Novo Nordisk A/S (NYSE:NVO) Shares Down 1.1% - Should You Sell?

Key Points

• Novo Nordisk A/S shares fell 1.1% to last trade at $60.70, with trading volume dropping 12% below the average daily volume.
• Analyst ratings have been mixed, with UBS Group downgrading the stock from "buy" to "neutral" while BNP Paribas upgraded it from "underperform" to "neutral."
• The company announced a semi-annual dividend of $0.4119, representing a dividend yield of 240.0%, and its dividend payout ratio is 22.53%.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) shares dropped 1.1% during mid-day trading on Monday . The stock traded as low as $59.62 and last traded at $60.70. Approximately 10,502,645 shares were traded during trading, a decline of 12% from the average daily volume of 11,962,089 shares. The stock had previously closed at $61.40.

Analyst Upgrades and Downgrades

NVO has been the topic of several analyst reports. Hsbc Global Res lowered Novo Nordisk A/S from a "strong-buy" rating to a "hold" rating in a report on Thursday, July 31st. HSBC lowered Novo Nordisk A/S from a "buy" rating to a "hold" rating and set a $57.00 price objective on the stock. in a research note on Thursday, July 31st. Dbs Bank upgraded Novo Nordisk A/S from a "strong sell" rating to a "hold" rating in a research note on Friday, August 22nd. Barclays restated an "equal weight" rating on shares of Novo Nordisk A/S in a research note on Wednesday, July 30th. Finally, Wall Street Zen lowered Novo Nordisk A/S from a "buy" rating to a "hold" rating in a research note on Saturday, August 2nd. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, Novo Nordisk A/S has an average rating of "Hold" and an average price target of $81.00.

Novo Nordisk A/S Stock Down 1.8%

The company has a market capitalization of $266.19 billion, a P/E ratio of 16.38, a PEG ratio of 2.33 and a beta of 0.66. 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 stock has a 50 day moving average price of $56.71 and a 200 day moving average price of $64.92.

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

Novo Nordisk A/S Cuts Dividend

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

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Revolve Wealth Partners LLC boosted its stake in Novo Nordisk A/S by 8.7% during the fourth quarter. Revolve Wealth Partners LLC now owns 2,490 shares of the company's stock worth $214,000 after acquiring an additional 200 shares in the last quarter. American Trust increased its position in Novo Nordisk A/S by 6.8% in the 4th quarter. American Trust now owns 13,589 shares of the company's stock valued at $1,169,000 after buying an additional 864 shares in the last quarter. Ameriflex Group Inc. acquired a new position in Novo Nordisk A/S during the 4th quarter valued at about $94,000. Great Valley Advisor Group Inc. boosted its stake in Novo Nordisk A/S by 158.1% during the 4th quarter. Great Valley Advisor Group Inc. now owns 90,097 shares of the company's stock valued at $7,749,000 after purchasing an additional 55,192 shares during the last quarter. Finally, Polar Asset Management Partners Inc. boosted its stake in Novo Nordisk A/S by 86.0% during the 4th quarter. Polar Asset Management Partners Inc. now owns 27,900 shares of the company's stock valued at $2,400,000 after purchasing an additional 12,900 shares during the last quarter. 11.54% of the stock is 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.