Global week ahead: Is Novo Nordisk past 'peak uncertainty'?

18 hours ago 4

At 1 point, it was Europe's astir invaluable company.

Now, arsenic Danish pharmaceutical radical Novo Nordisk prepares to people its third-quarter net connected Wednesday, the representation looks precise different.

Jonathan Raa | Nurphoto | Getty Images

CNBC's Charlotte Reed volition question to Copenhagen to talk with the company's caller CEO Mark Doustdar, a 30-year seasoned of the company, who has been successful the apical occupation since August.

It's not been an casual thrust truthful far, with the radical announcing a crisp diminution successful sales, unit connected profit, a circular of jobs cuts and continued contention from U.S. rivals erstwhile it comes to the blockbuster obesity cause market.

Analysts' views

Despite this, Berenberg is affirmative connected the stock, saying Novo has deed "peak uncertainty."

"Novo's superior maturation illustration and best-in-class R&D returns warrants a higher valuation premium to its peers," the slope added.

Other analysts are little forgiving.

Jefferies precocious chopped the stock's standing to underperform, citing competitory unit successful the U.S. and pricing concerns. Meanwhile, UBS analysts are acrophobic Novo's 8 cardinal Danish krone ($1.23 billion) one-off cost related to its restructuring has not been afloat reflected connected the bottommost line, portion adding that investors are continuing to question the group's deficiency of user acquisition successful the American market.

On Oct. 17, U.S. President Donald Trump told a property league that the terms of Novo's blockbuster weight-loss cause Ozempic would beryllium "much lower" arsenic portion of the administration's negotiations implicit pricing with the company.

The stock terms has been nether unit since the commencement of the year.

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