Novo Nordisk Stocks

Novo Nordisk A/S is a Danish multinational pharmaceutical giant headquartered in Bagsværd. With production facilities spanning nine countries and a presence in five more, the company is a global leader in the pharmaceutical industry. Novo Holdings A/S, holding approximately 28% of the shares and a majority (77%) of the voting shares, maintains control over Novo Nordisk.

The company's core business revolves around the development and marketing of pharmaceutical products and services, specializing in diabetes care medications and devices. Its flagship product is semaglutide, marketed under the brand names Ozempic and Rybelsus for diabetes treatment and Wegovy for obesity management.

Beyond diabetes care, Novo Nordisk is actively involved in hemostasis management, growth hormone therapy, and hormone replacement therapy. Their extensive portfolio includes various well-known drugs like Levemir, Tresiba, NovoLog, Novolin R, NovoSeven, NovoEight, and Victoza.

Employing over 48,000 individuals worldwide, Novo Nordisk distributes its products to 168 countries. Founded in 1989 through the merger of two Danish companies with roots dating back to the 1920s, the company's logo features the Apis bull, a sacred animal in ancient Egypt, represented by the hieroglyph 𓃒. As a full member of the European Federation of Pharmaceutical Industries and Associations (EFPIA), Novo Nordisk actively participates in industry initiatives.

Recognized for its commitment to excellence, the company was ranked 25th among Fortune's 100 Best Companies to Work For in 2010, followed by rankings of 72nd in 2014 and 73rd in 2017. In January 2012, Novo Nordisk was named the most sustainable company in the world by Corporate Knights magazine, while its spin-off company Novozymes secured fourth place. The company is also a leader in the FTSE4Good Index, the only European company in the top ten.

As the largest pharmaceutical company in Denmark, Novo Nordisk has achieved remarkable success. In 2023, its market capitalization surpassed the GDP of the Danish economy, solidifying its position as the most valuable company in Europe.

1923: Nordisk Insulinlaboratorium began commercially producing insulin.

1982-1994: Novo Nordisk expanded its operations to the United States.

1986: Novo Industri A/S acquired the Ferrosan Group, which was subsequently renamed Novo Nordisk Pharmatech A/S.

1989: Novo Industri A/S (Novo Terapeutisk Laboratorium) and Nordisk Gentofte A/S (Nordisk Insulinlaboratorium) merged to form Novo Nordisk A/S. This merger established Novo Nordisk as the world's leading insulin producer, with its headquarters in Bagsværd, Copenhagen.

1991: Novo Nordisk Engineering (now NNE A/S) was spun off as an independent company. Previously serving as in-house consultants for Novo Nordisk, NNE A/S transitioned to offering standardized engineering services to pharmaceutical manufacturing companies.

1994: Novo Nordisk's existing information technology departments were separated to form NNIT A/S. This company became a wholly owned aktieselskab in 2004 and was subsequently listed on the Nasdaq Nordic in March 2015.

2000–2018

Novo's enzymes business, Novozymes A/S, was spun off in 2000. Novo acquired Xellia for $700 million in 2013.

The same year, Novo Nordisk USA moved into new headquarters offices in Plainsboro Township, New Jersey, consolidating several facilities that the company had previously had in Plainsboro. This was achieved by extensively renovating abandoned premises.

In 2015, the company announced a collaboration with Ablynx, utilizing their nanobody technology to develop at least one new drug candidate.

In January 2018, Reuters reported that Novo had offered to acquire Ablynx for $3.1 billion, having made an unreported offer in mid-December. However, the Ablynx board rejected this offer, citing an undervaluation of the business. Ultimately, Novo lost out to Sanofi who bid $4.8 billion. Later that year, the company announced it would acquire Ziylo for around $800 million.

2020–present

In March 2020, Novo volunteers began testing samples for SARS-CoV-2 using RT-qPCR equipment to increase available testing capacity during the ongoing coronavirus pandemic. In June, the business announced it would acquire AstraZeneca's spin-off Corvidia Therapeutics for an initial sum of $725 million (with a performance-related maximum of $2.1 billion), bolstering its presence in cardiovascular diseases. In November, the company announced it would acquire Emisphere Technologies for $1.8 billion, gaining control of a pill-based treatment for diabetes. In December, Novo announced it would acquire Emisphere Technologies for $1.35 billion.

In November 2021, Novo announced it would acquire Dicerna Pharmaceuticals and its RNAi therapeutics, for $3.3 billion ($38.25 per share).

In September 2022, Novo agreed to acquire Forma Therapeutics for $1.1 billion, expanding its sickle cell disease and rare blood disorders portfolio.

By 2022, the popularity of Novo's Wegovy and Ozempic for weight loss significantly increased the growth of Denmark's entire economy. Two-thirds of Denmark's overall economic growth in 2022 was attributed to the pharmaceutical industry.

The company's profits increased by 45% year-over-year in the first half of 2023. Most of the growth stemmed from its weight loss drugs, Wegovy and Ozempic, which accounted for 55% of the company's 2023 revenue.

In August 2023, Novo agreed to acquire Montreal-headquartered pharmaceutical company, Inversago Pharma for $1 billion and Embark Biotech for up to $500 million. In October 2023, the company announced it would acquire ocedurenone—an experimental drug for uncontrolled hypertension with potential benefits in treating cardiovascular and kidney diseases—from KBP Biosciences for $1.3 billion.

In November 2023, Novo Nordisk announced an investment of €2.1 billion in a French production facility to increase production capacity and manufacturing of its popular anti-obesity medication.

In February 2024, parent company Novo Holdings A/S agreed to acquire Catalent for $16.5 billion. Upon completion, Novo Nordisk said it would acquire three manufacturing facilities from its parent for $11 billion to scale up production to meet the demand of Wegovy and Ozempic.

