Novo Nordisk A/S (NYSE:NVO) Trading Down 1.9% - What's Next?

Novo Nordisk A/S (NYSE:NVO) experienced a drop in its share price, declining by 1.9% during trading on Thursday. The stock hit a low of $109.72 and last changed hands at $111.08. During this trading session, approximately 2,963,599 shares were exchanged, marking a decrease of 32% from the typical daily volume of 4,337,774 shares. The stock had closed at $113.24 the previous day.

Recent reports from equities research analysts have influenced the stock's trajectory. On October 10th, Cantor Fitzgerald reaffirmed an "overweight" rating for Novo Nordisk shares, setting a target price of $160.00. Following this, on October 17th, BMO Capital Markets revised their price target down to $156.00 while maintaining an "outperform" rating. Furthermore, StockNews.com changed the company's status from a "strong-buy" to a "buy" on October 9th. Among various analysts, one has rated the stock with a hold designation, while seven analysts favor a buy stance. As per MarketBeat data, the consensus rating for Novo Nordisk is classified as "Moderate Buy" with an average target price of $144.50.

Recent Stock Performance

In terms of performance metrics, Novo Nordisk A/S has a 50-day simple moving average priced at $125.25, while the 200-day simple moving average stands at $131.06. The company shows a debt-to-equity ratio of 0.46 and a quick ratio of 0.75, with a current ratio of 0.94. Novo Nordisk holds a market capitalization of $501.71 billion, a price-to-earnings (P/E) ratio of 38.04, a price/earnings to growth (PEG) ratio of 1.48, and a beta value of 0.42.

The latest quarterly earnings for Novo Nordisk were released on August 7th, revealing earnings per share (EPS) of $0.65. This fell short of analyst expectations which had set the bar at $0.71 by a margin of $0.06. Revenue for the quarter was reported at $9.82 billion against the anticipated $9.91 billion. The firm posted a net margin of 34.86% and a return on equity of 87.43%. Analysts predict that Novo Nordisk A/S will report an EPS of 3.01 for the current fiscal year.

Dividend Changes

In addition to stock performance, Novo Nordisk A/S recently announced a semi-annual dividend payout made on August 26th. Shareholders recorded by August 16th received a dividend of $0.5126, yielding 0.7%. The payout ratio currently stands at 24.66%.

Institutional Investments

Institutional investors have also made notable adjustments to their holdings in Novo Nordisk A/S. Notably, 1620 Investment Advisors Inc. and Strategic Investment Solutions Inc. both acquired new stakes in the company during the second quarter, each investing approximately $25,000. Additionally, Orion Capital Management LLC established a new position worth $26,000 during the first quarter. Notably, Gilliland Jeter Wealth Management LLC increased its ownership by 200% in the second quarter, now controlling 180 shares valued at around $26,000. Meanwhile, Halpern Financial Inc. escalated its stake by 113% during the same period, giving them ownership of 213 shares worth $30,000. Overall, institutional investors hold about 11.54% of Novo Nordisk's shares.

About Novo Nordisk A/S

Novo Nordisk A/S, along with its subsidiaries, specializes in the research, development, production, and distribution of pharmaceutical products across numerous regions including Europe, the Middle East, Africa, Mainland China, Hong Kong, Taiwan, North America, and beyond. The company operates primarily within two segments: Diabetes and Obesity Care, and Rare Disease.

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