Saratoga Research & Investment Management Sells 200,320 Shares of Novo Nordisk A/S $NVO

Key Points

• Saratoga Research & Investment Management cut its Novo Nordisk stake by 5.8%, selling 200,320 shares and retaining 3.24 million shares worth approximately $155.1 million. Novo remains the firm’s second-largest holding, representing about 8.5% of its portfolio.
• Novo Nordisk reported quarterly earnings of $0.94 per share on $11.98 billion in revenue, with a 35.36% net margin and 61.20% return on equity. The stock recently traded around $46.75, well below its 52-week high of $64.16.
• Analyst sentiment remains cautious, with a consensus “Hold” rating despite some upgrades. Investors are weighing potential growth from the oral Wegovy launch against Eli Lilly’s expanding market share, pricing pressure, flat Wegovy sales and pipeline risks.

Saratoga Research & Investment Management lowered its position in shares of Novo Nordisk A/S (NYSE:NVO - Free Report) by 5.8% during the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 3,236,009 shares of the company's stock after selling 200,320 shares during the period. Novo Nordisk A/S makes up about 8.5% of Saratoga Research & Investment Management's investment portfolio, making the stock its 2nd largest position. Saratoga Research & Investment Management owned approximately 0.07% of Novo Nordisk A/S worth $155,134,000 at the end of the most recent reporting period.

A number of other institutional investors have also made changes to their positions in NVO. Godfrey Financial Associates Inc. purchased a new position in shares of Novo Nordisk A/S in the fourth quarter valued at $25,000. WealthCollab LLC lifted its holdings in Novo Nordisk A/S by 93.5% in the 4th quarter. WealthCollab LLC now owns 538 shares of the company's stock worth $27,000 after buying an additional 260 shares in the last quarter. Jackson Grant Investment Advisers Inc. purchased a new position in Novo Nordisk A/S in the 4th quarter valued at about $29,000. Transamerica Financial Advisors LLC grew its stake in shares of Novo Nordisk A/S by 201.5% during the fourth quarter. Transamerica Financial Advisors LLC now owns 603 shares of the company's stock valued at $31,000 after acquiring an additional 403 shares in the last quarter. Finally, Quaker Wealth Management LLC grew its stake in shares of Novo Nordisk A/S by 186.0% during the fourth quarter. Quaker Wealth Management LLC now owns 615 shares of the company's stock valued at $31,000 after acquiring an additional 400 shares in the last quarter. 11.54% of the stock is owned by institutional investors and hedge funds.

Novo Nordisk A/S Trading Up 0.8%

NYSE:NVO opened at $46.75 on Friday. The company has a market cap of $208.74 billion, a PE ratio of 11.43, a P/E/G ratio of 4.23 and a beta of 0.76. The business's 50 day moving average is $47.30 and its two-hundred day moving average is $44.50. The company has a quick ratio of 0.56, a current ratio of 0.79 and a debt-to-equity ratio of 0.59. Novo Nordisk A/S has a 52 week low of $35.12 and a 52 week high of $64.16.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) last issued its earnings results on Tuesday, June 30th. The company reported $0.94 earnings per share for the quarter. The company had revenue of $11.98 billion for the quarter. Novo Nordisk A/S had a net margin of 35.36% and a return on equity of 61.20%. On average, analysts predict that Novo Nordisk A/S will post 3.39 EPS for the current year.

Novo Nordisk A/S Cuts Dividend

The business also recently announced a dividend, which will be paid on Tuesday, August 25th. Shareholders of record on Monday, August 17th will be given a $0.5786 dividend. The ex-dividend date of this dividend is Monday, August 17th. This represents a yield of 254.0%. Novo Nordisk A/S's dividend payout ratio (DPR) is currently 42.79%.

Novo Nordisk A/S News Summary

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

• Positive Sentiment: CEO Mike Doustdar said the obesity-drug market will not be “winner-take-all,” arguing that patients’ differing preferences and demand for pills, injectables and other differentiated treatments should support multiple successful players. Reuters article
• Positive Sentiment: Novo’s oral Wegovy appears to be generating strong prescription momentum, offering a potential new growth channel and helping the company compete beyond its injectable portfolio. However, investors are watching whether that momentum can offset Lilly’s faster growth. Zacks article
• Positive Sentiment: Zacks Research upgraded NVO from “strong sell” to “hold,” indicating that the stock’s sharp decline and low earnings multiple may have reduced some downside risk.
• Neutral Sentiment: Novo defended its lawsuit challenging Eli Lilly’s weight-loss advertising, saying competition must be fair. The litigation could protect Novo’s marketing position, but it also highlights the intensity of the competitive battle. CNBC article
• Neutral Sentiment: Novo’s CEO continues to promote a long runway for obesity treatments, citing low overall adoption and potential healthcare-cost benefits. These are long-term opportunities rather than immediate earnings catalysts. Fox Business article
• Negative Sentiment: Eli Lilly’s growing share in both injectable and oral weight-loss drugs is the main concern. Analysts warn that Lilly’s momentum could widen the competitive gap and limit the upside investors had anticipated from the Wegovy pill. Yahoo Finance article
• Negative Sentiment: Berenberg downgraded Novo from “buy” to “hold,” citing expectations that the initial Wegovy-pill upside is already reflected in the stock and valuing the company closer to the broader European pharmaceutical sector.
• Negative Sentiment: Recent analysis also points to flat Wegovy sales, pricing pressure and pipeline setbacks as near-term risks, helping explain why NVO has decreased despite its strong margins and broader cardiometabolic pipeline. Zacks analysis

Analysts Set New Price Targets

Several research firms recently commented on NVO. Zacks Research upgraded Novo Nordisk A/S from a "strong sell" rating to a "hold" rating in a research note on Tuesday. Nordea Equity Research raised Novo Nordisk A/S from a "hold" rating to a "buy" rating in a research report on Friday, June 19th. Citigroup reiterated a "neutral" rating on shares of Novo Nordisk A/S in a research note on Monday, July 20th. Berenberg Bank set a $47.00 price target on shares of Novo Nordisk A/S in a research report on Wednesday. Finally, BMO Capital Markets restated a "market perform" rating and issued a $47.00 price target on shares of Novo Nordisk A/S in a research note on Thursday, August 6th. Four analysts have rated the stock with a Buy rating and sixteen have issued a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $64.94.

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.

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