Novo Nordisk A/S (NYSE:NVO) Trading Down 16.3% After Analyst Downgrade

Shares of Novo Nordisk A/S (NYSE:NVO) fell 16.3% on Monday after Deutsche Bank Aktiengesellschaft downgraded the stock from a buy rating to a hold rating. The stock traded as low as $39.34 and last traded at $39.6780. 98,255,744 shares were traded during trading, an increase of 285% from the average session volume of 25,502,754 shares. The stock had previously closed at $47.42.

NVO has been the subject of several other reports. CICC Research initiated coverage on shares of Novo Nordisk A/S in a report on Friday, January 9th. They set an “outperform” rating and a $73.50 target price for the company. Zacks Research cut shares of Novo Nordisk A/S from a “hold” rating to a “strong sell” rating in a report on Monday, February 9th. Jefferies Financial Group upgraded shares of Novo Nordisk A/S from an “underperform” rating to a “hold” rating in a research report on Thursday, February 12th. Argus restated a “hold” rating on shares of Novo Nordisk A/S in a research report on Monday, December 8th. Finally, TD Cowen restated a “buy” rating on shares of Novo Nordisk A/S in a research note on Tuesday, February 3rd. Seven investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Novo Nordisk A/S currently has a consensus rating of “Hold” and a consensus price target of $56.07.

Trending Headlines about Novo Nordisk A/S

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

• Positive Sentiment: Underlying commercial momentum remains: Novo still reports strong Wegovy/Ozempic-era sales and recent quarterly beats that support cash flow and dividends; that steady franchise cushions the setback. Wegovy Growth Beats Expectations
• Neutral Sentiment: Broader market weakness (tariff news, lower futures) amplified NVO’s move today, so part of the decline reflects market context rather than company‑only news. 5 Things to Know Before the Stock Market Opens
• Negative Sentiment: REDEFINE‑4 trial missed its primary non‑inferiority goal: CagriSema produced less weight loss than Lilly’s tirzepatide, raising concerns about Novo’s ability to defend/expand obesity market share. REDEFINE‑4 Trial Results
• Negative Sentiment: Head‑to‑head efficacy gap quantified in market coverage (example: 20.2% average weight loss for CagriSema vs 23.6% for tirzepatide over 84 weeks), a concrete metric investors view as clinically and commercially meaningful. CagriSema vs Tirzepatide Results
• Negative Sentiment: Analyst reaction and legal risk: at least one major shop downgraded NVO to hold and law firms have opened investor investigations alleging possible misstatements, which can increase short‑term selling and volatility. Analyst Downgrade Fraud Investigation Notice
• Negative Sentiment: Market cap and sentiment impact: coverage notes the stock hit multi‑year lows and investors marked off billions in valuation as the market repriced Novo’s obesity growth prospects. Market Reaction / Valuation Impact

Institutional Trading of Novo Nordisk A/S

Institutional investors have recently made changes to their positions in the company. True Wealth Design LLC boosted its stake in Novo Nordisk A/S by 209.8% during the 3rd quarter. True Wealth Design LLC now owns 443 shares of the company’s stock worth $25,000 after purchasing an additional 300 shares during the last quarter. NewSquare Capital LLC lifted its stake in shares of Novo Nordisk A/S by 174.1% in the second quarter. NewSquare Capital LLC now owns 444 shares of the company’s stock worth $31,000 after buying an additional 282 shares in the last quarter. Guerra Advisors Inc acquired a new position in Novo Nordisk A/S during the third quarter worth about $25,000. Godfrey Financial Associates Inc. purchased a new stake in Novo Nordisk A/S during the 4th quarter valued at about $25,000. Finally, Strengthening Families & Communities LLC acquired a new stake in Novo Nordisk A/S in the 3rd quarter valued at about $30,000. 11.54% of the stock is owned by institutional investors and hedge funds.

Novo Nordisk A/S Price Performance

The firm has a market capitalization of $177.16 billion, a PE ratio of 11.43 and a beta of 0.67. The stock’s 50 day simple moving average is $53.56 and its two-hundred day simple moving average is $53.23. The company has a debt-to-equity ratio of 0.61, a quick ratio of 0.57 and a current ratio of 0.80.

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

Novo Nordisk A/S Dividend Announcement

The business also recently declared a dividend, which will be paid on Wednesday, April 8th. Stockholders of record on Monday, March 30th will be issued a dividend of $1.2751 per share. This represents a dividend yield of 541.0%. The ex-dividend date is Monday, March 30th. Novo Nordisk A/S’s payout ratio 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.