Novo Nordisk A/S (NYSE:NVO) Trading 4.3% Higher - Should You Buy?

Key Points

• Novo Nordisk A/S shares rose 4.3% on trading Monday, reaching a high of $54.99, with a significant increase in trading volume by 54% compared to the average.
• Analysts have recently adjusted ratings on the stock, with BNP Paribas upgrading it to "neutral" while HSBC lowered its rating from "buy" to "hold."
• The company reported an earnings per share (EPS) of $0.97, surpassing estimates, and announced a dividend of $0.4119 per share with a payout ratio of 45.05%.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) traded up 4.3% during trading on Monday . The company traded as high as $54.99 and last traded at $54.06. 17,672,750 shares changed hands during trading, an increase of 54% from the average session volume of 11,488,020 shares. The stock had previously closed at $51.83.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the company. BNP Paribas Exane upgraded Novo Nordisk A/S from an "underperform" rating to a "neutral" rating and set a $54.00 target price on the stock in a research note on Wednesday, August 13th. BNP Paribas upgraded Novo Nordisk A/S from an "underperform" rating to a "neutral" rating in a research note on Wednesday, August 13th. HSBC cut Novo Nordisk A/S from a "buy" rating to a "hold" rating and set a $57.00 target price on the stock. in a research note on Thursday, July 31st. UBS Group cut Novo Nordisk A/S from a "buy" rating to a "neutral" rating in a research note on Tuesday, August 5th. Finally, Dbs Bank cut Novo Nordisk A/S to a "sell" rating in a research note on Friday, April 25th. One investment analyst has rated the stock with a sell rating, twelve have issued a hold rating and two have assigned a buy rating to the company's stock. Based on data from MarketBeat, Novo Nordisk A/S currently has an average rating of "Hold" and an average target price of $83.75.

Novo Nordisk A/S Stock Performance

The company's fifty day moving average is $64.96 and its 200 day moving average is $70.24. The company has a market capitalization of $240.88 billion, a P/E ratio of 14.84, a P/E/G ratio of 1.80 and a beta of 0.63. The company has a current ratio of 0.78, a quick ratio of 0.56 and a debt-to-equity ratio of 0.52.

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

Novo Nordisk A/S Cuts Dividend

The business also recently declared a semi-annual dividend, which will be paid on Tuesday, August 26th. Stockholders of record on Monday, August 18th will be given a dividend of $0.4119 per share. The ex-dividend date is Monday, August 18th. This represents a dividend yield of 240.0%. Novo Nordisk A/S's dividend payout ratio is currently 45.05%.

Institutional Investors Weigh In On Novo Nordisk A/S

Hedge funds and other institutional investors have recently modified their holdings of the stock. Park Square Financial Group LLC bought a new stake in shares of Novo Nordisk A/S during the fourth quarter valued at about $29,000. Transce3nd LLC bought a new stake in shares of Novo Nordisk A/S during the fourth quarter valued at about $33,000. North Capital Inc. bought a new stake in shares of Novo Nordisk A/S during the first quarter valued at about $27,000. Copeland Capital Management LLC increased its position in shares of Novo Nordisk A/S by 184.8% during the first quarter. Copeland Capital Management LLC now owns 393 shares of the company's stock valued at $27,000 after buying an additional 255 shares during the period. Finally, Stone House Investment Management LLC bought a new stake in shares of Novo Nordisk A/S during the first quarter valued at about $30,000. 11.54% of the stock is currently owned by institutional investors.

Novo Nordisk A/S Company Profile

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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