1 Reason I'm Never Selling Novo Nordisk Stock

By Prosper Junior Bakiny – Mar 19, 2026 at 7:00AM ESTKey PointsNovo Nordisk has been a leader in its core market for decades.This grants the pharmaceutical giant several advantages. With the weight-loss market still expanding and Novo Nordisk working on new products, the stock can bounce back.Over the past two years, investors have sold off Novo Nordisk (NVO 1.04%) stock as it has faced a number of challenges. It has been losing ground in the GLP-1 market, which accounts for most of its revenue. Novo Nordisk's 2026 guidance implies that its revenue will decline this year. Despite the headwinds, there are many reasons to remain bullish on the company. Here's one reason why, as a shareholder, I intend to stay put. Image source: Getty Images. Experience matters Novo Nordisk has built a reputation over the past 100 years as a leader in the diabetes drug market. The company has made many breakthroughs and developed several generations of important drugs over this long period. This deep, long-standing expertise grants Novo Nordisk several advantages. First, massive internal data on clinical trial successes and failures can help steer its research in the right direction. It's not that surprising that it quickly established itself as a leader in the rising market for obesity drugs, considering obesity is classified as a chronic, metabolic disorder strongly linked to diabetes, a disease that belongs in the same category. It's also not surprising that the one company beating Novo Nordisk in the weight-loss market right now, Eli Lilly (LLY 0.06%), also has a long and successful history in developing diabetes medicines. Novo Nordisk's clinical experience should eventually allow it to launch newer, better products. ExpandNYSE: NVONovo NordiskToday's Change(-1.04%) $-0.39Current Price$37.06Key Data PointsMarket Cap$126BDay's Range$36.35 - $37.2452wk Range$35.85 - $81.44Volume906KAvg Vol25MGross Margin80.90%Dividend Yield4.61% Second, Novo Nordisk has the manufacturing infrastructure and know-how to produce therapies in its core therapeutic area at scale. Making GLP-1 drugs requires different manufacturing demands than those for many other types of medicines. Novo Nordisk's long-standing expertise in its niche means it can keep up with these manufacturing requirements and better meet the rising demand for GLP-1 products than most of its peers in the pharmaceutical industry. Third, the company's brand name is widely recognized in its core field of expertise. Novo Nordisk inspires trust among physicians and patients, a factor that can help speed up the commercial adoption of its newer medicines. Thanks to these advantages, Novo Nordisk is well-positioned to bounce back. It's a good time to buy Novo Nordisk has several exciting pipeline candidates in phase 2 and phase 3 studies. The company should make significant clinical progress in the next few years. Meanwhile, revenue growth should also bounce back next year, as newer medicines -- such as CagriSema, which is currently under review -- hit the market and label expansions start to take effect. Lastly, Novo Nordisk is trading at just 10.4x forward earnings, which makes it dirt cheap by the standards of the healthcare sector, whose average forward price-to-earnings ratio is currently 17.8. Novo Nordisk's shares look attractive right now, and the company's expertise in its core area makes it worth holding onto for a long time. Read NextMar 17, 2026 •By David Jagielski, CPAThis Promising GLP-1 Drug Could Give Novo Nordisk Investors Renewed Hope for the StockMar 16, 2026 •By David Jagielski, CPAWhy the Novo Nordisk and Hims & Hers Deal Is a Win for Both StocksMar 12, 2026 •By Prosper Junior BakinyDoes This Deal Make Novo Nordisk Stock a Buy?Mar 9, 2026 •By David Jagielski, CPANovo Nordisk Is Slashing Prices for Ozempic and Wegovy. Here's Why That Might End Up Helping the StockMar 9, 2026 •By Travis HoiumHims & Hers Stock Pops 40%: Everything You Need to KnowMar 8, 2026 •By Prosper Junior BakinyBetter Weight Loss Stock: Novo Nordisk Vs. AmgenAbout the AuthorProsper Junior Bakiny is a contributing Motley Fool healthcare analyst covering biotechnology, pharmaceuticals, and healthcare stocks.

Before The Motley Fool, Prosper wrote about investing topics ranging from stock market news to private equity for various companies. He holds a master’s degree in corporate finance from the University of Maryland Global Campus.TMFPBakinyStocks MentionedNovo NordiskNYSE: NVO$37.06(-1.04%)-$0.39Eli LillyNYSE: LLY$916.93(-0.12%)-$1.12*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.