The Danish pharmaceutical giant has presented its investors with a formidable set of challenges for 2025, with recent developments suggesting the potential for continued pressure on its stock. A confluence of analyst downgrades, intensified competition, and a high-profile clinical setback is creating a complex landscape for the company. The critical question now is whether Novo Nordisk is navigating toward a period of sustained turbulence.
Strategic Acquisition Amidst Sector Pressures
Even as it confronts significant hurdles, Novo Nordisk continues to execute its expansion strategy. On December 1, 2025, the company finalized the acquisition of Zaltenibart (OMS906) from Omeros Corporation. The transaction is structured as follows:
- Upfront Payment: $240 million
- Potential Milestone Payments: Up to $2.1 billion
- Additional Terms: Future royalty payments on sales
- Therapeutic Focus: Rare blood and kidney disorders
This move to secure the MASP-3 inhibitor is a clear strategic play to diversify the company’s revenue streams and reduce its heavy reliance on the diabetes and obesity markets—a prudent objective given the escalating competition in the GLP-1 segment.
Analyst Sentiment Sours with Jefferies Downgrade
Market confidence received a blow when the investment bank Jefferies resumed coverage of Novo Nordisk equity on December 1, 2025. The firm issued an “Underperform” rating and reduced its price target from 290 to 270 Danish Kroner. Based on the current trading level of approximately 315 Kroner, this implies a potential further decline of over 14%.
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In contrast, Bank of America maintained a more measured stance. While confirming a “Neutral” rating, it raised its price target from 315 to 340 Kroner. However, the accompanying analysis contained cautionary notes, highlighting concerns over the limited competitive positioning of the combination therapy CagriSema, slated for a late 2026 launch. Analysts warned of a substantial risk that market share could be ceded to rival Eli Lilly.
Competitive and Clinical Setbacks Intensify Scrutiny
The competitive threat from Eli Lilly materialized decisively on the same day. The U.S. firm implemented noticeable price reductions for single-dose vials of its weight-loss drug Zepbound (Tirzepatid) in the American market. This aggressive pricing strategy aims to improve patient access while simultaneously applying significant commercial pressure to Novo Nordisk’s blockbuster therapy, Wegovy.
This development coincides with a major clinical disappointment for Novo Nordisk. In late November, the company disclosed that its oral semaglutid studies, EVOKE and EVOKE+, had failed to meet their primary endpoints. The Phase 3 trials, which involved over 3,800 patients, did not demonstrate a slowing of Alzheimer’s disease progression. The investment community is awaiting the detailed data, set for presentation at a conference on December 3, 2025, with considerable apprehension.
Outlook: A Crucial Inflection Point
Novo Nordisk shares are at a pivotal juncture. Although the broader analyst consensus remains somewhat optimistic, with an average price target hovering near 400 Kroner, skepticism among institutional investors is growing. The “Underperform” rating from Jefferies may signal the beginning of a broader market reassessment. This sentiment could solidify if the upcoming Alzheimer’s data presentation on December 3 reveals further weaknesses, setting the stage for potentially volatile trading sessions ahead.
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