Novo Nordisk A/S (NVO): A Bull Case Theory

We encountered a bullish thesis on Novo Nordisk A/S (NVO) on Substack by Kontra Investments. In this article, we will summarize the bull thesis on NVO. The Novo Nordisk A/S (NVO) share was traded at $ 67.74 as of May 12^Y. Nvo’s Thurly and Forward P/E 19.18 and 16.50, respectively, was according to Yahoo Finance.

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Novo Nordisk performed a strong performance in the first quarter, characterized by a 19 % increase in revenue in the Danish Kroner (18 % at fixed exchange rates) to 78.1 billion DKK and 22 % in operational profit to 38.8 billion dirhams. These results were driven by controlling disciplined costs, strong demand for diabetes and obesity. The net income reached 29.0 billion dirhams, while the free cash flow has reached 9.5 billion DKK, which provides aggressive capital revenues, which total 36.7 billion DKK through profit distributions and purchases. Diabetes and obesity sectors continue to operate the company’s growth, which contributes to 73.5 billion DKK sales, an increase of 21 % with fixed exchange rates. Obesity sponsorship alone increased by 65 % to 18.4 billion DKK, which was pushed by Wegovy, which, despite the short -term opposite winds in the United States from the alternatives to the complex vocations, is expected to recover strongly through the cash paid and favorite access through CVS Health starting from July 2025.

While the US market softness due to the GLP-1 drugs is cheaper temporarily affected the momentum, it is expected that the increased audit of the Food and Drug Administration and the alignment of a more strict motivation to direct the patient’s sizes towards the branded Wegovy. International expansion is accelerating, as Wegovy has now been launched in 25 countries, up from 20 countries earlier this year. Novo maintains its GLP-1 dominance in its market, which carries a three-thirds share, based on the leading products OzemPIC and Wegovy. The company’s innovation motor remains vital, with new promising treatments such as Cagrisma-which is running in weight by 15.7 % in experiments-on the path to agree to 2026, and an oral version of the semiotide with 16.6 % weight loss waiting for the evacuation of food and drugs (FDA), which is likely to open the new market slides among patients who suffer from Injections.

NOVO’s long-term financial expectations remain convincing, as the instructions expect 2025 growth by 13-21 % of sales and 16-24 % of operating profits growth, even after calculating American fluctuations. The margins expanded to 49.7 %, which reflects the cost efficiency via SG & A and R&D. With the support of DKK 140 billion in manufacturing investments since 2021, Novo is in a good position to meet the widespread GLP-1 global demand. The company also continues to give priority to ESG initiatives, with meaningful gender diversity and access to global treatment. EPS for management projects can reach $ 50 by 2029, which leads to the establishment of the position of Novo Nordisk as a solid and high -quality pain.