Postingan

$NVO Novo Nordisk had a recent -16% pullback after the largest 3 month buying volume in company history after a bullish er. The stock is now trading around its 2021 price and is down approximately 12% over the last 5 years, while $LLY is up 344%. This is the same general price area Novo traded at before the stock rallied more than 240%. Despite being widely viewed as the two dominant companies in the GLP-1 market, Eli Lilly is currently valued at approximately 5.5x Novo Nordisk's market capitalization. After updating my comparison across 9 of the world's largest pharmaceutical companies, I still can't believe how many key metrics Novo Nordisk ranks #1 in. If oral GLP-1 adoption continues accelerating globally, I believe the market may be significantly underestimating Novo's long-term earnings power. Novo Nordisk ranks #1 out of 9 in • #1 Highest ROIC 45.29% • #1 Highest Pretax Margin 47.52% • #1 Highest Net Margin 37.23% • #1 Lowest P/E 10.45x • #1 Lowest P/S 3.87x • #1 Lowest P/CF 12.84x • #1 Lowest EV/Revenue 4.50x • #1 Lowest EV/EBIT 9.89x • #1 Lowest EV/EBITDA 8.64x • #1 Highest CapEx $13.51B • #1 Upside to 52 Week High 44% • #1 Global GLP-1 Market Share • #1 Oral GLP-1 Launch Trajectory • #1 Weekly Oral GLP-1 Prescription Growth • #1 GLP-1 Prescription Scale • #1 GLP-1 Brand Mindshare • #1 Diabetes GLP-1 Franchise Novo Nordisk ranks #2 behind Eli Lilly in • #2 Highest Operating Margin 45.45% (LLY 47.30%) • #2 Highest ROA 24.14% (LLY 24.54%) • #2 Highest Revenue Growth 16.79% (LLY 47.44%) • #2 Lowest PEG 0.39 (LLY 0.31) Despite ranking #1 or #2 across nearly every metric I value most, Novo Nordisk trades at the cheapest valuation multiples among these 9 pharmaceutical companies. 5-Year Performance NVO -12% LLY +344% That performance gap is remarkable. Lilly has been one of the greatest pharmaceutical investments in history and deserves a premium. However, today's valuation gap between these two companies is one of the widest I've seen between businesses competing in the same long-term therapeutic market.