Novo Nordisk A/S (NYSE:NVO) Shares Gap Down on Analyst Downgrade

Novo Nordisk A/S (NYSE:NVO) shares gapped down prior to trading on Monday after HSBC downgraded the stock from a buy rating to a hold rating. The stock had previously closed at $47.63, but opened at $43.43. Novo Nordisk A/S shares last traded at $43.9460, with a volume of 23,202,854 shares changing hands.

Several other equities research analysts also recently issued reports on the company. Rothschild Redb upgraded Novo Nordisk A/S from a “hold” rating to a “strong-buy” rating in a report on Tuesday, September 16th. UBS Group downgraded Novo Nordisk A/S from a “buy” rating to a “neutral” rating in a research note on Tuesday, August 5th. Morgan Stanley cut Novo Nordisk A/S from an “overweight” rating to an “underweight” rating and lowered their target price for the stock from $59.00 to $47.00 in a research note on Monday, September 29th. Wall Street Zen lowered shares of Novo Nordisk A/S from a “buy” rating to a “hold” rating in a research report on Saturday, August 2nd. Finally, Barclays restated an “equal weight” rating on shares of Novo Nordisk A/S in a report on Wednesday, July 30th. Two equities research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, ten have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat.com, Novo Nordisk A/S presently has a consensus rating of “Hold” and an average price target of $59.20.

Institutional Trading of Novo Nordisk A/S

A number of institutional investors have recently modified their holdings of NVO. Jennison Associates LLC raised its holdings in Novo Nordisk A/S by 0.3% during the 2nd quarter. Jennison Associates LLC now owns 18,885,343 shares of the company’s stock valued at $1,303,466,000 after acquiring an additional 63,341 shares during the period. Capital International Investors increased its position in shares of Novo Nordisk A/S by 52.4% during the third 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. Franklin Resources Inc. grew its stake in Novo Nordisk A/S by 4,190.8% during the third quarter. Franklin Resources Inc. now owns 13,984,789 shares of the company’s stock valued at $776,016,000 after acquiring an additional 13,658,867 shares in the last quarter. Loomis Sayles & Co. L P increased its holdings in Novo Nordisk A/S by 1.5% during the 2nd quarter. Loomis Sayles & Co. L P now owns 12,576,031 shares of the company’s stock worth $867,998,000 after acquiring an additional 187,789 shares during the period. Finally, Folketrygdfondet lifted its stake in Novo Nordisk A/S by 1.2% in the 3rd quarter. Folketrygdfondet now owns 10,211,913 shares of the company’s stock worth $566,659,000 after purchasing an additional 117,370 shares in the last quarter. 11.54% of the stock is currently owned by hedge funds and other institutional investors.

Novo Nordisk A/S Price Performance

The stock has a market capitalization of $200.23 billion, a PE ratio of 12.32, a price-to-earnings-growth ratio of 2.33 and a beta of 0.65. The business’s 50-day moving average price is $53.92 and its 200 day moving average price is $60.28. The company has a debt-to-equity ratio of 0.52, a quick ratio of 0.56 and a current ratio of 0.78.

Novo Nordisk A/S (NYSE:NVO) last posted its earnings results on Wednesday, November 5th. The company reported $1.02 EPS for the quarter, topping the consensus estimate of $0.77 by $0.25. The business had revenue of $11.74 billion during the quarter, compared to analysts’ expectations of $11.98 billion. Novo Nordisk A/S had a return on equity of 78.64% and a net margin of 35.60%. Novo Nordisk A/S has set its FY 2025 guidance at EPS. Research analysts forecast that Novo Nordisk A/S will post 3.84 earnings per share for the current year.

Novo Nordisk A/S Company Profile

Novo Nordisk A/S, together with its subsidiaries, engages in the research and development, manufacture, and distribution of pharmaceutical products in Europe, the Middle East, Africa, Mainland China, Hong Kong, Taiwan, North America, and internationally. It operates in two segments, Diabetes and Obesity Care, and Rare Disease.