Novo Nordisk shares drop 6% as company issues cautious 2026 outlook and faces intensifying competition
Novo Nordisk shares fell approximately 6% on Tuesday following the release of a 2026 outlook that disappointed investors. The Danish drugmaker reported that adjusted sales are expected to fall between 6% and flat at constant exchange rates, while adjusted operating profit is projected to be down 6% to flat. These figures represent a narrower range than previous estimates, signaling limited near-term momentum for the company's core GLP-1 franchise. The company cited intensifying competition from rival Eli Lilly, reduced obesity medicine coverage in Medicaid, and lower realized prices in the U.S. as primary factors for the outlook. The administration announced a landmark "most favored nation" drug pricing agreement with Novo Nordisk for its GLP-1s, which contributed to lower prices. Despite the cautious outlook, Novo Nordisk reported second-quarter adjusted operating profit that topped analyst expectations, bolstered by the demand for its new Wegovy weight loss pill. The pill has already surpassed 5 million prescriptions since its launch in January. The company continues to develop next-generation therapies like CagriSema to maintain its market position.