International week forward: Is Novo Nordisk previous ‘peak uncertainty’?

At one level, it was Europe’s most precious firm.

Now, as Danish pharmaceutical group Novo Nordisk prepares to publish its third-quarter earnings on Wednesday, the image appears to be like very totally different.

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CNBC’s Charlotte Reed will journey to Copenhagen to talk with the corporate’s new CEO Mark Doustdar, a 30-year veteran of the corporate, who has been within the prime job since August.

It isn’t been a straightforward journey to date, with the group saying a pointy decline in gross sales, strain on revenue, a spherical of jobs cuts and continued competitors from U.S. rivals in terms of the blockbuster weight problems drug market.

Analysts’ views

Regardless of this, Berenberg is optimistic on the inventory, saying Novo has hit “peak uncertainty.”

“Novo’s superior development profile and best-in-class R&D returns warrants the next valuation premium to its friends,” the financial institution added.

Different analysts are much less forgiving.

Jefferies not too long ago lower the inventory’s score to underperform, citing aggressive strain within the U.S. and pricing issues. In the meantime, UBS analysts are involved Novo’s 8 billion Danish krone ($1.23 billion) one-off price associated to its restructuring has not been totally mirrored on the underside line, whereas including that buyers are persevering with to query the group’s lack of shopper expertise within the American market.

On Oct. 17, U.S. President Donald Trump advised a press convention that the worth of Novo’s blockbuster weight-loss drug Ozempic could be “a lot decrease” as a part of the administration’s negotiations over pricing with the corporate.

The share worth has been underneath strain because the begin of the yr.

Powerful yr for Novo Nordisk shares