Novo Nordisk Stock: Tough Times Ahead or a Golden Buying Opportunity in 2025?
- Why Is Novo Nordisk’s Stock Crashing in 2025?
- Alzheimer’s Disaster: A $Billion Dream Gone Up in Smoke
- U.S. Price Wars and a Shake-Up at the Top
- FAQ: Your Burning Questions, Answered
Novo Nordisk, the Danish pharmaceutical giant, is facing a storm of challenges in 2025—plummeting stock prices, failed Alzheimer’s trials, and pricing pressures in the U.S. market. Yet, Goldman Sachs still says "buy." Is this a classic case of "buy the dip," or is the once-high-flying stock headed for a permanent revaluation? Let’s dive into the chaos.
Why Is Novo Nordisk’s Stock Crashing in 2025?
Novo Nordisk’s shares have nosedived by nearly 60% since their December 2024 peak, a freefall that’s left even seasoned investors stunned. The company missed Q3 revenue expectations ($11.79B vs. $11.98B projected), despite beating earnings per share ($1.02 vs. $0.77). The golden growth narrative around weight-loss drugs like Wegovy and Ozempic is fading fast. Adding salt to the wound, Goldman Sachs slashed its price target from $60 to $54—yet bizarrely kept its "Buy" rating. Are they seeing something the market isn’t? Or is this just hopium?
Alzheimer’s Disaster: A $Billion Dream Gone Up in Smoke
The EVOKE trials were supposed to be Novo’s next big win. Instead, they turned into a nightmare. After two years and 3,800 patients, semaglutid (the star ingredient in Ozempic) showedimprovement in memory or daily function for Alzheimer’s patients. Barclays shrugged it off (maintaining a neutral 375 DKK target), but Handelsbanken wasn’t as kind—downgrading the stock to "Sell" with a brutal 285 DKK target. Ouch.
U.S. Price Wars and a Shake-Up at the Top
Thanks to Medicare negotiations under the TRUMP administration, Wegovy’s monthly cost for U.S. patients got slashed from $1,000+ to just $199. Margins? Obliterated. Meanwhile, Lars Rebien Sørensen took over as Chairman with a 93% approval vote—a clear signal that the Novo Nordisk Foundation wants a strategic overhaul. The lone bright spot? A pending FDA decision on a higher-dose Wegovy (7.2 mg), which could help fend off Eli Lilly’s rival drugs. But will it be enough?
FAQ: Your Burning Questions, Answered
Should I buy Novo Nordisk stock now?
Goldman Sachs says yes, but Handelsbanken says flee. The truth? It depends on your risk appetite. The stock’s dirt-cheap compared to its 2024 highs, but the growth engine’s sputtering.
What’s next for Ozempic and Wegovy?
With U.S. pricing capped and competition heating up, Novo’s betting on that 7.2 mg dose approval. No guarantees, though.
Is Novo’s Alzheimer’s research dead?
For now, yes. The EVOKE failure was a knockout punch.
