Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

AstraZeneca plc (ADR) (AZN), GlaxoSmithKline plc (ADR) (GSK): A Big Pharma Company With a Juicy Dividend Yield and Low Valuation

This product is the result of the collaboration between GlaxoSmithKline plc (ADR) (NYSE:GSK) and Theravance Inc (NASDAQ:THRX). According to the company, BREO ELLIPTA supports patients to breathe and minimize the risk of exacerbations. Looking forward, GlaxoSmithKline plc (ADR) (NYSE:GSK) estimates that it could grow its core EPS by 3%-4% CER (constant exchange rate).

Novartis AG (ADR) (NYSE:NVS), at $72.80 per share, is worth more than $178.8 billion on the market. The market values Novartis the most expensively at 13.45 times its forward earnings. Novartis AG (ADR) (NYSE:NVS) also has been seeking FDA approval for its once-daily COPD products. Several studieshave suggested the strength of Novartis AG (ADR) (NYSE:NVS)’ COPD products, including improving patients’ lung function and less exacerbation.

Tim Wright, the head of development commented: “The expanding Novartis COPD portfolio brings us another step closer to meeting the unmet needs of millions of patients worldwide.” For the full year 2013, Novartis AG (ADR) (NYSE:NVS) expects that its net revenue would be in line with 2012 CER, even after including $3.5 billion from generic competition. Its CER core operating income was estimated to decline in mid-single digits in 2013.

AstraZeneca pays investors the juiciest dividend yield of as high has 7.5%. GlaxoSmithKline plc (ADR) (NYSE:GSK) ranks second with 4.2% dividend yield, while the dividend yield of Novartis AG (ADR) (NYSE:NVS) is around 3.5%.

My Foolish take

AstraZeneca, under new leadership, should deliver decent operating results after its business restructure. With the juiciest dividend yield and the relatively lowest valuation, AstraZeneca seems to be a decent buy for long-term investors.

Anh HOANG has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Anh is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

The article A Big Pharma Company With a Juicy Dividend Yield and Low Valuation originally appeared on Fool.com is written by Anh HOANG.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.