Novo Nordisk A/S (NYSE:NVO) Shares Down 1.1% - Here's Why

Key Points

• Novo Nordisk A/S shares fell by 1.1% to $56.07, with trading volume down 39% from average levels.
• Analysts have recently downgraded the stock, with Morgan Stanley reducing its rating from "overweight" to "underweight" and setting a new price target of $47.00.
• The company reported earnings of $0.97 per share, surpassing analysts' expectations, while also announcing a semi-annual dividend of $0.4119 per share.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) was down 1.1% on Thursday . The stock traded as low as $55.97 and last traded at $56.07. Approximately 7,322,397 shares traded hands during trading, a decline of 39% from the average daily volume of 12,081,753 shares. The stock had previously closed at $56.72.

Analyst Ratings Changes

A number of equities analysts recently issued reports on NVO shares. Barclays restated an "equal weight" rating on shares of Novo Nordisk A/S in a report on Wednesday, July 30th. Morgan Stanley cut Novo Nordisk A/S from an "overweight" rating to an "underweight" rating and dropped their price objective for the company from $59.00 to $47.00 in a report on Monday, September 29th. UBS Group cut Novo Nordisk A/S from a "buy" rating to a "neutral" rating in a report on Tuesday, August 5th. TD Cowen dropped their price objective on Novo Nordisk A/S from $105.00 to $70.00 and set a "buy" rating for the company in a report on Tuesday, August 19th. Finally, Dbs Bank upgraded Novo Nordisk A/S from a "strong sell" rating to a "hold" rating in a report on Friday, August 22nd. Two research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, ten have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, Novo Nordisk A/S has an average rating of "Moderate Buy" and a consensus target price of $76.00.

Novo Nordisk A/S Stock Down 1.1%

The company has a current ratio of 0.78, a quick ratio of 0.56 and a debt-to-equity ratio of 0.52. The business has a 50-day moving average price of $56.03 and a 200-day moving average price of $62.94. The firm has a market cap of $250.35 billion, a P/E ratio of 15.40, a P/E/G ratio of 2.60 and a beta of 0.68.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) last posted its quarterly earnings results on Wednesday, August 6th. The company reported $0.97 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.93 by $0.04. Novo Nordisk A/S had a return on equity of 78.64% and a net margin of 35.60%.The business had revenue of $11.69 billion for the quarter, compared to the consensus estimate of $77.51 billion. On average, equities analysts forecast that Novo Nordisk A/S will post 3.84 EPS for the current fiscal year.

Novo Nordisk A/S Cuts Dividend

The company also recently declared a semi-annual dividend, which was paid on Tuesday, August 26th. Stockholders of record on Monday, August 18th were given a dividend of $0.4119 per share. The ex-dividend date of this dividend was Monday, August 18th. This represents a dividend yield of 240.0%. Novo Nordisk A/S's dividend payout ratio is presently 22.53%.

Institutional Investors Weigh In On Novo Nordisk A/S

A number of institutional investors have recently added to or reduced their stakes in the stock. Bill Few Associates Inc. boosted its position in Novo Nordisk A/S by 25.5% during the third quarter. Bill Few Associates Inc. now owns 4,017 shares of the company's stock valued at $223,000 after purchasing an additional 817 shares in the last quarter. Griffin Asset Management Inc. grew its position in shares of Novo Nordisk A/S by 3.0% in the 3rd quarter. Griffin Asset Management Inc. now owns 8,242 shares of the company's stock worth $457,000 after buying an additional 242 shares during the last quarter. HBW Advisory Services LLC raised its stake in shares of Novo Nordisk A/S by 132.9% during the 3rd quarter. HBW Advisory Services LLC now owns 8,019 shares of the company's stock worth $445,000 after acquiring an additional 4,576 shares in the last quarter. HBK Sorce Advisory LLC raised its stake in shares of Novo Nordisk A/S by 2.9% during the 3rd quarter. HBK Sorce Advisory LLC now owns 11,164 shares of the company's stock worth $633,000 after acquiring an additional 313 shares in the last quarter. Finally, DecisionMap Wealth Management LLC raised its stake in shares of Novo Nordisk A/S by 26.9% during the 3rd quarter. DecisionMap Wealth Management LLC now owns 10,682 shares of the company's stock worth $593,000 after acquiring an additional 2,264 shares in the last quarter. Institutional investors own 11.54% of the company's stock.

About Novo Nordisk A/S

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.

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