# Galenica Sante AG (GALE.SW)

Canonical: https://gigainvestors.com/s/GALE.SW

Analysis as of: 2026-10-16T07:37:25.653Z. Financial observations: FY2014–FY2025.

Listing currency: CHF. Reporting currency: CHF.

## Verdict

A wonderful business at too high a price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: CHF 87.15 per share; close as of 2026-10-15.

Estimated value: low CHF 38.19 per share, central CHF 43.45 per share, high CHF 50.46 per share. Buy at or below the central value CHF 43.45 per share. Valuation as of 2026-10-16T07:37:25.653Z; scenarios are not confidence intervals.

Expected annual return: 6.4% at the stated quote. About 6.4% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CH 10-year bond 0.5% + 4 points).

## Checklist

### understandable: pass

- 1 revenue decline in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 1

- Years with a net loss: 0

- Operating margin variation: 0.14×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.04×

- FY2017: 0.04×

- FY2018: 0.03×

- FY2019: 0.05×

- FY2020: 0.06×

- FY2021: 0.05×

- FY2022: 0.05×

- FY2023: 0.05×

- FY2024: 0.05×

- FY2025: 0.05×

### moat: pass

- ROIC, median of available years: 17.4%

- ROIC, second-lowest year: 13.3%

- Typical minus recent gross margin: -0.1 pp

- Typical gross margin (annual median): 10.3%

- Recent gross margin (lower of latest and 3-year median): 10.4%

- Years with nonpositive capital: 0

- Capital spending / revenue: 1.6%

- ROIC including acquisitions, ten-year median: 8.9%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 11.9%

- FY2017: 20.8%

- FY2018: 19.4%

- FY2019: 15.6%

- FY2020: 19.9%

- FY2021: 17.4%

- FY2022: 17.3%

- FY2023: 22.6%

- FY2024: 13.4%

- FY2025: 13.3%

### economics: pass

- Owner earnings / net income, 5-yr: 0.98×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CHF 857M

- Net income, five-year total: CHF 870M

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -0.5 pp

- Working capital / revenue, change between three-year averages: -2.9 pp

- Working capital / revenue, final three-year average: 12.5%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.96×

- FY2022: 0.89×

- FY2023: 0.88×

- FY2024: 0.95×

- FY2025: 1.22×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2025 (8 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 19.4% vs 13.4%

- Per-share earnings: 1.67 to 3.63 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.0%

- Ordinary dilution, 5-year annual growth: 0.1%

- Market cap gain: CHF 2.5B

- Cumulative retained earnings: CHF 601M

- Diluted shares, 10-year annual growth: -0.0%

- Diluted shares, 5-year annual growth: 0.1%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 10.2%

- Per-share value change: CHF 1.96

- Per-share value, starting three-year median: CHF 1.67

- Per-share value, ending three-year median: CHF 3.63

- Buybacks concentrated in cheaper years (correlation): -0.37

- Average buyback yield: 0.3%

- Buyback history: 9 years

- Debt-funded buybacks: No

- Acquisition spending: CHF 1.7B

- Cumulative net income, 10 years: CHF 1.5B

- ROIC, first three-year median: 19.4%

- ROIC, last three-year median: 13.4%

Chart: Earnings per share; fiscal year observations.

- FY2016: CHF 1.67

- FY2017: CHF 2.46

- FY2018: CHF 2.99

- FY2019: CHF 2.53

- FY2020: CHF 3.48

- FY2021: CHF 3.37

- FY2022: CHF 3.31

- FY2023: CHF 3.48

- FY2024: CHF 3.67

- FY2025: CHF 3.63

### accounting: pass

- Sloan accruals: -3.5%

- Receivables to sales index (DSRI): 0.93×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 2.5%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.66×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.95×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -3.7%

- FY2017: -1.4%

- FY2018: -1.4%

- FY2019: -5.7%

- FY2020: -2.3%

- FY2021: -6.3%

- FY2022: -2.7%

- FY2023: -1.7%

- FY2024: -2.7%

- FY2025: -3.5%

## Holders

## Price story

Price needs cash profits to grow 9.6% a year for ten years · sales +5.5%

Story as of 2026-10-16T10:00:09.086Z; price observation 2026-10-15.

