Alcon Inc.

Healthcare

ALCStrong11 of 11 basics passed

$64.11

+1.55%

Market cap $31.0B

$64.11

+1.55%

Market cap $31.0B

Alcon is one of the leading visioncare companies in the world. Following nine years as a Novartis subsidiary, it was spun off as a public company in April 2019.

It is a $31.0B healthcare company. Revenue grew 4.9% over the last year, it keeps 9¢ of every dollar of sales as profit, and its net debt equals ~2.2 years of free cash flow. It trades at 38.4× earnings.

Website: alcon.com
Employees: 25 942
Sector: Healthcare
Founded: 1945

Share price · 3 years

$76.62 → $64.11-16.3%

price only — dividends excluded

Key facts · FY2025

Revenue: total sales; $10.4B
Profit: keeps 9¢ of every $1 sold; $980M
Free cash flow: cash left after running the business; $1.74B
Net debt: debt minus cash on hand; $3.84B
P/E: years of profit in the price; 38.4
EPS: earnings per share, FY2025; $2.03
Dividend: pays out 94% of profit · 10% of FCF; 0.55%
Shares: shares outstanding; 483.4M
Volatility: beta vs the market — under 1 swings less; 1.11

Revenue, last 5 years

52-week range

Low $62.02$64.11High $87.18

Today's price is 8% of the way from the year's low to its high.

Valuation vs own history

P/E

31.6×

99%

P/S

3.0×

99%

EV/EBITDA

27.3×

99%

P/B

1.4×

98%

FCF yield

5.6%

99%

Share of the last ~5 years that was pricier than today (unusually cheap vs its own history). Based on the daily valuation record.

Standing in Healthcare

Size$31.0Btop 44%
Revenue growth+6%top 54%
Net margin6%top 59%
Return on equity3%top 73%
P/E38.4×top 72%
Dividend yield0.55%top 76%

Ranked against 98 Healthcare companies with a full CV — for P/E, lower ranks higher.

Skills

Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.

Strong valuation, growth, health and quality; Profitability lags behind.

Valuation77

P/E vs own history1th pct · 25/25
FCF yield5.6% · 20/25
P/S2.9x · 20/25
EV/EBITDA23.9x · 12/25

Growth87

Revenue CAGR5.8% · 12/25
Net income CAGR27.1% · 25/25
EPS CAGR ~5Y27.5% · 25/25
Fwd implied growth122.4% · 25/25

Profitability35

ROIC3.9% · 5/25
ROE2.9% · 5/25
Net margin9.4% · 13/25
Operating margin8.7% · 12/25

Health80

Altman Z2.56 · 18/25
Current ratio2.09 · 25/25
Interest coverage27.4x · 25/25
Net cash / debtD/A 12% · 12/25

Quality90

Piotroski F6/9 · 15/25
Beneish M-2.68 · 25/25
FCF conversion178% · 25/25
Margin stabilityσ 1.4% · 25/25

Moat62

ROIC >12% years0/5 yrs · 0/25
Median gross margin55.6% · 25/25
FCF-positive years5/5 yrs · 25/25
Worst-year net marginworst 3.8% · 12/25

How the scores work →

Experience

The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.

FY2025Financial
Revenue crossed $10B
$10.4B for the year
2025Acquisition
Alcon announced the acquisition of LumiThera, Inc., a leader in light-based innovations for…
FY2024Financial
Best year on record
$1.02B net income
FY2021Financial
Profitable every year on record
5 consecutive profitable years in our data
FY2021Financial
Revenue already above $1B
$8.29B in first reported year
FY2021Financial
Positive free cash flow every year since
5-year streak
Apr 9, 2019Milestone
Alcon completed a 100% spin-off from Novartis
Mar 29, 2010Acquisition
Alcon acquired Durezol and Zyclorin from Sirion Therapeutics
2008Acquisition
Novartis purchased approximately 25% of Nestlé's stake in Alcon
2002IPO
Nestlé conducted an initial public offering of 25% of its stake in Alcon in 2002
1979Acquisition
Alcon acquired Texas Pharmacal Company which became Dermatological Products of Texas (and is now DPT…
1977Acquisition
Nestlé of Switzerland purchased Alcon in 1977
1945Founded
Alcon was founded in 1945 as a small pharmacy in Fort Worth, Texas, United States

Achievements

Verifiable track record, straight from the reported numbers.

$10 000 invested in 2021 would be worth ~$7 637 today — price return only

$10.4B revenue in FY2025

Profitable 5 years in a row

Positive free cash flow 5 years in a row

25 942 employees

Strengths & watch-outs

What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.

Strengths

High gross margin (59.6%)
Strong cash conversion — FCF is 16.7% of revenue
Interest covered 27.4× by operating earnings

Watch-outs

Nothing stands out as a concern in the available data.

Qualifications

The basics a company should meet before you research it further. Each check uses the reported numbers.

