Novo Nordisk (NYSE:NVO)’s stellar growth is unlikely to slow this year, according to Stifel, which was updating its views after a call with the Danish pharma’s management.
“Our main takeaway is that we should not expect any inflexion in the strong growth momentum that it had year-to-date,” said the broker.
Shares in the group have surged on the back of trial results of weight loss and diabetic drug Wegovy which showed a significant reduction in heart disease as well as fat.
Novo Nordisk (NYSE:NVO) delivered 30% and 32% growth in sales and operating income respectively in the first half and full year and, if anything, this might be a worst-case scenario.
A third guidance upgrade cannot be ruled out with the top-end of the range becoming the new mid-point (33% and 37% respectively), said Stifel.
“Nonetheless, the upcoming quarter is more likely to focus on the details of the SELECT trial at AHA and the new readouts from the second trial in HF-pEF and phase 1 with oral amycretin co-agonist in obesity.”
Buy with a DK745 (£87) target is the broker’s view.