Novartis AG (NVS) Gets Upgraded to Overweight from Neutral by JPMorgan

Novartis AG (NYSE:NVS) is one of the best pharma stocks to invest in. On December 8, Novartis AG (NYSE:NVS) was upgraded to Overweight from Neutral by JPMorgan. The firm lifted the price target to CHF 125 from CHF 95, releasing adjusted ratings for companies under its coverage in the European pharma group as part of its 2026 outlook.

JPMorgan anticipates performance in the sector to be driven by pipeline readouts and downgraded the companies that had a lack of pipeline readouts in 2026.

Separately, Novartis AG (NYSE:NVS) announced on November 24 that Itvisma attained FDA approval to treat children two years and older, adults, and teens with spinal muscular atrophy, with a confirmed mutation in the survival motor neuron 1 (SMN1) gene. The approval makes it the first and only gene replacement therapy available for this broad population.

Management reported that Itvisma exhibited improved motor function and stabilization in patients irrespective of SMA treatment history in Phase III studies, with a one-time dose of the treatment replacing the SMN1 gene, and potentially reducing the need for chronic SMA treatment. Novartis AG (NYSE:NVS) added that gene replacement therapy is now available for eligible people, irrespective of age, living with SMA.

Headquartered in Basel, Switzerland, Novartis AG (NYSE:NVS) develops, markets, and manufactures a range of healthcare and pharmaceutical products. Its operations span the Innovative Medicines, Sandoz, and Corporate segments.

While we acknowledge the potential of NVS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.