Yahoo Finance Novo Nordisk (NVO) Rises Higher Than Market: Key Facts
In the latest market close, Novo Nordisk (NVO) reached $144.49, with a +0.57% movement compared to the previous day. The stock exceeded the S&P 500, which registered a gain of 0.09% for the day. Meanwhile, the Dow gained 0.09%, and the Nasdaq, a tech-heavy index, added 0.3%.
Prior to today's trading, shares of the drugmaker had gained 8.28% over the past month. This has outpaced the Medical sector's gain of 1.69% and the S&P 500's gain of 3.38% in that time.
Market participants will be closely following the financial results of Novo Nordisk in its upcoming release. The company is forecasted to report an EPS of $0.81, showcasing a 28.57% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $9.86 billion, up 24.28% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.41 per share and revenue of $42.19 billion, indicating changes of +26.3% and +25.14%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Novo Nordisk. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.39% lower. At present, Novo Nordisk boasts a Zacks Rank of #3 (Hold).
From a valuation perspective, Novo Nordisk is currently exchanging hands at a Forward P/E ratio of 42.17. This valuation marks a premium compared to its industry's average Forward P/E of 14.84.
One should further note that NVO currently holds a PEG ratio of 1.43. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.82 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. With its current Zacks Industry Rank of 85, this industry ranks in the top 34% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Novo Nordisk A/S (NVO) : Free Stock Analysis Report
