Deutsche Bank downgraded Novo Nordisk to sell from hold. The bank lowered its price target for the stock to DKK 265. Analysts cited concerns regarding a significant upcoming patent cliff and the company's ability to return to growth by 2027.
Deutsche Bank noted that potential sales boosts from Medicare coverage for Wegovy appear limited. Novo Nordisk shares fell more than 3% in Copenhagen trading following the announcement.
China's drug regulator accepted the company’s marketing application for an oral tablet version of Wegovy on the same day. This application targets the world’s second-largest pharmaceutical market. The regulatory progress failed to offset the negative market reaction to the analyst downgrade.