The Novo Nordisk A/S (CPH:NOVO B) Full-Year Results Are Out And Analysts Have Published New Forecasts

It's been a good week for Novo Nordisk A/S (CPH:NOVO B) shareholders, because the company has just released its latest yearly results, and the shares gained 5.2% to kr.635. It was a credible result overall, with revenues of kr.290b and statutory earnings per share of kr.22.63 both in line with analyst estimates, showing that Novo Nordisk is executing in line with expectations. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.

View our latest analysis for Novo Nordisk

Following the latest results, Novo Nordisk's 23 analysts are now forecasting revenues of kr.351.2b in 2025. This would be a substantial 21% improvement in revenue compared to the last 12 months. Per-share earnings are expected to expand 19% to kr.27.13. Yet prior to the latest earnings, the analysts had been anticipated revenues of kr.347.1b and earnings per share (EPS) of kr.27.57 in 2025. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.

The analysts reconfirmed their price target of kr.828, showing that the business is executing well and in line with expectations. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values Novo Nordisk at kr.1,150 per share, while the most bearish prices it at kr.515. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

Of course, another way to look at these forecasts is to place them into context against the industry itself. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 21% growth on an annualised basis. That is in line with its 19% annual growth over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 6.4% per year. So although Novo Nordisk is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry.

The Bottom Line

The most obvious conclusion is that there's been no major change in the business' prospects in recent times, with the analysts holding their earnings forecasts steady, in line with previous estimates. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at kr.828, with the latest estimates not enough to have an impact on their price targets.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have estimates - from multiple Novo Nordisk analysts - going out to 2027, and you can see them free on our platform here.

We don't want to rain on the parade too much, but we did also find 4 warning signs for Novo Nordisk (1 can't be ignored!) that you need to be mindful of.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.