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Novo Nordisk (NVO) reported a 15% increase in sales and a 10% rise in operating profit for the first nine months of 2025, but narrowed its full-year guidance to 8-11% sales growth and 4-7% operating profit growth due to slower growth expectations for its GLP1 diabetes and obesity treatments. The company is implementing a transformation program, including a global workforce reduction of approximately 9,000 positions, to save 8 billion DKK annually by 2026. However, its gross margin declined to 81.0%, impacted by one-off restructuring costs and impairments. Novo Nordisk recently lost a $10 billion bidding war for Metsera Inc. to Pfizer, highlighting competitive pressures in the weight-loss drug market, where it faces challenges from Eli Lilly and emerging generics. To address market pressures, Novo Nordisk reduced the price of its obesity drug Wegovy in India by up to 33%, aiming to enhance competitiveness ahead of its patent expiration in 2026. The company is also in discussions with the White House regarding a potential pricing agreement for its obesity drugs, which could enable Medicare coverage and expand access. Analyst sentiment on Novo Nordisk's stock remains mixed, with ratings ranging from underperform to buy. Despite challenges, Novo Nordisk is taking strategic steps to adapt to market dynamics and maintain its position in the competitive pharmaceutical landscape.
Source content provided by Benzinga.
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About NVO

With roughly one-third of the global branded diabetes treatment market, Novo Nordisk is the leading provider of diabetes care products in the world. Based in Denmark, the company manufactures and markets a variety of human and modern insulins, ... Read more

Ways to trade options* on NVO

Bearish Option Strategy: Long Puts

Traders buy a single put option on a stock or ETF. This strategy can benefit from a price drop while risking more capital than a spread.

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