Citi Raises Novo Nordisk Target on Strong GLP-1 Pill Launch

Citi has raised its price target on Novo Nordisk (NYSE:NVO) to DKK330 ahead of the company's second-quarter results due on August 5. The revision is driven by the strong launch of Wegovy, the Danish drugmaker's GLP-1 pill for obesity.

Recommendation Change

While the previous recommendation was not explicitly stated, the upward revision in price target indicates a positive outlook. The new target is DKK330.

Analyst Rationale

Citi's analyst believes the Wegovy pill launch has exceeded expectations, prompting the bank to raise its 2026 sales and operating income estimates by 4% to 5%. Earnings per share (EPS) estimates were also increased accordingly.

Context

This adjustment comes amid positive momentum for Novo Nordisk shares, fueled by rising demand for GLP-1 drugs for obesity and diabetes. No similar changes from other analysts have been reported yet.

Conclusion

The price target increase reflects the analyst's confidence in Novo Nordisk's growth prospects driven by new product launches. However, investors await the Q2 results for further clarity.