Novartis AG (NVS) Covered Calls
Novartis AG is a global healthcare company specializing in the discovery, development, and marketing of innovative medicines. The company focuses on core therapeutic areas including oncology, immunology, neuroscience, and cardiovascular, renal, and metabolic diseases. Novartis utilizes advanced technology platforms such as gene and cell therapy, radioligand therapy, and xRNA to address high-burden diseases and improve patient outcomes across more than 130 countries.
You can sell covered calls on Novartis AG to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for NVS (prices last updated Tue 4:16 PM ET):
| Novartis AG (NVS) Stock Quote | ||||||
|---|---|---|---|---|---|---|
| Last | Change | Bid | Ask | Volume | P/E | Market Cap |
| 161.59 | -1.20 | 161.11 | 162.50 | 3.7M | 23 | 485 |
| Covered Calls For Novartis AG (NVS) | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Net Debit | Return If Flat |
Annualized Return If Flat |
|
| Mar 20 | 160 | 0.55 | 161.95 | 1.7% | 56.4% | |
| Apr 17 | 160 | 3.40 | 159.10 | 3.6% | 33.7% | |
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Core Business and Products
Novartis AG (NVS) is a leading innovative medicines company that transitioned into a "pure-play" pharmaceutical giant following the 2023 spin-off of its Sandoz generics division. As of early 2026, the company is focused on high-value, patent-protected therapies. Its business is anchored by four primary therapeutic areas and five advanced technology platforms:
- Oncology and Radioligand Therapy (RLT): Novartis is a pioneer in radioligands, which deliver targeted radiation directly to cancer cells. Its blockbuster Pluvicto for prostate cancer and Lutathera for neuroendocrine tumors are the centerpieces of this segment. In 2026, the company expanded its RLT manufacturing footprint with new facilities in California and North Carolina to meet global demand.
- Cardiovascular, Renal, and Metabolic (CRM): This segment is led by Entresto, a gold-standard treatment for heart failure, and Leqvio, an innovative siRNA therapy for lowering cholesterol. In early 2026, Leqvio has seen significant adoption due to its convenient twice-a-year dosing schedule.
- Immunology: The flagship product in this category is Cosentyx, used for psoriasis and various arthritic conditions. Novartis continues to expand Cosentyx into new indications, such as hidradenitis suppurativa, to maintain its multi-billion dollar status.
- Neuroscience: This division features Kesimpta, a high-efficacy B-cell therapy for relapsing forms of multiple sclerosis (MS) that patients can self-administer at home. It also includes Zolgensma, a landmark gene therapy for spinal muscular atrophy.
Competitive Landscape
The pharmaceutical industry in 2026 is defined by a race for "next-generation" platforms like RNAi and cell therapies:
- Global Pharmaceutical Peers: Novartis competes for leadership in oncology and immunology with Merck & Co., AbbVie, and Eli Lilly and Company. While Merck dominates in immuno-oncology, Novartis holds a distinct advantage in the specialized radioligand market.
- Cardiovascular and Metabolic Rivals: In the CRM space, the company faces stiff competition from AstraZeneca and Novo Nordisk, particularly as the latter expands its metabolic portfolio.
- European Powerhouses: Novartis also vies for market share against Swiss neighbor Roche Holding AG and the French giant Sanofi. (Note: Roche is not linked as its primary listing is not on the NYSE or NASDAQ).
Strategic Outlook and Innovation
Entering 2026, Novartis is executing its "Strategy 2030," which aims for a 40% core operating income margin. A defining feature of its 2026 strategy is the integration of "Agentic AI" into its R&D engine, which has reportedly shortened the lead-optimization phase of drug discovery by 25%. The company is also navigating a shifting U.S. regulatory environment, having reached strategic agreements in late 2025 to increase drug price transparency through direct-to-patient platforms. With 15 major clinical readouts expected this year and a $10 billion share buyback program underway, Novartis is positioning itself as a high-margin, innovation-led leader in the global healthcare sector. By doubling down on advanced platforms like xRNA and gene therapy, the company aims to sustain growth well beyond the upcoming patent cliffs of its legacy portfolio.
| Top 10 Open Interest For Mar 20 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA covered calls | 6. | QQQ covered calls | 1. | CTMX covered calls | |
| 2. | SLV covered calls | 7. | EWZ covered calls | 2. | PATH covered calls | |
| 3. | EEM covered calls | 8. | FXI covered calls | 3. | USO covered calls | |
| 4. | SPY covered calls | 9. | GLD covered calls | 4. | FLY covered calls | |
| 5. | IBIT covered calls | 10. | KWEB covered calls | 5. | ONDS covered calls | |
Want more examples? NVO Covered Calls | NVST Covered Calls
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Covered Call Strategy Risks: While covered call writing is often considered a conservative options strategy, it is not without risk. By selling a covered call, you are limiting your potential upside profit from the underlying stock. You remain exposed to the full downside risk of owning the underlying stock. In the event of a significant decline in the stock price, the premium received may not be sufficient to offset your losses.
No Guarantee of Performance: Past performance is not indicative of future results. Any examples, calculations, or hypothetical scenarios presented on this site are for illustrative purposes only and do not guarantee future returns or outcomes. Market conditions, liquidity, and trading system failures can affect your ability to execute trades at desired prices.
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