Novo Nordisk A/S (NVO) Stock Analysis

Novo Nordisk’s primary competitive advantage is its global leadership in diabetes and obesity care, underpinned by a dominant position in GLP-1 therapies. As of 2025, the company serves nearly two-thirds of all patients on GLP-1 treatments worldwide, with a 33.9% global diabetes market share—surpassing its 2025 goal. Its flagship products, Ozempic and Wegovy, generated over DKK 120 billion and DKK 58 billion in 2024 sales, respectively, outpacing rivals such as Eli Lilly’s Mounjaro and Zepbound in most international markets.

Novo Nordisk’s scale in biologics manufacturing is a significant barrier to entry. The company operates 16 production sites across six countries, with 99.7% quality compliance and annual output exceeding 5 billion doses. This scale supports both cost efficiency and supply reliability, which are critical in a market facing chronic shortages.

The company’s R&D engine is robust, with over $3 billion invested annually and a clinical success rate of 68%. Its intellectual property portfolio—over 1,300 active patents—secures exclusivity for key assets like semaglutide (patent protection through 2032).

Customer loyalty is reinforced by a strong brand, global reach (products in 170 countries), and patient support programs. However, pricing pressure, especially in the U.S., and the threat of biosimilars post-2032 remain material risks. Compared to Eli Lilly and Sanofi, Novo Nordisk’s focused portfolio and execution in obesity and diabetes provide a clear, though not unassailable, edge.