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Novo Nordisk (NVO) Outperforms Broader Market: What You Need to Know
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Novo Nordisk (NVO - Free Report) closed the most recent trading day at $136.66, moving +1.06% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 0.75%. Elsewhere, the Dow saw an upswing of 0.58%, while the tech-heavy Nasdaq appreciated by 1%.
Heading into today, shares of the drugmaker had gained 0.6% over the past month, lagging the Medical sector's gain of 3.55% and the S&P 500's gain of 4.03% in that time.
The investment community will be paying close attention to the earnings performance of Novo Nordisk in its upcoming release. The company is slated to reveal its earnings on November 6, 2024. The company is predicted to post an EPS of $0.91, indicating a 24.66% growth compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $10.79 billion, reflecting a 25.8% rise from the equivalent quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.11 per share and a revenue of $42.61 billion, indicating changes of +15.19% and +26.4%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Novo Nordisk. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. As of now, Novo Nordisk holds a Zacks Rank of #3 (Hold).
From a valuation perspective, Novo Nordisk is currently exchanging hands at a Forward P/E ratio of 43.54. For comparison, its industry has an average Forward P/E of 15.91, which means Novo Nordisk is trading at a premium to the group.
It's also important to note that NVO currently trades at a PEG ratio of 1.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 1.66 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 24, putting it in the top 10% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow NVO in the coming trading sessions, be sure to utilize Zacks.com.
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Novo Nordisk (NVO) Outperforms Broader Market: What You Need to Know
Novo Nordisk (NVO - Free Report) closed the most recent trading day at $136.66, moving +1.06% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 0.75%. Elsewhere, the Dow saw an upswing of 0.58%, while the tech-heavy Nasdaq appreciated by 1%.
Heading into today, shares of the drugmaker had gained 0.6% over the past month, lagging the Medical sector's gain of 3.55% and the S&P 500's gain of 4.03% in that time.
The investment community will be paying close attention to the earnings performance of Novo Nordisk in its upcoming release. The company is slated to reveal its earnings on November 6, 2024. The company is predicted to post an EPS of $0.91, indicating a 24.66% growth compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $10.79 billion, reflecting a 25.8% rise from the equivalent quarter last year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.11 per share and a revenue of $42.61 billion, indicating changes of +15.19% and +26.4%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Novo Nordisk. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. As of now, Novo Nordisk holds a Zacks Rank of #3 (Hold).
From a valuation perspective, Novo Nordisk is currently exchanging hands at a Forward P/E ratio of 43.54. For comparison, its industry has an average Forward P/E of 15.91, which means Novo Nordisk is trading at a premium to the group.
It's also important to note that NVO currently trades at a PEG ratio of 1.48. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 1.66 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 24, putting it in the top 10% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow NVO in the coming trading sessions, be sure to utilize Zacks.com.