Novo Nordisk A/S (NYSE:NVO) Trading Down 1.2% Following Analyst Downgrade

Shares of Novo Nordisk A/S (NYSE:NVO) dropped 1.2% on Wednesday after Kepler Capital Markets downgraded the stock from a buy rating to a hold rating. The stock traded as low as $37.65 and last traded at $38.1270. Approximately 54,793,532 shares were traded during mid-day trading, an increase of 104% from the average daily volume of 26,806,613 shares. The stock had previously closed at $38.59.

NVO has been the subject of a number of other research reports. The Goldman Sachs Group reissued a “buy” rating on shares of Novo Nordisk A/S in a research note on Thursday, January 22nd. Nordea Equity Research lowered shares of Novo Nordisk A/S to a “hold” rating in a research report on Tuesday. Zacks Research cut Novo Nordisk A/S from a “hold” rating to a “strong sell” rating in a research note on Monday, February 9th. CICC Research began coverage on Novo Nordisk A/S in a research report on Friday, January 9th. They set an “outperform” rating and a $73.50 price target on the stock. Finally, Deutsche Bank Aktiengesellschaft cut Novo Nordisk A/S from a “buy” rating to a “hold” rating in a report on Monday. Six equities research analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $56.07.

Key Stories Impacting Novo Nordisk A/S

Here are the key news stories impacting Novo Nordisk A/S this week:

• Positive Sentiment: Novo signed a partnership with Vivtex to license drug‑delivery technology to develop next‑generation oral medicines for obesity and diabetes — a deal worth up to $2.1 billion that advances oral GLP and next‑gen delivery options (could help diversify future revenue). WSJ: Novo Nordisk, Vivtex deal
• Positive Sentiment: Phase‑2 data from a China trial of a triple‑agonist (UBT251) showed up to ~19.7% mean weight loss at 24 weeks — a clinical success that highlights the company’s broader pipeline beyond the drug that recently underperformed. Reuters: UBT251 trial
• Positive Sentiment: Some analysts and commentators argue the steep sell‑off has created a deep‑value buying opportunity for long‑term investors, pointing to Novo’s scale, margins and remaining pipeline optionality. Benzinga: Deep‑value thesis
• Neutral Sentiment: Research/report coverage highlights Novo’s digital transformation and innovation initiatives — useful context on structural strengths but unlikely to move near‑term stock price. Yahoo/Globe: Digital transformation report
• Negative Sentiment: Major setback: Novo’s CagriSema failed to demonstrate non‑inferior weight loss vs. Eli Lilly’s Zepbound in a head‑to‑head phase‑3 trial — the result triggered analyst downgrades and raises concerns about future market share and growth beyond semaglutide. CNBC: CagriSema trial coverage
• Negative Sentiment: Novo announced plans to cut U.S. list prices for Wegovy and Ozempic by up to 50% (effective 2027) — a move to address access and competitive pressure that will likely pressure top‑line growth and margins near term. Reuters: Price cut report
• Negative Sentiment: Regulatory/ legal risk: a shareholder law firm announced an investigation into possible false/misleading statements by Novo — potential litigation risk and reputational drag. GlobeNewsWire: Schall Law Firm investigation
• Negative Sentiment: Follow‑on impact: several banks (including Deutsche Bank, Kepler and others) downgraded or cut targets, and the stock has plunged toward 52‑week lows — amplifying selling pressure as momentum traders and funds react. AmericanBankingNews: Downgrades

Institutional Trading of Novo Nordisk A/S

Several hedge funds and other institutional investors have recently bought and sold shares of NVO. Jennison Associates LLC increased its stake in shares of Novo Nordisk A/S by 0.3% in the second quarter. Jennison Associates LLC now owns 18,885,343 shares of the company’s stock worth $1,303,466,000 after buying an additional 63,341 shares during the period. Capital International Investors boosted its position in Novo Nordisk A/S by 52.4% during the 3rd quarter. Capital International Investors now owns 17,713,424 shares of the company’s stock valued at $982,969,000 after buying an additional 6,092,192 shares during the period. Loomis Sayles & Co. L P grew its holdings in Novo Nordisk A/S by 6.0% in the 4th quarter. Loomis Sayles & Co. L P now owns 17,135,384 shares of the company’s stock worth $871,848,000 after acquiring an additional 969,916 shares during the last quarter. Franklin Resources Inc. increased its position in shares of Novo Nordisk A/S by 5.1% in the fourth quarter. Franklin Resources Inc. now owns 14,702,508 shares of the company’s stock valued at $748,064,000 after acquiring an additional 717,719 shares during the period. Finally, Morgan Stanley raised its stake in shares of Novo Nordisk A/S by 3.5% during the fourth quarter. Morgan Stanley now owns 12,842,089 shares of the company’s stock valued at $653,406,000 after acquiring an additional 428,660 shares during the last quarter. Institutional investors own 11.54% of the company’s stock.

Novo Nordisk A/S Trading Down 1.2%

The company has a quick ratio of 0.57, a current ratio of 0.80 and a debt-to-equity ratio of 0.61. The company has a market capitalization of $170.24 billion, a PE ratio of 10.99 and a beta of 0.67. The stock’s fifty day moving average price is $53.35 and its two-hundred day moving average price is $53.14.

Novo Nordisk A/S (NYSE:NVO) last released its quarterly earnings results on Tuesday, February 3rd. The company reported $1.01 EPS for the quarter, beating analysts’ consensus estimates of $0.90 by $0.11. The business had revenue of $12.43 billion during the quarter, compared to analyst estimates of $11.97 billion. Novo Nordisk A/S had a return on equity of 68.91% and a net margin of 33.03%. Sell-side analysts anticipate that Novo Nordisk A/S will post 3.84 earnings per share for the current year.

Novo Nordisk A/S Announces Dividend

The business also recently announced a dividend, which will be paid on Wednesday, April 8th. Stockholders of record on Monday, March 30th will be given a $1.2751 dividend. This represents a dividend yield of 541.0%. The ex-dividend date of this dividend is Monday, March 30th. Novo Nordisk A/S’s dividend payout ratio (DPR) is currently 23.63%.

Novo Nordisk A/S Company Profile

Novo Nordisk A/S is a Danish multinational pharmaceutical company headquartered in Bagsværd, Denmark, best known for its leadership in diabetes care and metabolic health. The company traces its roots to early Danish insulin production in the 1920s and was established in its current form through a 1989 merger of predecessor companies. Novo Nordisk develops, manufactures and markets pharmaceutical products and devices that address chronic and serious diseases, with a strong emphasis on long-term treatment and patient support.

The company’s core product portfolio centers on diabetes therapies, including a range of insulins and modern incretin-based treatments.