Novo Nordisk shares drop as investor event disappoints

Novo Nordisk shares fell 7.0% in morning trading Monday after the company's Capital Markets Day in London failed to provide the strategic clarity investors wanted.

The Danish pharmaceutical company announced plans to launch more than five blockbuster drugs and generate more than $23 billion in new sales in coming years. The presentation did not include the concrete turnaround plans investors had hoped to hear from CEO Mike Doustdar.

Doustdar acknowledged that semaglutide, the active ingredient in Wegovy and Ozempic, will lose key patent exclusivity starting early next decade. The U.S. patent will expire in 2032. The U.S. market accounted for more than half of Novo Nordisk's overall sales last year.

"This loss of exclusivity is what's on most people's mind, and rightfully so," Doustdar said.

CagriSema delivered 23% weight loss compared to 25.5% for Eli Lilly's tirzepatide and failed to show non-inferiority in a Phase 3 trial. Semaglutide drives about 75% of Novo Nordisk's 2026 sales, which leaves the company exposed as key patents expire in major markets from 2030.

J.P. Morgan and Goldman Sachs both maintained Hold ratings on the stock today.

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