of 62, meaning the company generates more profit to service its debt than 62% of its competitors. This indicates that the company is on the safer side when it comes to debt service. But Refinancing is lower at a rank of 40, which means that the portion of the debt that is about to be refinanced is above-average. It has more debt in the refinancing stage than 60% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 66 (better than 66% compared with alternatives), Alcon has a financing structure that is safer than that of its competitors. The refinancing issues could be a short-term problem, especially if the company has reputation issues. Banks and investors don't like to refinance debt if there are clouds on the horizon. For this reason, investors should look at the refinancing environment for Alcon. Does it look safe that debt that is coming due can be covered with new debt? If that is the case, then the financing situation of the company is on the safer side. If not, it may be better to wait until refinancing has been completed and the Refinancing rank is good again. Investors may have a short-term debt challenge with Alcon and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2022	2023	2024	2025
LEVERAGE
LEVERAGE	62	66	69	70
REFINANCING
REFINANCING	11	33	39	40
LIQUIDITY
LIQUIDITY	17	25	48	62
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	19	39	57	66

Last update of Safety Rank: 27-Mar-2025. Stock analysis on safety metrics: The higher the rank, the lower the leverage of Alcon and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2022	2023	2024	2025
ANALYST OPINIONS
ANALYST OPINIONS	n/a	56	75	^new
OPINIONS CHANGE
OPINIONS CHANGE	50	48	38	^new
PRO HOLDINGS
PRO HOLDINGS	70	46	82	^new
MARKET PULSE
MARKET PULSE	52	56	83	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	58	47	90	^new

Last update of Sentiment Rank: 27-Mar-2025. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for Alcon.
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