Erste Group Bank Has Negative View of NVO FY2026 Earnings

Key Points

• Erste Group Bank slightly cut its FY2026 earnings estimate for Novo Nordisk to $3.22 per share from $3.23, still below the broader consensus of $3.38.
• Novo Nordisk’s latest reported quarter showed $1.03 EPS on $10.85 billion in revenue, with strong profitability metrics including a 37.23% net margin and 63.31% return on equity.
• Analyst sentiment remains cautious overall, with the stock carrying an average “Hold” rating and several firms recently reiterating or downgrading views amid competition concerns.

Novo Nordisk A/S (NYSE:NVO - Free Report) - Equities research analysts at Erste Group Bank reduced their FY2026 earnings estimates for Novo Nordisk A/S in a research note issued on Wednesday, July 15th. Erste Group Bank analyst H. Engel now expects that the company will earn $3.22 per share for the year, down from their previous estimate of $3.23. The consensus estimate for Novo Nordisk A/S's current full-year earnings is $3.38 per share.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) last announced its earnings results on Tuesday, March 31st. The company reported $1.03 earnings per share (EPS) for the quarter. The firm had revenue of $10.85 billion for the quarter. Novo Nordisk A/S had a net margin of 37.23% and a return on equity of 63.31%.

Other equities analysts have also issued reports about the company. Citigroup reiterated a "neutral" rating on shares of Novo Nordisk A/S in a research note on Tuesday, May 12th. HSBC reissued a "hold" rating on shares of Novo Nordisk A/S in a research note on Monday, July 6th. Wolfe Research started coverage on shares of Novo Nordisk A/S in a research note on Thursday, March 26th. They set a "peer perform" rating for the company. Zacks Research lowered shares of Novo Nordisk A/S from a "hold" rating to a "strong sell" rating in a report on Monday. Finally, Wall Street Zen cut shares of Novo Nordisk A/S from a "buy" rating to a "hold" rating in a research report on Saturday, June 20th. Five analysts have rated the stock with a Buy rating, sixteen have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $65.56.

Novo Nordisk A/S Price Performance

NVO stock opened at $51.50 on Friday. Novo Nordisk A/S has a 52-week low of $35.12 and a 52-week high of $71.79. The stock's fifty day simple moving average is $46.01 and its 200-day simple moving average is $45.79. The company has a quick ratio of 0.56, a current ratio of 0.79 and a debt-to-equity ratio of 0.59. The stock has a market capitalization of $229.96 billion, a price-to-earnings ratio of 12.09, a price-to-earnings-growth ratio of 4.61 and a beta of 0.77.

Hedge Funds Weigh In On Novo Nordisk A/S

Several hedge funds and other institutional investors have recently modified their holdings of the company. Doliver Advisors LP raised its holdings in Novo Nordisk A/S by 25.6% in the second quarter. Doliver Advisors LP now owns 16,741 shares of the company's stock valued at $803,000 after buying an additional 3,415 shares during the period. Fulton Bank N.A. purchased a new stake in Novo Nordisk A/S during the second quarter worth approximately $224,000. Harrell Investment Partners LLC grew its stake in Novo Nordisk A/S by 7.5% during the second quarter. Harrell Investment Partners LLC now owns 16,042 shares of the company's stock worth $769,000 after buying an additional 1,119 shares during the period. Centurion Wealth Management LLC acquired a new stake in shares of Novo Nordisk A/S in the second quarter worth $209,000. Finally, Focus Financial Network Inc. increased its position in shares of Novo Nordisk A/S by 104.2% in the second quarter. Focus Financial Network Inc. now owns 17,017 shares of the company's stock worth $816,000 after acquiring an additional 8,685 shares in the last quarter. 11.54% of the stock is owned by institutional investors and hedge funds.

Novo Nordisk A/S News Roundup

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

• Positive Sentiment: India approved Wegovy for treatment of metabolic dysfunction-associated steatohepatitis (MASH), opening another potential commercial use for Novo Nordisk’s obesity drug and expanding its addressable market. Article: India approves Novo Nordisk's obesity drug Wegovy for fatty liver disease
• Positive Sentiment: The European Commission approved an oral Wegovy pill for weight management, making it the first GLP-1 tablet for obesity cleared in the EU and potentially improving convenience, uptake, and Novo’s competitive position versus Eli Lilly. Article: Novo Nordisk wins EU approval for Wegovy weight-loss pill
• Positive Sentiment: News that Eli Lilly’s obesity pill is still trailing Novo’s, even months after launch, reinforces Novo Nordisk’s first-mover advantage in oral obesity treatments. Article: Eli Lilly’s obesity pill is said to trail Novo’s even three months after launch
• Positive Sentiment: Novo also secured European approval for a higher-dose Wegovy single-dose pen, adding another product-format option that could help broaden prescriptions and patient access. Article: Novo wins EU nod for Wegovy pill and higher-dose Wegovy in single-dose pen
• Neutral Sentiment: Brokerages currently rate Novo Nordisk with an average “Hold,” suggesting analysts see upside drivers but also meaningful valuation and competition concerns. Article: Novo Nordisk A/S NYSE: NVO Given Average Recommendation of "Hold" by Brokerages
• Neutral Sentiment: Analysts have nudged fair value estimates slightly higher as they revise growth assumptions, but the move is modest and does not materially change the near-term story. Article: Novo Nordisk CPSE: NOVO B Stock Fair Value Edges Higher As Analysts Rework Growth Assumptions
• Negative Sentiment: Sun Pharmaceutical’s approval to launch a generic version of semaglutide in South Africa highlights emerging competition to Novo’s diabetes and obesity franchise, which could pressure pricing over time. Article: India's Sun Pharma wins South Africa approval to launch generic Ozempic

About Novo Nordisk A/S

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.

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