Novo Nordisk A/S (NYSE:NVO) Trading Up 6.6% Following Analyst Upgrade

Key Points

• Novo Nordisk's stock price surged 6.6% after HSBC upgraded its rating from hold to buy, reaching a trading high of $59.22.
• The company reported $0.97 earnings per share for the last quarter, surpassing analysts' expectations of $0.93.
• Novo Nordisk recently announced a semi-annual dividend of $0.4119 per share, boasting a yield of 240.0%.

Novo Nordisk A/S (NYSE:NVO - Get Free Report)'s stock price rose 6.6% during trading on Wednesday after HSBC upgraded the stock from a hold rating to a buy rating. The company traded as high as $59.22 and last traded at $59.15. Approximately 24,693,063 shares changed hands during mid-day trading, an increase of 103% from the average daily volume of 12,153,879 shares. The stock had previously closed at $55.49.

NVO has been the topic of a number of other research reports. BNP Paribas Exane upgraded Novo Nordisk A/S from an "underperform" rating to a "neutral" rating and set a $54.00 price target on the stock in a research note on Wednesday, August 13th. Hsbc Global Res downgraded shares of Novo Nordisk A/S from a "strong-buy" rating to a "hold" rating in a research note on Thursday, July 31st. Morgan Stanley downgraded Novo Nordisk A/S from an "overweight" rating to an "underweight" rating and cut their target price for the company from $59.00 to $47.00 in a research report on Monday. Rothschild Redb upgraded Novo Nordisk A/S from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, September 16th. Finally, Sanford C. Bernstein upgraded Novo Nordisk A/S from a "market perform" rating to an "outperform" rating in a research note on Tuesday, September 9th. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company has an average rating of "Hold" and a consensus target price of $75.33.

Hedge Funds Weigh In On Novo Nordisk A/S

Large investors have recently made changes to their positions in the company. North Capital Inc. acquired a new stake in shares of Novo Nordisk A/S during the 1st quarter valued at about $27,000. Copeland Capital Management LLC increased its position in shares of Novo Nordisk A/S by 184.8% in 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 in the last quarter. Stone House Investment Management LLC acquired a new position in shares of Novo Nordisk A/S during the 1st quarter worth approximately $30,000. NewSquare Capital LLC grew its stake in Novo Nordisk A/S by 174.1% in the 2nd quarter. NewSquare Capital LLC now owns 444 shares of the company's stock valued at $31,000 after acquiring an additional 282 shares during the period. Finally, Disciplina Capital Management LLC increased its holdings in Novo Nordisk A/S by 162.3% in the 1st quarter. Disciplina Capital Management LLC now owns 480 shares of the company's stock worth $33,000 after acquiring an additional 297 shares in the last quarter. 11.54% of the stock is currently owned by institutional investors and hedge funds.

Novo Nordisk A/S Trading Up 6.6%

The company's fifty day simple moving average is $55.62 and its 200-day simple moving average is $64.17. The firm has a market capitalization of $264.08 billion, a PE ratio of 16.25, a P/E/G ratio of 2.10 and a beta of 0.66. The company has a debt-to-equity ratio of 0.52, a current ratio of 0.78 and a quick ratio of 0.56.

Novo Nordisk A/S (NYSE:NVO - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $0.97 earnings per share for the quarter, beating analysts' consensus estimates of $0.93 by $0.04. Novo Nordisk A/S had a net margin of 35.60% and a return on equity of 78.64%. The firm had revenue of $11.69 billion for the quarter, compared to analyst estimates of $77.51 billion. As a group, sell-side analysts expect that Novo Nordisk A/S will post 3.84 earnings per share for the current fiscal year.

Novo Nordisk A/S Cuts Dividend

The firm also recently announced a semi-annual dividend, which was paid on Tuesday, August 26th. Shareholders of record on Monday, August 18th were paid 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 payout ratio is 22.53%.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.