ALC
Alcon AG
$68.38
▼ 1.8%Updated Today 12:11 PM ET
ALC at a glance — five pillars scored 0–100 from real filed financials.
Overall: Weak · 33/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
▼ Down 22.1% over the last 12 months
Market Cap
$30.80B
P/E
41.83x
Forward P/E (est.)
56.71x
ROE
3.7%
Revenue Growth
7.1%
EPS Growth
-26.3%
Profit Margin
7.7%
FCF Yield
2.9%
Debt / Equity
0.24x
ROIC
—
Interest Coverage
275x
Current Ratio
3.39x
Dividend Yield
0.5%
Implied Growth (rev. DCF)
2.1%
Rating Score
33/100
Alcon AG (ALC) is a large-cap company in the Health Care industry, part of the Health Care sector of the S&P 500, with a market value around $30.80B.
In its latest reported year it generated about $7.18B in revenue.
Our model rates ALC Weak (33/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what ALC's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. ALC trades near $68.38, around its 50-day average ($67.59) and 200-day average ($75.49). Price tangled in its moving averages means there is no clear trend — the stock is ranging.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 56 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. ALC's is $1.55 (~2.3% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month ALC found buyers near $63.81 (support) and sellers near $69.75 (resistance); its 52-week range is $61.83–$92.55. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.6× the 20-day average — lighter than usual, so the move carries less conviction. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
3Y CAGR
8.6%
Revenue moved from $5.60B in 2007 to $7.18B in 2010, a 8.6% compound annual growth rate. The most recent year grew a steady 7.1% year over year. Slower, mature growth is common for established businesses.
Gross Margin
76.7%
Operating Margin
34.5%
Net Margin
7.7%
ROE
3.7%
Alcon AG keeps about 7.7% of each sales dollar as net profit, with a 76.7% gross margin and 34.5% operating margin. Return on equity is 3.7%. Margins are moderate — typical of a competitive but profitable business.
Total Debt
$62.00M
Net Debt
-$2.46B
Net cash position
Net Debt / EBITDA
-1x
Debt / Equity
0.24x
Leverage: debt-to-equity is 0.2x, and operating profit covers interest about 275.0x, with a current ratio of 3.4x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $62.00M of total debt against $2.52B of cash.
Operating CF
$2.38B
Free Cash Flow
$2.07B
FCF Margin
28.8%
In the latest year Alcon AG produced about $2.38B of operating cash flow and $2.07B of free cash flow after capital spending. That is a free-cash-flow yield of about 2.9% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.
P/E
41.83x
P/S
3.29x
P/B
1.79x
EV / EBITDA
—
ALC trades at 41.8x trailing earnings (about 56.7x on estimated forward earnings), 3.3x sales, and 1.8x book value. Reverse-engineering today's price implies the market expects roughly 2.1% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.
A two-stage discounted cash flow on real SEC-filed free cash flow — the intrinsic-value anchor professional analysts triangulate from.
DCF fair value / share
$86.85
Current price
$68.38
Starting FCF (latest 10-K)
$2.07B
Growth, years 1–5
7.1%
Fade to terminal, years 6–10
2.5%
Discount rate
9.0%
Cash flows grow at the stage-1 rate (trailing revenue growth, capped at 20%) for five years, fade to 2.5% by year 10, and continue at that rate forever (Gordon terminal value), all discounted at 9.0%. Small changes in assumptions move the result a lot — treat this as one reference point, not a target price. Educational only, not investment advice.
Where ALC sits versus its Health Care sector peers in the S&P 500.
Bands show the middle half (25th–75th percentile) of the 53 Health Care companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
How ALC stacks up against its Health Care peers — valuation, profitability, and growth versus the sector median.
In the Health Care sector (198 S&P 500 companies), ALC ranks #44 of 198 by our overall rating. It trades at a premium versus the sector on earnings (41.8x P/E vs. 25.5x median) with a lower return on equity (3.7% vs. 14.5%) and slower revenue growth (7.1% vs. 7.6%).
P/E vs sector
41.8x
median 25.5x
ROE vs sector
3.7%
median 14.5%
Growth vs sector
7.1%
median 7.6%
Sector rank
#44
of 198 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Health Care companies by sub-industry and size. Sector median is across all 198 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$0.00 – $0.00
vs. $68.38 today · expected CAGR -10% – 0%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $7.68B | $8.22B | $8.79B | $9.41B | $10.07B |
| Net income | $614.52M | $657.54M | $703.57M | $752.82M | $805.51M |
| EPS | $1.26 | $1.35 | $1.44 | $1.54 | $1.65 |
| Share price (low) | $31.52 | $33.72 | $36.09 | $38.61 | $41.31 |
| Share price (high) | $52.95 | $56.66 | $60.62 | $64.87 | $69.41 |
| CAGR (low–high) | -54% / -23% | -30% / -9% | -19% / -4% | -13% / -1% | -10% / 0% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for ALC:
- A conservative balance sheet (debt/equity 0.2x) lowers risk.
- As an established S&P 500 member in Health Care, it brings scale and a long operating history.
The case against ALC:
- A rich 41.8x earnings multiple prices in a lot of growth.
- Our model's overall read is Weak (33/100).
Valuation risk — at 41.8x earnings, disappointing results could compress the multiple.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen weakly: Alcon AG is a large-cap health care business growing at a mature pace, with modest profitability, and a sound balance sheet. It trades at 41.8x earnings, which our model scores Weak (33/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
ALC — frequently asked questions
Is ALC a good stock to buy?
We don't give buy or sell advice. Our model rates Alcon AG Weak (33/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is ALC's rating on The Stocks School?
Alcon AG currently scores 33/100 (Weak) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does ALC's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from Alcon AG's SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for ALC calculated?
It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.
Is this ALC analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell ALC. Always do your own research and consider a licensed professional.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.