Berenberg downgraded Novo Nordisk A/S to hold from buy. The firm also trimmed its Copenhagen price target.
Eli Lilly is increasing its dominance in oral and injectable obesity markets. Berenberg expects this competition to limit Novo Nordisk’s valuation growth.
Demand for Eli Lilly’s Zepbound is accelerating significantly. Novo Nordisk’s Wegovy has seen much lower growth.
Berenberg lowered sales forecasts for CagriSema, an investigational treatment for type 2 diabetes and weight management. The firm anticipates a slow launch for the drug. Analysts stated that easy gains from the previous buy thesis are already realized.