What Wall Street Analysts Think of Novo Nordisk Stock Ahead of Earnings

Key Findings

Danish pharmaceutical giant Novo Nordisk is set to report third-quarter 2024 earnings on Wednesday morning.
Novo investors will focus on sales of popular weight-loss drugs Ozempic and Wegovy.
Analysts are generally bullish on the stock, with five “hold” ratings and six “buy” ratings, and the average price target about 28% above recent levels.

Novo Nordisk (HBO), manufacturer of popular weight loss drugs Ozempich and Vegovyis set to report third-quarter earnings Wednesday morning, with Wall Street analysts generally bullish on the Danish drugmaker’s stock.

Analysts with current ratings tracked by Visible Alpha have six “buy” and five “hold” or equivalent ratings. Average target price for the company’s shares on its home stock exchange is 963.36. Danish krone (about $140), which is about 28% higher than the closing level on Monday.

In the coming years, the company may face increased competition in the weight loss market. Companies as Viking Therapeutics (VKTH) and AstraZeneca (ADS) this week presented new data on its own weight-loss drugs in various stages of clinical trials.

Novo Nordisk and Eli Lilly have manufacturing moats over their competitors

Deutsche Bank analysts said Monday they have confidence in Novo Nordisk, as well as Mounjaro and Zepbound maker Eli Lilly (LLI), have “built ditches“This will make it difficult for other companies to scale up enough to challenge their dominance in the weight loss market.

Analysts expect Novo Nordisk to report 72.17 billion kroner ($10.48 billion) in income for the quarter, with Ozempic and Wegovy sales up 28% and 63%, respectively, year-over-year.

Eli Lilly Results missed grades last weekwhile sales of Mounjaro and Zepbound continue to grow and increase Lilly’s revenue.