Novartis AG, CH0012005267

Novartis stock falls further as trial setbacks and board pressure weigh on outlook

Published on 09/12/2026 at 15:04 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Novartis stock slid sharply after late-stage failures of pelacarsen and del-desiran, erasing more than CHF 24 billion in market value by September 8, 2026. Analysts now see increased risk in the growth pipeline but highlight that core guidance and other late-stage assets remain intact.

Forscherin in weißem Kittel pipettiert in Reagenzglas im sterilen Pharmalabor — Novartis AG CH0012005267 – Forscherin pipettiert präzise in steriler Pharmalaborumgebung mit Reagenzgläsern, Illustration mit AI erstellt.

Novartis stock (ISIN CH0012005267) has come under intense pressure in early September, with the Swiss drugmaker losing more than 10 percent in a single session and wiping out over CHF 24 billion in market capitalization after back-to-back clinical trial setbacks reported around September 8, 2026.Blick On September 10, 2026, the shares closed at CHF 111.66 on the SIX Swiss Exchange, and intraday data that day showed a modest rebound to CHF 112.14, up 0.43 percent in afternoon trading, but still well below recent levels.Ad-hoc-news For investors, the dual blow from pelacarsen and del-desiran now dominates the short-term story.

Pipeline setbacks hit valuation hard

As of September 11, 2026, multiple reports highlighted that Novartis suffered two major late-stage setbacks within days: its cholesterol drug pelacarsen failed a key cardiovascular outcomes study, and its experimental therapy del-desiran for myotonic dystrophy type 1 missed the primary endpoint in the phase 3 HARBOR trial.Yahoo Finance According to this analysis, both drugs failed to show the expected benefit over placebo on their primary endpoints, undermining confidence in parts of Novartis's growth pipeline.Yahoo Finance

The market reaction was swift. On September 8, 2026, Novartis shares fell by more than 10 percent on the SIX Swiss Exchange, corresponding to a loss of over CHF 24 billion in market value in one day.Blick A Swiss market overview dated September 12, 2026, noted that Novartis, as a heavy-weight component of the Swiss Market Index (SMI), dragged the index down about 4.3 percent to 13,775 points, with the stock at times losing more than 11 percent of its value amid the pipeline setbacks and broader macro headwinds.Gossau24 The combination of research disappointments, a recent European Central Bank rate hike and a sharp rise in oil prices intensified the correction.

Board pressure and acquisition strategy under scrutiny

The trial failures have also triggered questions about Novartis's acquisition-heavy strategy. According to a report published on September 11, 2026, del-desiran was one of the key assets acquired through Novartis's roughly USD 12 billion purchase of Avidity Biosciences, making its failure particularly damaging to perceptions of the company's dealmaking approach.Yahoo Finance A separate analysis described how a top investor is now urging a major board shake-up at Novartis to strengthen governance and oversight after the record share-price fall following these trial failures.Benzinga

According to that investor-focused piece, Novartis's United States-listed shares traded near USD 137.58 while remaining about 14 percent lower over five sessions, illustrating how quickly sentiment reversed after the pelacarsen and del-desiran news.GuruFocus The same analysis referenced a broader USD 30 billion deal spree and noted that the shares were trading about 5.36 percent above an internal GF Value estimate of USD 130.58, suggesting the market still assigns a modest premium despite recent turbulence.GuruFocus

Core guidance and latest quarterly figures

Despite the shocks to the pipeline, Novartis continues to signal confidence in its broader portfolio and financial trajectory. A recent commentary noted that CEO Vas Narasimhan is maintaining guidance for annual sales growth of 5 to 6 percent through 2030, emphasizing that the rest of the pipeline remains intact even after the pelacarsen and del-desiran reversals.Blick For long-term investors, this guidance provides a quantitative anchor, though the recent data clearly raise the execution risk around those targets.

On the fundamentals side, Novartis's most recent quarterly results cover the three months to June 30, 2026. Based on this earnings release, the company generated revenue of CHF 14.16 billion in the quarter, down about 4.6 percent from CHF 14.84 billion in the same period a year earlier.The Globe and Mail Net profit for the quarter came in at CHF 3.21 billion, compared with CHF 4.04 billion a year earlier, representing a decline of roughly 20.6 percent year-on-year.The Globe and Mail These figures, current for the quarter ended June 30, 2026, show earnings under pressure even before the latest trial news, a context that now amplifies the importance of future launches.

Analyst ratings and price targets after the sell-off

Analyst reactions have so far been measured rather than outright pessimistic. According to a markets report dated September 12, 2026, Berenberg Bank maintained a Hold rating on Novartis AG shares and set a price target of CHF 105.00 on the stock.The Globe and Mail The same piece noted that HSBC analyst Rajesh Kumar also has a Hold stance, while Citi maintains a Buy rating on Novartis, underscoring that the stock is not yet viewed as structurally impaired by the broader analyst community.The Globe and Mail

The contrast between a CHF 105.00 target and the recent closing level of CHF 111.66 on September 10, 2026 suggests that at least some analysts see limited upside in the near term, with Berenberg's figure sitting about 6 percent below that closing price.Ad-hoc-news At the same time, patience from other houses such as Citi indicates confidence that remaining late-stage assets, including candidates like remibrutinib mentioned in pipeline commentaries, could restore sentiment if they deliver positive data.Yahoo Finance

Stock level and market perspective

As of September 10, 2026, Novartis stock on its primary listing at the SIX Swiss Exchange traded at an intraday level of CHF 112.14 at approximately 3:30 p.m. local time, representing a 0.43 percent gain on the day but still reflecting the heavy losses earlier in the week.Ad-hoc-news For retail investors, the key question now is how the company balances near-term volatility from trial news with its longer-term ambition of 5 to 6 percent annual sales growth through 2030, backed by a still sizable pipeline and disciplined capital allocation.