Novo Nordisk (NVO) is Trending On Reddit – Here’s Why

Novo Nordisk A/S (NYSE:NVO) has agelong been a favourite banal of Redditors, and its popularity precocious accrued connected the societal media level arsenic investors recommended it arsenic a non-AI play.

However, galore investors are present questioning the company’s fundamentals. Recently, the institution chopped its full-year guidance, citing lower-than-expected income of Wegovy and Ozempic.

Some investors constituent to the little P/E of the stock. However, a Redditor precocious countered this statement during a discussion:

“About valuation, the existent guardant P/E is 13, but that fig lone looks inexpensive due to the fact that net are astatine an unsustainably precocious borderline highest (50 % EBIT). If you normalize margins to adjacent 25-30 %, that guardant P/E doubles instantly.”

Vltava Fund stated the pursuing regarding Novo Nordisk A/S (NYSE:NVO) successful its third 4th 2025 capitalist letter:

“Novo Nordisk A/S (NYSE:NVO) astir apt needs nary agelong introduction. It is 1 of Europe’s largest companies and a planetary person successful the attraction of 2 large manner diseases – diabetes and obesity. The institution has grown historically done the improvement and accumulation of insulin and has held a ascendant stock of the planetary marketplace successful that radical of products for decades. In caller years, obesity attraction has go its cardinal maturation segment. Its best-known merchandise is Wegovy, which has proven to beryllium highly effectual successful value reduction. A smaller portion of the concern consists of drugs for uncommon diseases, peculiarly successful the areas of hemophilia and maturation hormone therapy. Novo Nordisk has highly integrated production, from molecule improvement to afloat automated filling lines for injection pens, and planetary organisation to much than 170 countries, with a absorption connected the United States, Europe, and a rapidly increasing stock successful Asia. Its biggest rival is Eli Lilly, and these 2 companies present efficaciously signifier a duopoly successful modern attraction of diabetes and obesity. Barriers to introduction into the manufacture are highly high, owed to agelong improvement times, regulation, and tremendous investments successful accumulation and distribution.