Novo Nordisk A/S $NVO Stock Position Raised by QRG Capital Management Inc.

Key Points

• QRG Capital Management increased its Novo Nordisk stake by 23% in the second quarter, adding 32,756 shares to own 175,187 shares valued at approximately $8.4 million. Hedge funds and other institutional investors collectively own 11.54% of the stock.
• Novo Nordisk shares traded at $38.60, near the lower end of their 12-month range, despite reporting $0.94 in quarterly EPS and $11.98 billion in revenue. The company also reduced its dividend to $0.5786 per share.
• Analysts maintain a broadly cautious outlook, with the stock carrying an average “Hold” rating. Investors remain concerned about Eli Lilly’s GLP-1 competition, upcoming semaglutide patent expirations and pricing pressure, although Novo is pursuing new pipeline products and positive clinical developments.

QRG Capital Management Inc. lifted its stake in Novo Nordisk A/S (NYSE:NVO - Free Report) by 23.0% in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 175,187 shares of the company's stock after acquiring an additional 32,756 shares during the period. QRG Capital Management Inc.'s holdings in Novo Nordisk A/S were worth $8,398,000 at the end of the most recent reporting period.

Several other hedge funds also recently made changes to their positions in NVO. Godfrey Financial Associates Inc. purchased a new position in Novo Nordisk A/S during the fourth quarter valued at approximately $25,000. Scarborough Advisors LLC purchased a new stake in Novo Nordisk A/S in the 1st quarter worth approximately $26,000. Continuum Advisory LLC purchased a new stake in Novo Nordisk A/S in the 2nd quarter worth approximately $38,000. Markowski Investments bought a new position in Novo Nordisk A/S in the 2nd quarter valued at $43,000. Finally, Cassaday & Co Wealth Management LLC purchased a new position in shares of Novo Nordisk A/S during the 1st quarter valued at $45,000. 11.54% of the stock is currently owned by hedge funds and other institutional investors.

Novo Nordisk A/S Trading Up 1.1%

NYSE NVO opened at $38.60 on Friday. The company has a quick ratio of 0.66, a current ratio of 0.87 and a debt-to-equity ratio of 0.55. The stock's 50-day simple moving average is $45.95 and its two-hundred day simple moving average is $43.87. Novo Nordisk A/S has a twelve month low of $35.12 and a twelve month high of $64.16. The company has a market capitalization of $172.37 billion, a price-to-earnings ratio of 9.44, a PEG ratio of 1.30 and a beta of 0.74.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) last posted its quarterly earnings data on Tuesday, June 30th. The company reported $0.94 earnings per share (EPS) for the quarter. The firm had revenue of $11.98 billion during the quarter. Novo Nordisk A/S had a return on equity of 58.61% and a net margin of 35.36%. Research analysts forecast that Novo Nordisk A/S will post 3.52 EPS for the current fiscal year.

Novo Nordisk A/S Cuts Dividend

The firm also recently declared a dividend, which was paid on Tuesday, August 25th. Shareholders of record on Monday, August 17th were paid a dividend of $0.5786 per share. This represents a dividend yield of 258.0%. This is a drop from Novo Nordisk A/S's previous dividend of $1.2751. The ex-dividend date of this dividend was Monday, August 17th. Novo Nordisk A/S's payout ratio is 20.05%.

Key Novo Nordisk A/S News

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

• Positive Sentiment: Novo set a goal of generating more than DKK 150 billion—roughly $23 billion—in pipeline sales by 2035 and aims to launch more than five potential multiblockbuster medicines by 2030. Management expects bolt-on acquisitions and new products to reduce reliance on Wegovy and Ozempic after patent protection begins to expire. Novo Nordisk Sets Pipeline Sales Target Above $23 Billion By 2035
• Positive Sentiment: Encouraging clinical and regulatory news includes positive CagriSema trial results, strong quarter-over-quarter growth for the Wegovy pill, and Singapore approval for Wegovy in certain liver-related uses. Rare-disease candidates Frehemgo and Sogroya also received positive European regulatory opinions. Novo's CagriSema Delivers Superior Weight Loss Versus Tirzepatide
• Neutral Sentiment: CEO Mike Doustdar said Novo is open to eventually replacing its American depositary receipts with a direct New York listing. Such a move could improve U.S. investor access and visibility, but management said it is not currently pursuing a listing change. Novo Nordisk Open to New York Listing Upgrade
• Negative Sentiment: Investors viewed the capital-markets update as lacking near-term detail and reacted negatively to management’s warning about Wegovy and Ozempic growth. Analysts remain concerned that Eli Lilly is gaining ground in the GLP-1 market and that the new pipeline targets will take years to translate into revenue. Novo's New Strategy Hinges on Investor Trust
• Negative Sentiment: Upcoming semaglutide patent cliffs, pricing pressure, and uncertainty over the durability of Novo’s competitive position have outweighed the stock’s inexpensive valuation. Commentary that a cheap earnings multiple cannot compensate for weak growth has reinforced the selloff. Novo Nordisk CEO Delivered a Warning

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on NVO shares. Berenberg Bank set a $47.00 price target on shares of Novo Nordisk A/S in a report on Wednesday, August 12th. BMO Capital Markets reissued a "market perform" rating and set a $47.00 price objective on shares of Novo Nordisk A/S in a research note on Thursday, August 6th. HSBC restated a "hold" rating on shares of Novo Nordisk A/S in a research report on Thursday, September 10th. Zacks Research upgraded Novo Nordisk A/S from a "strong sell" rating to a "hold" rating in a research note on Tuesday, August 11th. Finally, Citigroup reaffirmed a "neutral" rating on shares of Novo Nordisk A/S in a report on Monday, July 20th. Three investment analysts have rated the stock with a Buy rating, fourteen have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of "Hold" and an average price target of $64.94.

Novo Nordisk A/S Profile

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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