Price needs cash profits to grow 9.6% a year for ten years

### Sales · FY2024–2025

sales +5.5%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CHF 3.0B 

- FY2017: CHF 3.1B 

- FY2018: CHF 3.2B 

- FY2019: CHF 3.3B 

- FY2020: CHF 3.5B 

- FY2021: CHF 3.8B 

- FY2022: CHF 4.0B 

- FY2023: CHF 3.7B 

- FY2024: CHF 3.9B 

- FY2025: CHF 4.1B 

### Gross margin · FY2025

gross margin 10.4%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 24.4% 

- FY2017: 10.2% 

- FY2018: 9.6% 

- FY2019: 11.2% 

- FY2020: 10.0% 

- FY2021: 9.1% 

- FY2022: 9.3% 

- FY2023: 10.3% 

- FY2024: 27.7% 

- FY2025: 10.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in medical distribution; annual sales are CHF 4.1 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2025: revenue 4135621000; grossProfit 428801000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); GALE.SW: Galenica AG provides healthcare services in Switzerland and internationally. It operates through two segments, Products & Care, and Logistics & IT. The Products & Care segment operates and manages pharmacies and partner pharmacies under the Amavita, Sun Store, and Coop Vitality brands, as well as covers specialty pharmacy mediservice. This segment also offers medication for treatment of patients at home; laboratory medicine, pathology and specialized personalized diagnostic services; and develops, markets, and sells healthcare services and products through various distribution channels. The Logistics & IT segment provides various specialized pre-wholesale services, including storage, distribution, and debt collection to pharmaceutical and healthcare companies. This segment also offers master data systems for the healthcare market; develops management solutions for the healthcare market; and publishes printed and electronic technical information on pharmaceutical products, as well as offers complete management solutions for pharmacies. In addition, it provides on-schedule delivery services to pharmacies, drugstores, doctors, hospitals, and care homes. The company was founded in 1927 and is headquartered in Bern, Switzerland.

### Why customers stay

Margins ranged from 10.3% to 27.7% during 2023–25; it earns 17.4% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2023: grossProfit / revenue = 10.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2024: grossProfit / revenue = 27.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2025: grossProfit / revenue = 10.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); 10-year return on capital observations [[2016,0.11948103254202283],[2017,0.20798401613494494],[2018,0.19442461792039795],[2019,0.15585123808224516],[2020,0.19927564600239206],[2021,0.17432001219192822],[2022,0.1728729278360073],[2023,0.22582083990400845],[2024,0.1342386407236151],[2025,0.13290002124624054]]; median 0.17359647001396777. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 9% gross margin through 2022 cost inflation.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); Gross margin observations: [[2021,0.0914154744112871],[2022,0.09319769985063577],[2023,0.10346872980351633]]; range within 2 percentage points.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back CHF 14 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2016: growth capex 0; upkeep 34944000; owner earnings 88944000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2017: growth capex 0; upkeep 28046000; owner earnings 130947000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2018: growth capex 0; upkeep 26962000; owner earnings 161575000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2019: growth capex 0; upkeep 53588000; owner earnings 116055400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2020: growth capex 0; upkeep 55687000; owner earnings 166378800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2021: growth capex 0; upkeep 60073000; owner earnings 161404800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2022: growth capex 0; upkeep 70366000; owner earnings 147702400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2023: growth capex 0; upkeep 76374000; owner earnings 153015800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2024: growth capex 0; upkeep 72363000; owner earnings 173139400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2025: growth capex 0; upkeep 27411000; owner earnings 221291400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); Dividend observations: [[2016,46000000],[2017,766927000],[2018,81145000],[2019,83924000],[2020,89216000],[2021,89509000],[2022,104810000],[2023,110266000],[2024,110173000],[2025,115113000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); FY2025: cash repurchases 14008000 CHF.

### Are managers owners

Insiders own 0.3% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); GALE.SW SharesStats.PercentInsiders = 0.257 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 9.6% yearly over ten years; actual growth was 10.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:37:25.653Z); Ten-year compound average after fade. Initial solved rate 0.1257541704343948. Price 87.15; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 1.62244 → FY2025 4.434510772091755. Closing-price date 2026-10-15.