11 of 11 checks passed

Revenue growing — the company sells more than a year ago+4.9% YoY
Profitable — makes more than it spends$980M FY2025
Profit growing — earnings are higher than last year+42.8% YoY
Generates cash — cash left after running and investing$1.74B FY2025
Debt under control — could handle its obligations~2.2y of cash flow to repay
Established company — not a micro-cap — lower blow-up risk$31.0B market cap
Not printing shares — share count not ballooning — you keep your slice-1.4% shares over ~5y
Proven track record — years of profitability behind it5/5 profitable years
Financially stable — balance sheet not near distressAltman Z 2.6 — grey
Pays a dividend — returns cash to shareholdersyield 0.55%
Valuation not extreme — price not wildly above earningsP/E 38.4

Peer comparisonAlcon Inc. vs 6 largest healthcare peers — cap, P/E, growth and margin side by sideOpen ▾

Company	Market cap	P/E	Revenue growth	Net margin	Profile
ALC this company	$31.0B	38.4	+4.9%	9.4%	Strong
LLY Eli Lilly & Co.	$1.0T	41.6	+49.6%	33.5%	Solid
JNJ Johnson & Johnson	$630.9B	29.9	+8.1%	21.5%	Mixed
ABBV Abbvie Inc.	$488.5B	77.4	+10.4%	9.8%	Mixed
MRK Merck & Co., Inc.	$361.0B	113.2	+4.6%	4.8%	Mixed
UNH UNITEDHEALTH GROUP INCORPORATED (Delaware)	$340.7B	24.1	+6.5%	3.1%	Mixed
NVS Novartis AG	$273.2B	20.3	+9.6%	24.7%	Solid

Head-to-head: ALC vs LLY · ALC vs JNJ · ALC vs ABBV

References

What covering analysts publish about the company — information only, not a recommendation.

Strong buy 4Buy 12Hold 4Sell 2

Appendix · Financial records

The full statements behind this CV, FY2021–FY2025. For readers who want to check the numbers.

Profit & lossRevenue $10.4B · net income $980M (FY2025)Open ▾

Profit & loss

Revenue and profit over the company's career — the income statement, visualised.

How FY2025 revenue flows to profit

RevenueNet income

Revenue (FY2025)

$10.4B

YoY 4.9%

Net income (FY2025)

$980M

Margin 9.4%

Gross margin

59.6%

Operating margin

8.7%

P/E ratio

38.4

Dividend yield

0.55%

Income statement — full detail

Figures in USD billions · EPS in USD

	2021	2022	2023	2024	2025
Revenue	8.3	8.7	9.5	9.9	10.4
Gross profit	4.7	4.8	5.2	5.5	5.8
Operating income (EBIT)	0.8	0.9	1.1	1.4	1.3
Net income	0.4	0.3	1.0	1.0	1.0
EPS (diluted)	0.77	0.68	1.97	2.09	2.03

Cash flowFree cash flow $1.74B · operating cash flow $2.31B (FY2025)Open ▾

Cash flow statement

Cash generated by the business and what is left after investment — year by year.

Operating cash flowFree cash flow

Free cash flow (FY2025)

$1.74B

Margin 16.7%

Operating cash flow (FY2025)

$2.31B

FY basis

FCF margin

16.7%

Cash flow statement — full detail

Figures in USD billions

	2021	2022	2023	2024	2025
Operating cash flow	1.2	1.4	2.1	2.3	2.3
Capital expenditure	-1.1	-0.7	-0.5	-0.5	-0.6
Free cash flow	0.1	0.7	1.6	1.7	1.7
FCF margin	1.2%	8.4%	17.0%	17.4%	16.7%

Balance sheetAssets $31.1B · net debt $3.84B (FY2025)Open ▾

Balance sheet

How the balance sheet is built — what it owns versus how it is financed.

How $31.1B of assets is financed

31%

69%

Liabilities $9.50B — borrowed moneyEquity $21.6B — owners' stake

Cash vs debt

Total debt $5.30B − cash $1.46B = net debt $3.84B

Cash on hand covers 27% of debt.

Altman Z-Score

2.56

Grey zone

Debt repayment

2.2 yrs

Years of free cash flow to clear net debt

Interest coverage

27.4x

EBIT ÷ interest expense

ROE

2.9%

Profit per $1 of equity

Balance sheet — full detail

Figures in USD billions

	2021	2022	2023	2024	2025
Cash & equivalents	1.0	1.1	1.8	1.6	1.5
Total assets	29.2	29.6	30.3	31.6	31.1
Total liabilities	9.5	9.0	8.8	9.5	9.5
Total debt	5.1	5.1	5.1	5.2	5.3
Equity	19.7	20.6	21.6	22.0	21.6
Net debt	4.1	4.0	3.3	3.6	3.8

Want the live picture — intraday moves, valuation history and full analysis?

Deeper analysis of ALC on PreMarketPrice

Figures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $64.11 · market cap $31.0B.