Novo Nordisk (NVO) Stock Analysis

Performance

Cumulative Growth

Trailing Returns

Performance at a Glance

Risk

Drawdown

Risk at a Glance

Company Profile

Novo Nordisk (NVO) trades as an ADR rather than ordinary local shares — read it with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Valuation

Novo Nordisk (NVO) trades at P/E ratio of 10.30, in the cheaper earnings-multiple quartile for its industry. Investors are paying less for each dollar of TTM earnings than they usually pay for comparable businesses.

Novo Nordisk (NVO) trades at 0.59 on P/S ratio, in the lower sales-valuation quartile for its industry. That points to a cheaper revenue stream than most peers, with margin quality still doing the heavy lifting.

Novo Nordisk (NVO) trades at 6.22 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.

Valuation at a Glance

Profitability

Novo Nordisk (NVO) posts ROE of 71.40%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

Novo Nordisk (NVO) keeps 37.21% of revenue as net profit on net margin, above the industry benchmark range. That is unusually strong bottom-line conversion, though tax effects, asset sales, or other one-off gains should be checked before treating it as durable.

Novo Nordisk (NVO) turns 61.57% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.

Profitability at a Glance

Financial Strength

Novo Nordisk (NVO) has current ratio of 0.79, in the tighter-liquidity quartile for its industry. The short-term cushion is thinner than most peers carry, even if the absolute comfort level still depends on the business model.

Novo Nordisk (NVO) has debt-to-equity ratio of 0.72, in the higher-leverage quartile for its industry. The heavier reliance on borrowing can make earnings, rates, or refinancing conditions matter more.

Financial Strength at a Glance

Dividends

Novo Nordisk (NVO) has dividend yield of 4.11%, above the entire industry range. That headline income is large, but yields this far above peers often come from a falling share price or an at-risk payout, so dividend safety matters more than the percentage itself.

Novo Nordisk (NVO) has payout ratio of 42.59%, above the peer distribution for its industry. The dividend consumes more reported earnings than peers normally do, leaving unusually thin earnings cover.

Dividends at a Glance