Latest news with #NVO
Yahoo
3 hours ago
- Business
- Yahoo
Is Novo Nordisk's Next Generation Obesity Pipeline a Game Changer?
Novo Nordisk NVO has seen strong momentum in recent years, driven by the commercial success of its blockbuster semaglutide products, Wegovy (obesity) and Ozempic (diabetes). Building upon this success, NVO is developing several next-generation candidates in its pipeline, especially targeting the lucrative U.S. market. The most advanced candidate in Novo Nordisk's pipeline is CagriSema, a fixed-dose combination of a long-acting amylin analogue and Wegovy. CagriSema met the primary endpoint of statistically significant weight loss in two late-stage studies. The company is already planning its regulatory submission in 2026. Novo Nordisk is also developing an early-stage candidate, Amycretin, a unimolecular GLP-1 and amylin receptor agonist, which had outperformed Wegovy in a phase I study. Novo Nordisk has also been pursuing licensing deals and acquisitions to further expand its obesity pipeline. In 2023, it acquired Inversago Pharmaceuticals, which added a small-molecule oral CB1 inverse agonist, monlunabant, to its pipeline. Recently, Novo Nordisk signed a $2.2 billion deal with Septerna for developing and commercializing oral small-molecule medicines for treating obesity, type II diabetes (T2D) and other cardiometabolic diseases. Eli Lilly LLY is NVO's fierce competitor in the obesity space, which markets its tirzepatide medicines as Mounjaro for T2D and Zepbound for obesity. Like NVO, LLY is also evaluating several next-generation weight loss candidates. Lilly recently reported first phase III success of its oral GLP-1 candidate, orforglipron, which showed significant weight reduction potential in the late-stage study. Regulatory filings for orforglipron are planned in 2025 and 2026. Several other companies, like Viking Therapeutics VKTX, are also making rapid progress in the development of GLP-1-based candidates in their clinical pipeline. Viking Therapeutics' dual GIPR/GLP-1 receptor agonist, VK2735, is being developed both as oral and subcutaneous formulations for the treatment of obesity. VKTX initiated a mid-stage study on the oral formulation of the candidate earlier this year and is on track to start the late-stage study on the subcutaneous version soon. Year to date, Novo Nordisk shares have plunged 15.5% compared with the industry's decline of 2.3%. The company has also underperformed the sector and the S&P 500 during the same time frame, as seen in the chart below. The stock is currently trading above its 50-day moving average, but below its 200-day moving average. Image Source: Zacks Investment Research Novo Nordisk is trading at a premium to the industry, as seen in the chart below. Going by the price/earnings ratio, the company's shares currently trade at 17.37 forward earnings, which is higher than 14.95 for the industry. However, the stock is trading much below its five-year mean of 29.25. Image Source: Zacks Investment Research Earnings estimates for 2025 have improved from $3.80 to $3.84 per share over the past 60 days. During the same time frame, Novo Nordisk's 2026 earnings per share estimates have improved from $4.60 to $4.64. Image Source: Zacks Investment Research The stock's return on equity on a trailing 12-month basis is 80.95%, which is higher than 33.56% for the large drugmaker industry, as seen in the chart below. Image Source: Zacks Investment Research Novo Nordisk currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report Viking Therapeutics, Inc. (VKTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
4 days ago
- Business
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Investors Heavily Search Novo Nordisk A/S (NVO): Here is What You Need to Know
Novo Nordisk (NVO) has recently been on list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future. Over the past month, shares of this drugmaker have returned +12%, compared to the Zacks S&P 500 composite's +5.3% change. During this period, the Zacks Large Cap Pharmaceuticals industry, which Novo Nordisk falls in, has lost 3%. The key question now is: What could be the stock's future direction? Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision. Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock. Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements. Novo Nordisk is expected to post earnings of $0.88 per share for the current quarter, representing a year-over-year change of +35.4%. Over the last 30 days, the Zacks Consensus Estimate has changed -3.7%. For the current fiscal year, the consensus earnings estimate of $3.84 points to a change of +17.1% from the prior year. Over the last 30 days, this estimate has changed -1.3%. For the next fiscal year, the consensus earnings estimate of $4.64 indicates a change of +20.9% from what Novo Nordisk is expected to report a year ago. Over the past month, the estimate has changed -2.4%. With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Novo Nordisk. The chart below shows the evolution of the company's forward 12-month consensus EPS estimate: Even though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial. For Novo Nordisk, the consensus sales estimate for the current quarter of $11.73 billion indicates a year-over-year change of +19.5%. For the current and next fiscal years, $47.95 billion and $57.02 billion estimates indicate +13.9% and +18.9% changes, respectively. Novo Nordisk reported revenues of $11.01 billion in the last reported quarter, representing a year-over-year change of +15.7%. EPS of $0.92 for the same period compares with $0.83 a year ago. Compared to the Zacks Consensus Estimate of $11.33 billion, the reported revenues represent a surprise of -2.84%. The EPS surprise was 0%. Over the last four quarters, the company surpassed EPS estimates just once. The company topped consensus revenue estimates just once over this period. Without considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects. While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S) and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price. As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued. Novo Nordisk is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade. The facts discussed here and much other information on might help determine whether or not it's worthwhile paying attention to the market buzz about Novo Nordisk. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
4 days ago
- Business
- Yahoo
Was Jim Cramer Right About Novo Nordisk A/S (NVO)?
We recently published a list of In this article, we are going to take a look at where Novo Nordisk A/S (NYSE:NVO) stands against other stocks that Jim Cramer discusses. In a prior call, a viewer asked about Novo Nordisk A/S (NYSE:NVO) as a long-term growth stock. Cramer gave it credit but made it clear he preferred Eli Lilly due to a promising Alzheimer's-related drug in its pipeline. He said: 'NVO is a good growth stock… but I like Lilly better because Lilly may have, and it hasn't happened yet, a little bit of a kick from another drug that it's working on involving dementia… and I sure hope they solve it, but we've not seen anything about it yet.' The pharma stock did not prove to be a growth stock at all, as it has declined by -49.32% since. Novo Nordisk A/S (NYSE:NVO) is a Denmark-based pharmaceutical company that specializes in diabetes care, obesity treatments, and hormone replacement therapies. Cramer continues to like Eli Lilly better. Here's what he said about Novo on May 2: 'Next, did Novo Nordisk deliver a knockout punch to Eli Lilly when it signed a deal to be the preferred GLP-1 supplier to CVS on Lilly's earnings day, no less? What a comeuppance. I think there's plenty of gas in the Lily tank, especially once it tells it's, you know, once it's got this pill formulation that's going to be available next year. I think it's going to matter tremendously.' An elderly couple receiving insulin from a pharmacist, representing healthcare company's successful pharmaceutical products. Overall, NVO ranks 9th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of NVO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure: None. This article is originally published at . Sign in to access your portfolio
Yahoo
26-05-2025
- Business
- Yahoo
Here is What to Know Beyond Why Novo Nordisk A/S (NVO) is a Trending Stock
Novo Nordisk (NVO) has recently been on list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future. Shares of this drugmaker have returned +8.5% over the past month versus the Zacks S&P 500 composite's +8.2% change. The Zacks Large Cap Pharmaceuticals industry, to which Novo Nordisk belongs, has lost 3% over this period. Now the key question is: Where could the stock be headed in the near term? While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making. Rather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings. We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Novo Nordisk is expected to post earnings of $0.88 per share for the current quarter, representing a year-over-year change of +35.4%. Over the last 30 days, the Zacks Consensus Estimate has changed -3.7%. The consensus earnings estimate of $3.84 for the current fiscal year indicates a year-over-year change of +17.1%. This estimate has changed +0.7% over the last 30 days. For the next fiscal year, the consensus earnings estimate of $4.64 indicates a change of +20.9% from what Novo Nordisk is expected to report a year ago. Over the past month, the estimate has changed -0.5%. With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Novo Nordisk. The chart below shows the evolution of the company's forward 12-month consensus EPS estimate: While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth. For Novo Nordisk, the consensus sales estimate for the current quarter of $11.73 billion indicates a year-over-year change of +19.5%. For the current and next fiscal years, $47.95 billion and $57.02 billion estimates indicate +13.9% and +18.9% changes, respectively. Novo Nordisk reported revenues of $11.01 billion in the last reported quarter, representing a year-over-year change of +15.7%. EPS of $0.92 for the same period compares with $0.83 a year ago. Compared to the Zacks Consensus Estimate of $11.33 billion, the reported revenues represent a surprise of -2.84%. The EPS surprise was 0%. Over the last four quarters, the company surpassed EPS estimates just once. The company topped consensus revenue estimates just once over this period. No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance. Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is. As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued. Novo Nordisk is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade. The facts discussed here and much other information on might help determine whether or not it's worthwhile paying attention to the market buzz about Novo Nordisk. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
24-05-2025
- Business
- Yahoo
Target's red flag, Walmart vs. Trump, and Elon Musk vs. Bill Gates: Business news roundup
High-income U.S. consumers are pulling back. Mortgage applications are down, Walmart (WMT) is reporting grocery gains from monied households suddenly keen for deals on eggs and bananas. And now Target joins a growing list of beloved brands waving the red flag that a recession may be coming. Read More President Donald Trump has long insisted that the on-again, off-again tariffs he's imposed will be fully paid by other countries at no cost to Americans. But both Treasury Secretary Scott Bessent and Trump himself undercut that case over the weekend. Read More The Chinese government issued a blistering statement on Monday, accusing the Trump administration of undercutting ongoing trade talks with Beijing. The U.S. cautioned against using Huawei's Ascend semiconductor chips last week, and now the Chinese Commerce Ministry says the warning 'seriously undermined the consensus reached at the high-level talks between China and the U.S. in Geneva.' Read More Noom will start offering smaller doses of compounded Wegovy (NVO), the blockbuster weight-loss drug, as the digital health company continues to adapt to the growing demand for affordable weight-loss solutions and a changing market. Read More President Donald Trump claimed over the weekend that Walmart (WMT) made 'BILLIONS OF DOLLARS' more than expected last year. That's not just wrong — it's preposterous on multiple levels. In fact, you could say Walmart is one of the least likely companies in the world to deliver surprise windfalls. Read More Elon Musk has hit back at Bill Gates's claim that his cuts to the U.S. foreign aid budget will kill millions of children. 'Who does Bill Gates think he is to make comments about the welfare of children, given that he has frequented Jeffrey Epstein?' the Tesla (TSLA) CEO said Tuesday, during an interview at the Qatar Economic Forum in Doha. 'I'd like him to show us any evidence,' Musk added. Read More Drugs being explicitly developed to treat rare diseases are getting more expensive. An analysis by Reuters found that prices for newly launched pharmaceuticals more than doubled last year compared with 2021. Medicines that treat the rarest diseases typically fetch higher prices Read More President Donald Trump is again escalating pressure on U.S. trade partners – as well as the tech companies caught in the middle. In back-to-back social media posts on Thursday morning, the president threatened new tariffs on iPhones made in India and a sweeping 50% levy on goods from the European Union, reigniting tensions around global supply chains, assuming they ever had time to subside. Read More House Republicans are rushing to get a sweeping domestic policy bill over the finish line within days, as uncertainty over President Donald Trump's on-and-off approach to tariffs continues to hang over the economy. Read More Someone might want to check UnitedHealth's (UNH) vitals. The U.S.'s largest health insurer is taking hits from all sides — its stock is sliding, the Department of Justice is circling, and an investigation just accused it of secretly paying nursing homes to keep patients from going to the hospital. Read More For the latest news, Facebook, Twitter and Instagram. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
