Novo Nordisk A/S (NYSE:NVO) Shares Gap Up – Here’s Why

Novo Nordisk A/S (NYSE:NVO) shares gapped up before the market opened on Wednesday . The stock had previously closed at $87.50, but opened at $91.50. Novo Nordisk A/S shares last traded at $91.28, with a volume of 1,616,064 shares traded.

Analyst Ratings Changes

Several equities research analysts recently weighed in on the stock. BNP Paribas raised shares of Novo Nordisk A/S to a “strong-buy” rating in a research note on Monday, December 2nd. BMO Capital Markets reduced their price objective on Novo Nordisk A/S from $156.00 to $105.00 and set an “outperform” rating on the stock in a research note on Monday, December 23rd. Stifel Nicolaus cut Novo Nordisk A/S from a “buy” rating to a “hold” rating in a research note on Monday. UBS Group raised Novo Nordisk A/S from a “sell” rating to a “buy” rating in a research report on Wednesday, January 8th. Finally, Cantor Fitzgerald reissued an “overweight” rating and set a $160.00 price objective on shares of Novo Nordisk A/S in a research report on Wednesday, November 6th. Three investment analysts have rated the stock with a hold rating, six have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, Novo Nordisk A/S has an average rating of “Moderate Buy” and an average price target of $145.25.

Novo Nordisk A/S Price Performance

The company has a market capitalization of $406.15 billion, a PE ratio of 27.50, a P/E/G ratio of 0.90 and a beta of 0.45. The company has a current ratio of 0.74, a quick ratio of 0.55 and a debt-to-equity ratio of 0.62. The stock has a fifty day simple moving average of $84.84 and a 200-day simple moving average of $105.85.

Novo Nordisk A/S (NYSE:NVO) last announced its quarterly earnings results on Wednesday, February 5th. The company reported $0.91 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.88 by $0.03. Novo Nordisk A/S had a return on equity of 84.68% and a net margin of 34.81%. Equities analysts anticipate that Novo Nordisk A/S will post 3.84 earnings per share for the current year.

Novo Nordisk A/S Increases Dividend

The company also recently declared a semi-annual dividend, which will be paid on Tuesday, April 8th. Shareholders of record on Monday, March 31st will be given a dividend of $0.7874 per share. This is a positive change from Novo Nordisk A/S’s previous semi-annual dividend of $0.51. The ex-dividend date is Monday, March 31st. This represents a yield of 1.2%. Novo Nordisk A/S’s payout ratio is 47.72%.

Hedge Funds Weigh In On Novo Nordisk A/S

A number of hedge funds have recently modified their holdings of the business. Daiwa Securities Group Inc. purchased a new position in Novo Nordisk A/S during the 3rd quarter worth $28,000. Center for Financial Planning Inc. boosted its stake in shares of Novo Nordisk A/S by 72.4% during the fourth quarter. Center for Financial Planning Inc. now owns 293 shares of the company’s stock worth $25,000 after buying an additional 123 shares during the period. Strategic Investment Solutions Inc. IL raised its stake in Novo Nordisk A/S by 2,727.3% during the 4th quarter. Strategic Investment Solutions Inc. IL now owns 311 shares of the company’s stock valued at $27,000 after acquiring an additional 300 shares during the last quarter. Park Square Financial Group LLC acquired a new stake in Novo Nordisk A/S during the 4th quarter worth approximately $29,000. Finally, Capital Performance Advisors LLP purchased a new position in shares of Novo Nordisk A/S in the 3rd quarter valued at approximately $42,000. 11.54% of the stock is currently owned by hedge funds and other institutional investors.

Novo Nordisk A/S Company Profile

Novo Nordisk A/S, together with its subsidiaries, engages in the research and development, manufacture, and distribution of pharmaceutical products in Europe, the Middle East, Africa, Mainland China, Hong Kong, Taiwan, North America, and internationally. It operates in two segments, Diabetes and Obesity Care, and Rare Disease.