How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Novo Nordisk (NVO - Free Report) ten years ago? It may not have been easy to hold on to NVO for all that time, but if you did, how much would your investment be worth today?
Novo Nordisk's Business In-Depth
With that in mind, let's take a look at Novo Nordisk's main business drivers.
Bagsværd, Denmark-based Novo Nordisk is a global healthcare company and a leader in the worldwide diabetes market. The company is also a key player in hemophilia care, growth hormone therapy, hormone replacement therapy and obesity.
Novo Nordisk operates through two segments: Diabetes and obesity care and Biopharmaceuticals. While the Diabetes and obesity care segment covers insulins, glucagon-like peptide 1 (GLP-1), other protein-related products, obesity and oral anti-diabetic drugs, the Biopharmaceuticals segment includes hemophilia, growth hormone therapy and hormone replacement therapy.
Novo Nordisk’s most well-known drugs include Levemir, NovoRapid, Victoza, Ozempic, NovoMix, NovoSeven, NovoThirteen, Ryzodeg, Xultophy, Saxenda, Rybelsus, Esperoct, Sogroya and Norditropin, among several others. The company launched its first product for weight management, Saxenda, in the United States in 2015.
In August 2018, Novo Nordisk announced that it has acquired all of the shares of Ziylo Ltd. Ziylo is a University of Bristol spin-out company based at Unit DX science incubator in the United Kingdom. The acquisition gives Novo Nordisk full rights to Ziylo's glucose binding molecule platform to develop glucose responsive insulins (GRIs). Novo Nordisk is focused on developing this technology in order to develop this next generation of insulin, which would lead to a safer and more effective insulin therapy.
Novo Nordisk generated revenues of DKK 140,800 million in 2021 compared with DKK 126,946 million in 2020. Revenues increased 11% in Danish kroner and 14% at currency exchange rate.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Novo Nordisk ten years ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in June 2012 would be worth $4,357.76, or a gain of 335.78%, as of June 9, 2022, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 210.47% and the price of gold went up 11.67% over the same time frame.
Going forward, analysts are expecting more upside for NVO.
Novo Nordisk’s earnings and sales beat estimates in the first quarter. Its diabetes drug, Ozempic, is off to a solid start. The launch of Rybelsus also looks impressive. Novo Nordisk has one of the broadest diabetes portfolios in the industry. Ozempic, Rybelsus, Xultophy and Saxenda have been helping the company maintain momentum. Label expansion of these existing drugs is expected to boost sales. Shares of the company have underperformed the industry year to date. However, lower realized prices in the United States, loss of exclusivity for products and stiff competition affect sales. Also, sales are being negatively impacted by the COVID-19 pandemic. Also, the supply challenges for Wegovy have hurt the stock. The patent expiry on some of the products in Novo Nordisk’s portfolio is a concern.
The stock has jumped 11.70% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 4 higher, for fiscal 2022; the consensus estimate has moved up as well.
Where Will Stocks Go…
If Biden Wins? If Trump Wins?
The answers may surprise you.
Since 1950, even after negative midterm years, the market has never had a lower presidential election year. With voters energized and engaged, the market has been almost unrelentingly bullish no matter which party wins!
Now is the time to download Zacks' free Special Report with 5 stocks that offer extreme upside for both Democrats and Republicans…
1. Medical manufacturer has gained +11,000% in the last 15 years.
2. Rental company is absolutely crushing its sector.
3. Energy powerhouse plans to grow its already large dividend by 25%.
4. Aerospace and defense standout just landed a potentially $80 billion contract.
5. Giant Chipmaker is building huge plants in the U.S.
Hurry, Download Special Report FREE >>
How much a stock's price changes over time is a significant driver for most investors. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Novo Nordisk (NVO - Free Report) ten years ago? It may not have been easy to hold on to NVO for all that time, but if you did, how much would your investment be worth today?
Novo Nordisk's Business In-Depth
With that in mind, let's take a look at Novo Nordisk's main business drivers.
Bagsværd, Denmark-based Novo Nordisk is a global healthcare company and a leader in the worldwide diabetes market. The company is also a key player in hemophilia care, growth hormone therapy, hormone replacement therapy and obesity.
Novo Nordisk operates through two segments: Diabetes and obesity care and Biopharmaceuticals. While the Diabetes and obesity care segment covers insulins, glucagon-like peptide 1 (GLP-1), other protein-related products, obesity and oral anti-diabetic drugs, the Biopharmaceuticals segment includes hemophilia, growth hormone therapy and hormone replacement therapy.
Novo Nordisk’s most well-known drugs include Levemir, NovoRapid, Victoza, Ozempic, NovoMix, NovoSeven, NovoThirteen, Ryzodeg, Xultophy, Saxenda, Rybelsus, Esperoct, Sogroya and Norditropin, among several others. The company launched its first product for weight management, Saxenda, in the United States in 2015.
In August 2018, Novo Nordisk announced that it has acquired all of the shares of Ziylo Ltd. Ziylo is a University of Bristol spin-out company based at Unit DX science incubator in the United Kingdom. The acquisition gives Novo Nordisk full rights to Ziylo's glucose binding molecule platform to develop glucose responsive insulins (GRIs). Novo Nordisk is focused on developing this technology in order to develop this next generation of insulin, which would lead to a safer and more effective insulin therapy.
Novo Nordisk generated revenues of DKK 140,800 million in 2021 compared with DKK 126,946 million in 2020. Revenues increased 11% in Danish kroner and 14% at currency exchange rate.
Bottom Line
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Novo Nordisk ten years ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in June 2012 would be worth $4,357.76, or a gain of 335.78%, as of June 9, 2022, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 210.47% and the price of gold went up 11.67% over the same time frame.
Going forward, analysts are expecting more upside for NVO.
Novo Nordisk’s earnings and sales beat estimates in the first quarter. Its diabetes drug, Ozempic, is off to a solid start. The launch of Rybelsus also looks impressive. Novo Nordisk has one of the broadest diabetes portfolios in the industry. Ozempic, Rybelsus, Xultophy and Saxenda have been helping the company maintain momentum. Label expansion of these existing drugs is expected to boost sales. Shares of the company have underperformed the industry year to date. However, lower realized prices in the United States, loss of exclusivity for products and stiff competition affect sales. Also, sales are being negatively impacted by the COVID-19 pandemic. Also, the supply challenges for Wegovy have hurt the stock. The patent expiry on some of the products in Novo Nordisk’s portfolio is a concern.
The stock has jumped 11.70% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 4 higher, for fiscal 2022; the consensus estimate has moved up as well.Where Will Stocks Go…
If Biden Wins? If Trump Wins?
The answers may surprise you.
Since 1950, even after negative midterm years, the market has never had a lower presidential election year. With voters energized and engaged, the market has been almost unrelentingly bullish no matter which party wins!
Now is the time to download Zacks' free Special Report with 5 stocks that offer extreme upside for both Democrats and Republicans…
1. Medical manufacturer has gained +11,000% in the last 15 years.
2. Rental company is absolutely crushing its sector.
3. Energy powerhouse plans to grow its already large dividend by 25%.
4. Aerospace and defense standout just landed a potentially $80 billion contract.
5. Giant Chipmaker is building huge plants in the U.S.
Hurry, Download Special Report FREE >>
Get the latest research report on NVO - FREE