What is Erste Group Bank's Forecast for NVO FY2026 Earnings?

Key Points

• Erste Group Bank lowered its FY2026 EPS forecast for Novo Nordisk to $3.43, from $3.46 previously, slightly below the $3.45 consensus estimate. The firm projects FY2027 EPS of $3.32.
• Analyst sentiment remains cautious: Novo Nordisk carries a consensus “Hold” rating, with 14 Hold, four Buy and one Sell recommendation and an average price target of $64.94.
• Novo Nordisk shares opened at $43.03, well below their 12-month high of $64.16. Investors are weighing potential growth from Wegovy’s China expansion against concerns about competition and the semaglutide patent cliff.

Novo Nordisk A/S (NYSE:NVO - Free Report) - Equities research analysts at Erste Group Bank dropped their FY2026 EPS estimates for shares of Novo Nordisk A/S in a report issued on Tuesday, September 8th. Erste Group Bank analyst H. Engel now forecasts that the company will post earnings per share of $3.43 for the year, down from their prior forecast of $3.46. The consensus estimate for Novo Nordisk A/S's current full-year earnings is $3.45 per share. Erste Group Bank also issued estimates for Novo Nordisk A/S's FY2027 earnings at $3.32 EPS.

NVO has been the topic of a number of other reports. Citigroup reissued a "neutral" rating on shares of Novo Nordisk A/S in a report on Monday, July 20th. HSBC reaffirmed a "hold" rating on shares of Novo Nordisk A/S in a research report on Thursday. Deutsche Bank Aktiengesellschaft downgraded shares of Novo Nordisk A/S from a "hold" rating to a "sell" rating in a report on Thursday, August 27th. Berenberg Bank set a $47.00 target price on shares of Novo Nordisk A/S in a research note on Wednesday, August 12th. Finally, Zacks Research raised shares of Novo Nordisk A/S from a "strong sell" rating to a "hold" rating in a report on Tuesday, August 11th. Four research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $64.94.

Novo Nordisk A/S Price Performance

NYSE:NVO opened at $43.03 on Monday. Novo Nordisk A/S has a 12-month low of $35.12 and a 12-month high of $64.16. The firm has a market capitalization of $192.15 billion, a price-to-earnings ratio of 10.52, a P/E/G ratio of 1.45 and a beta of 0.74. The stock's 50 day moving average price is $47.49 and its two-hundred day moving average price is $43.68. The company has a quick ratio of 0.66, a current ratio of 0.87 and a debt-to-equity ratio of 0.55.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) last released its quarterly earnings data on Tuesday, June 30th. The company reported $0.94 earnings per share for the quarter. Novo Nordisk A/S had a net margin of 35.36% and a return on equity of 58.61%. The company had revenue of $11.98 billion for the quarter.

Institutional Investors Weigh In On Novo Nordisk A/S

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Godfrey Financial Associates Inc. bought a new stake in shares of Novo Nordisk A/S in the fourth quarter valued at about $25,000. Scarborough Advisors LLC acquired a new stake in Novo Nordisk A/S in the 1st quarter worth about $26,000. Transamerica Financial Advisors LLC boosted its holdings in Novo Nordisk A/S by 201.5% in the 4th quarter. Transamerica Financial Advisors LLC now owns 603 shares of the company's stock valued at $31,000 after purchasing an additional 403 shares during the period. Continuum Advisory LLC bought a new stake in Novo Nordisk A/S in the 2nd quarter valued at about $38,000. Finally, Johnson Financial Group Inc. grew its position in shares of Novo Nordisk A/S by 128.0% during the 3rd quarter. Johnson Financial Group Inc. now owns 684 shares of the company's stock worth $38,000 after purchasing an additional 384 shares in the last quarter. Institutional investors and hedge funds own 11.54% of the company's stock.

Novo Nordisk A/S Cuts Dividend

The company also recently disclosed a dividend, which was paid on Tuesday, August 25th. Shareholders of record on Monday, August 17th were issued a $0.5786 dividend. This represents a yield of 258.0%. The ex-dividend date of this dividend was Monday, August 17th. Novo Nordisk A/S's dividend payout ratio is currently 20.05%.

Key Stories Impacting Novo Nordisk A/S

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

• Positive Sentiment: Wegovy received approval in China for MASH, making it the first GLP-1 receptor agonist in the country approved for the liver disease. The decision expands semaglutide’s potential beyond obesity and diabetes, although Novo has not provided a launch schedule or revenue outlook. Reuters article
• Positive Sentiment: China’s acceptance of Novo’s oral Wegovy application creates a potential avenue into the country’s growing GLP-1 weight-management market. Investors see the opportunity as a possible long-term growth driver, though regulatory approval, launch timing and competitive dynamics remain uncertain. Oral Wegovy China article
• Neutral Sentiment: HSBC raised its price target to 320 Danish kroner but kept a Hold rating, reflecting improved valuation expectations without a strong near-term conviction. HSBC price target article
• Positive Sentiment: Some analysts continue to view Novo’s valuation, strong margins, free cash flow and GLP-1 leadership as providing a margin of safety, suggesting the recent weakness may already reflect substantial execution and competitive risks. Novo Nordisk valuation analysis
• Negative Sentiment: The Morgan Stanley downgrade is the dominant near-term catalyst. Investors are questioning whether oral Wegovy, China expansion and other pipeline opportunities can replace revenue exposed to the semaglutide patent cliff, contributing to NVO’s decline and keeping sentiment weak. Morgan Stanley downgrade article

About Novo Nordisk A/S

Novo Nordisk A/S is a Danish healthcare company headquartered in Bagsværd, Denmark. Founded in 1923, the company develops and manufactures pharmaceutical products focused primarily on diabetes and obesity care, as well as treatments for rare blood disorders and growth disorders.

Its diabetes portfolio includes insulin products and medicines in the glucagon-like peptide-1 (GLP-1) class, including Ozempic, Rybelsus and Wegovy. The company also offers treatments for obesity, hemophilia and other rare conditions, along with growth hormone therapies.

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