NVO

Novo Nordisk A/S - NYSE

Summary

• Novo Nordisk, in partnership with Emisphere and Merrion, is developing an oral GLP-1 analogue pill for the treatment of Type-2 diabetes.
• The Phase I trial is complete, and top line results provide strong evidence of efficacy and safety; Phase II and related Phase I trials are underway.
• This progress firms Novo-Nordisk's standing as a long-term leader in diabetic care, and offers speculative investment opportunities in Emisphere and Merrion.

Summary

• Trial results meet clinically meaningful thresholds.
• Novo Nordisk may seek approval for weight loss drug.
• Drug can benefit people with or without diabetes.

Summary

• The obesity rate has been increasing among all age groups in the United States and abroad.
• Obesity carries with it a number of health problems including the development of type-2 diabetes.
• Novo Nordisk is the world's largest manufacturer of diabetes care products.
• Novo Nordisk is likely to grow as type-2 diabetes becomes more common.
• Unfortunately, the stock price has increased much more rapidly than the company's earnings so investors may want to wait for a dip before buying.

Summary

• NVO, which has so far dominated the diabetes market, is expected to face tough times as competition is growing fierce and strong and will unfavorably impact NVO share.
• Launch of four new basal insulin products over the next 2 years will constrain the growth prospects for NVO’s basal insulin product Levemir.
• NVO’s fastest growing product Victoza will eventually meet strong competitors that may offer considerable benefits over Victoza.
• Insulin market growth will slow down for three reasons.