Novo Nordisk stock plunges 42% so far in 2025 as GLP-1 competition, price cuts, guidance trims and restructuring plans cloud growth and elevate execution risks.
Novo Nordisk said on Friday the European Medicines Agency's committee has issued a positive opinion for a 7.2 mg dose of weight-loss drug Wegovy, providing an option for greater weight loss.
Novo Nordisk (NVO) closed at $50.29 in the latest trading session, marking a +2.53% move from the prior day.
Novo Nordisk faces slowing semaglutide momentum as new obesity contenders, including GPCR's aleniglipron, push the competitive landscape forward.
Novo Nordisk (NVO) appears undervalued relative to Big Pharma peers, especially given its superior long-term growth and profitability metrics outside of recent setbacks. NVO's two-thirds market cap decline stems from a series of adverse events, some justified but many overdone, with the market ignoring positive developments. Despite recent underperformance versus Eli Lilly, NVO maintains industry-leading margins, robust cash flow, and strong growth prospects, notably with oral GLP-1 candidates.
Novo Nordisk A/S has acquired Zaltenibart, a Phase 2 MASP-3 inhibitor, for up to $2.1 billion, signaling strong conviction in its long-term potential. NVO shares have declined ~20% since October, now trading at a forward P/E of 13.5x, well below historical and sector averages, presenting a de-risked entry point. Zaltenibart targets rare, high-value indications like PNH and complement-mediated nephropathies, offering multi-billion dollar TAM if Phase 3 data prove compelling.
Novo Nordisk (NVO) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
Novo Nordisk's trial to treat Alzheimer's with its GLP-1 drug failed. The company has been losing market share to Eli Lilly.
Novo Nordisk remains a Strong Buy despite recent earnings misses, trial setbacks, and competitive pressures in the weight loss/diabetes market. NVO's valuation is compelling, trading at a low P/E of 12.66 with robust margins and industry-leading growth, even amid restructuring costs. Recent U.S. drug pricing agreements and Medicare inclusion may pressure short-term sales but are likely to expand long-term market access for NVO's GLP-1 drugs.
Novo Nordisk A/S (NVO), though cheap at 13x forward earnings, is in my view a value trap, as growth is slowing and GLP-1 pricing pressures are capping revenue and profitability. The TrumpRx platform will offer GLP-1 prices of roughly $245/month by 2027, while cheaper future oral pills ($150/month) further pressure Novo's key obesity franchise in the US. Street's forecasts show revenue slowing to low single-digit growth in 2026, with forward EPS estimates trending down, while Eli Lilly's stronger growth justifies its premium multiple.
NVO seeks an expedited FDA review for a higher 7.2 mg dose of Wegovy after strong weight-loss results in its STEP UP study.
Novo Nordisk jumps after phase II data show amycretin offers significant weight loss and HbA1c level reductions in type 2 diabetes patients.