## Monthly share-price history (CHF per share)

- 2017-04: CHF 43.50 per share

- 2017-05: CHF 45.35 per share

- 2017-06: CHF 45.00 per share

- 2017-07: CHF 44.95 per share

- 2017-08: CHF 46.40 per share

- 2017-09: CHF 45.90 per share

- 2017-10: CHF 46.35 per share

- 2017-11: CHF 47.75 per share

- 2017-12: CHF 50.05 per share

- 2018-01: CHF 47.00 per share

- 2018-02: CHF 46.28 per share

- 2018-03: CHF 50.50 per share

- 2018-04: CHF 53.50 per share

- 2018-05: CHF 53.70 per share

- 2018-06: CHF 52.70 per share

- 2018-07: CHF 56.60 per share

- 2018-08: CHF 57.50 per share

- 2018-09: CHF 55.90 per share

- 2018-10: CHF 54.00 per share

- 2018-11: CHF 46.42 per share

- 2018-12: CHF 43.28 per share

- 2019-01: CHF 45.34 per share

- 2019-02: CHF 45.48 per share

- 2019-03: CHF 49.22 per share

- 2019-04: CHF 51.95 per share

- 2019-05: CHF 48.24 per share

- 2019-06: CHF 49.00 per share

- 2019-07: CHF 51.30 per share

- 2019-08: CHF 55.35 per share

- 2019-09: CHF 57.30 per share

- 2019-10: CHF 58.95 per share

- 2019-11: CHF 60.15 per share

- 2019-12: CHF 59.85 per share

- 2020-01: CHF 65.80 per share

- 2020-02: CHF 64.95 per share

- 2020-03: CHF 66.00 per share

- 2020-04: CHF 69.05 per share

- 2020-05: CHF 71.00 per share

- 2020-06: CHF 67.80 per share

- 2020-07: CHF 67.95 per share

- 2020-08: CHF 64.90 per share

- 2020-09: CHF 64.20 per share

- 2020-10: CHF 57.90 per share

- 2020-11: CHF 58.25 per share

- 2020-12: CHF 59.00 per share

- 2021-01: CHF 58.90 per share

- 2021-02: CHF 58.45 per share

- 2021-03: CHF 59.00 per share

- 2021-04: CHF 61.80 per share

- 2021-05: CHF 63.15 per share

- 2021-06: CHF 65.30 per share

- 2021-07: CHF 68.80 per share

- 2021-08: CHF 71.65 per share

- 2021-09: CHF 65.90 per share

- 2021-10: CHF 67.00 per share

- 2021-11: CHF 63.10 per share

- 2021-12: CHF 68.55 per share

- 2022-01: CHF 65.10 per share

- 2022-02: CHF 64.80 per share

- 2022-03: CHF 71.25 per share

- 2022-04: CHF 72.00 per share

- 2022-05: CHF 71.80 per share

- 2022-06: CHF 73.30 per share

- 2022-07: CHF 75.25 per share

- 2022-08: CHF 68.90 per share

- 2022-09: CHF 71.75 per share

- 2022-10: CHF 71.90 per share

- 2022-11: CHF 72.40 per share

- 2022-12: CHF 75.55 per share

- 2023-01: CHF 71.50 per share

- 2023-02: CHF 72.85 per share

- 2023-03: CHF 77.35 per share

- 2023-04: CHF 79.95 per share

- 2023-05: CHF 71.10 per share

- 2023-06: CHF 72.25 per share

- 2023-07: CHF 70.10 per share

- 2023-08: CHF 70.20 per share

- 2023-09: CHF 67.75 per share

- 2023-10: CHF 68.55 per share

- 2023-11: CHF 72.65 per share

- 2023-12: CHF 72.75 per share

- 2024-01: CHF 76.25 per share

- 2024-02: CHF 75.95 per share

- 2024-03: CHF 75.20 per share

- 2024-04: CHF 70.25 per share

- 2024-05: CHF 74.70 per share

- 2024-06: CHF 73.55 per share

- 2024-07: CHF 76.45 per share

- 2024-08: CHF 73.65 per share

- 2024-09: CHF 74.45 per share

- 2024-10: CHF 75.20 per share

- 2024-11: CHF 76.65 per share

- 2024-12: CHF 74.35 per share

- 2025-01: CHF 81.35 per share

- 2025-02: CHF 80.70 per share

- 2025-03: CHF 79.50 per share

- 2025-04: CHF 86.40 per share

- 2025-05: CHF 85.20 per share

- 2025-06: CHF 86.85 per share

- 2025-07: CHF 86.40 per share

- 2025-08: CHF 85.70 per share

- 2025-09: CHF 86.50 per share

- 2025-10: CHF 86.60 per share

- 2025-11: CHF 91.15 per share

- 2025-12: CHF 97.70 per share

- 2026-01: CHF 96.60 per share

- 2026-02: CHF 96.10 per share

- 2026-03: CHF 90.85 per share

- 2026-04: CHF 83.25 per share

- 2026-05: CHF 83.35 per share

- 2026-06: CHF 84.30 per share

- 2026-07: CHF 85.95 per share

- 2026-08: CHF 83.10 per share

- 2026-09: CHF 82.25 per share

- 2026-10: CHF 85.50 per share

## Annual estimated value (CHF per share)

- FY2018: low CHF 21.62 per share, central CHF 24.49 per share, high CHF 28.30 per share

- FY2019: low CHF 26.19 per share, central CHF 29.73 per share, high CHF 34.45 per share

- FY2020: low CHF 31.96 per share, central CHF 36.36 per share, high CHF 42.23 per share

- FY2021: low CHF 37.28 per share, central CHF 42.17 per share, high CHF 48.69 per share

- FY2022: low CHF 37.24 per share, central CHF 42.34 per share, high CHF 49.12 per share

- FY2023: low CHF 34.31 per share, central CHF 38.93 per share, high CHF 45.07 per share

- FY2024: low CHF 37.21 per share, central CHF 42.20 per share, high CHF 48.84 per share

- FY2025: low CHF 38.78 per share, central CHF 44.04 per share, high CHF 51.04 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.