VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Thursday, January 8, 2026

Stock Comparison

Novartis AG vs Paychex, Inc.

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

Novartis AG

NOVN · SIX Swiss Exchange

Market cap (USD)$210.7B
Gross margin (TTM)76.2%
Operating margin (TTM)31.2%
Net margin (TTM)25.5%
SectorHealthcare
IndustryDrug Manufacturers - General
CountryCH
Data as of2026-01-02
Moat score
65/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Novartis AG's moat claims, evidence, and risks.

View NOVN analysis

Paychex, Inc.

PAYX · NASDAQ Global Select Market

Market cap (USD)$39.4B
Gross margin (TTM)73.4%
Operating margin (TTM)37.1%
Net margin (TTM)26.5%
SectorIndustrials
IndustryStaffing & Employment Services
CountryUS
Data as of2026-01-04
Moat score
66/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Paychex, Inc.'s moat claims, evidence, and risks.

View PAYX analysis

Comparison highlights

  • Moat score gap: Paychex, Inc. leads (66 / 100 vs 65 / 100 for Novartis AG).
  • Segment focus: Novartis AG has 5 segments (29.3% in Oncology); Paychex, Inc. has 3 segments (73% in Management Solutions).
  • Primary market structure: Oligopoly vs Oligopoly. Pricing power: Strong vs Moderate.
  • Moat breadth: Novartis AG has 4 moat types across 3 domains; Paychex, Inc. has 7 across 4.

Primary market context

Novartis AG

Oncology

Market

Oncology and hematology branded medicines (including targeted therapies and radioligand therapy)

Geography

Global

Customer

Oncologists and hospitals; reimbursed by payers; hospital and specialty pharmacy channels

Role

Originator developer, manufacturer, and marketer of oncology therapies

Revenue share

29.3%

Paychex, Inc.

Management Solutions

Market

Payroll processing and integrated HCM solutions for SMB and mid-market employers

Geography

United States (primarily)

Customer

Employers (SMB and mid-market)

Role

HCM SaaS + outsourced payroll/HR service provider

Revenue share

73%

Side-by-side metrics

Novartis AG
Paychex, Inc.
Ticker / Exchange
NOVN - SIX Swiss Exchange
PAYX - NASDAQ Global Select Market
Market cap (USD)
$210.7B
$39.4B
Gross margin (TTM)
76.2%
73.4%
Operating margin (TTM)
31.2%
37.1%
Net margin (TTM)
25.5%
26.5%
Sector
Healthcare
Industrials
Industry
Drug Manufacturers - General
Staffing & Employment Services
HQ country
CH
US
Primary segment
Oncology
Management Solutions
Market structure
Oligopoly
Oligopoly
Market share
n/a
n/a
HHI estimate
n/a
n/a
Pricing power
Strong
Moderate
Moat score
65 / 100
66 / 100
Moat domains
Legal, Supply, Demand
Demand, Supply, Legal, Financial
Last update
2026-01-02
2026-01-04

Moat coverage

Shared moat types

No overlap yet.

Novartis AG strengths

IP Choke PointRegulated Standards PipeCapex Knowhow ScaleBrand Trust

Paychex, Inc. strengths

Data Workflow LockinSuite BundlingService Field NetworkCompliance AdvantageUnderwriting Risk PoolingSwitching Costs GeneralFloat Prepayment

Segment mix

Novartis AG segments

Full profile >

Cardiovascular, Renal and Metabolic

Oligopoly

17%

Immunology

Oligopoly

18.5%

Neuroscience

Oligopoly

9.4%

Oncology

Oligopoly

29.3%

Established Brands

Competitive

25.8%

Paychex, Inc. segments

Full profile >

Management Solutions

Oligopoly

73%

PEO and Insurance Solutions

Competitive

24.1%

Client funds float (interest on funds held for clients)

Oligopoly

2.9%

Want the full wide moat stocks list?

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Looking for expansion-stage stocks?

Proven models entering the expansion stage with unit economics that work.

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Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.