In March 2024, Novo Nordisk reached a $604 billion market cap, becoming the 12th most valuable company in the world. The company's stock reached a record high after early trial data showed positive results for its new experimental weight loss pill Amycretin. The company also announced it would acquire Cardior Pharmaceuticals and its cardiovascular disease portfolio for up to $1.1 billion. In May, the company announced it would acquire the Austrian fluid management service business, Single Use Support.

In June 2024, the company announced plans to build a new production plant in Clayton, North Carolina, at $4.1 billion. This will be the company's fourth in the state of North Carolina and will be used for the production of semaglutide products Ozempic and Wegovy.

Novo Nordisk actively participates in government-funded research collaborations with various industrial and governmental partners. One notable example of a non-clinical safety assessment is the InnoMed PredTox project. The company further expands its research activities through joint projects within the framework of the Innovative Medicines Initiative, a collaboration between the European Federation of Pharmaceutical Industries and Associations and the European Commission.

Novo Nordisk's largest manufacturing plant is located in Kalundborg, Denmark. The company established the World Diabetes Foundation, dedicated to improving the lives of individuals with diabetes in developing countries. Novo Nordisk also supported a United Nations resolution to combat diabetes, highlighting its commitment to this cause.

Diabetic treatments constitute 85% of Novo Nordisk's business. The company collaborates with healthcare professionals and patients to develop self-management solutions for diabetes. The DAWN (Diabetes Attitudes, Wishes, and Needs) study, conducted in 2001, was a global survey exploring the psychosocial aspects of living with diabetes. It involved over 5,000 people with diabetes and almost 4,000 healthcare providers. This study aimed to identify barriers to optimal health and quality of life. A follow-up study conducted in 2012 included more than 15,000 individuals living with or caring for people with diabetes. In response to findings in the United Kingdom, a National Action Plan (NAP) was developed to promote person-centered care. The NAP emphasizes a holistic approach to diabetic treatment for patients and their families.

The i3-diabetes program is a collaboration between Novo Nordisk and King's Health Partners, one of England's six Academic Health Sciences Centres. This five-year program aims to deliver personalized care leading to improved outcomes for individuals living with diabetes and more efficient and effective care for people with diabetes.

Novo Nordisk has sponsored the International Diabetes Federation's Unite for Diabetes campaign. In March 2014, the company launched the "Cities Changing Diabetes" partnership program, focusing on combating urban diabetes. This initiative includes University College London (UCL), Steno Diabetes Center, and various local partners, such as healthcare professionals, city authorities, urban planners, businesses, academics, and community leaders.

In November 2014, a newspaper article suggested that a medical breakthrough at Harvard University, involving the creation of insulin-producing cells from embryonic stem cells, could potentially impact Novo Nordisk's business. Dr. Alan Moses, Novo Nordisk's Chief Medical Officer, acknowledged the complexity of diabetes biology while emphasizing the company's mission to alleviate and cure diabetes. He stated that if this new medical advancement resulted in the dissolution of Novo Nordisk, "that'd be fine."

In September 2023, Novo Nordisk and UNICEF announced a multi-year partnership to address childhood overweight and obesity.

Novo Nordisk has been researching pulmonary delivery systems for diabetic medications and has conducted early-stage research into autoimmune and chronic inflammatory diseases. The company utilized technologies such as translational immunology and monoclonal antibodies. In September 2014, Novo Nordisk announced the discontinuation of all research in inflammatory disorders, including research and development on anti-IL-20 for rheumatoid arthritis treatment.

In September 2018, the company announced plans to lay off 400 administrative staff, laboratory technicians, and scientists in Denmark and China to focus research and development efforts on "transformational biological and technological innovation."

Novo Nordisk has faced several controversies over the years. In 2010, the company breached the ABPI code of conduct by failing to provide information about Victoza's side effects and promoting it before market authorization. In 2013, Novo Nordisk paid back 3.6 billion kr. to the Danish tax authorities due to transfer mispricing. The same year, scientists debated the potential increased risk of pancreatic side effects associated with incretin medications, the class to which Victoza belongs. While concerns were raised, available data did not confirm them. In October 2013, batches of NovoMix 30 FlexPen and Penfill insulin were recalled in certain European countries due to discrepancies in insulin strength.

In 2017, Novo Nordisk settled with the U.S. Department of Justice for $58.7 million over the failure to disclose cancer risks associated with Victoza to doctors. In March 2023, Novo Nordisk was suspended from the ABPI for two years due to misleading marketing practices involving bribing healthcare professionals. This was only the eighth time in 40 years that the ABPI sanctioned a member organization. Following this, the Royal College of General Practitioners and the Royal College of Physicians ended their corporate partnerships with Novo Nordisk. The Novo Nordisk UK General Manager resigned as President of the ABPI before the suspension.

In February 2024, a multidistrict litigation was ordered, consolidating 55 lawsuits against Novo Nordisk and Eli Lilly regarding gastroparesis, ileus, and other injuries potentially caused by GLP-1 RAS medications, such as Ozempic. By August 2024, there were 235 active Ozempic lawsuits.

In 2024, Novo Nordisk's drug pricing in the U.S. came under scrutiny, with Senator Bernie Sanders and the Senate HELP Committee raising concerns about the high prices of Ozempic and Wegovy compared to prices in other countries. In July 2024, President Biden joined Sanders in criticizing Novo Nordisk and Eli Lilly for their drug pricing practices.

Novo Nordisk has sponsored athletes with diabetes, such as Charlie Kimball in auto racing and Team Novo Nordisk in road cycling. Since the 2010s, Anthony Anderson has been a spokesperson for Novo Nordisk, appearing in television advertisements in the U.S.