Novo Nordisk Shares Face Headwinds Following Strategic Acquisition

Despite successfully concluding its purchase of Akero Therapeutics, Novo Nordisk's stock is encountering significant pressure. The market's reaction has been subdued, with analyst downgrades and activity from a major shareholder contributing to a decline that has pushed the share price toward annual lows.

The Danish pharmaceutical giant has finalized its acquisition of Akero Therapeutics for approximately $4.7 billion. This deal, executed at a cash price of $54 per share plus contingent value rights (CVRs), grants Novo Nordisk access to the drug candidate Efruxifermin. The transaction is a clear component of management's strategy to diversify beyond its blockbuster diabetes and obesity divisions and establish a position in the expanding market for metabolic dysfunction-associated steatohepatitis (MASH).

However, this strategic foresight is currently being clouded by growing market skepticism. Argus Research recently reduced its rating on the stock from "Buy" to "Hold," citing concerns over valuation and mounting competitive pressures.

Goldman Sachs has also adopted a more cautious stance, lowering its price target to 352 Danish kroner. Market experts express apprehension that the explosive growth witnessed in recent years may begin to normalize. This shift in perception is currently outweighing the positive developments related to the Akero integration.

Should investors sell immediately? Or is it worth buying Novo Nordisk?

Shareholder Activity Adds to Uncertainty

Further unease stems from a move by major shareholder Novo Holdings. Reports indicate the holding company is divesting roughly 9.4 million shares in the German biotech firm Evotec—a stake representing about 5% of the company's share capital.

While this sale does not directly impact the operational entity Novo Nordisk A/S, market participants are interpreting it as a signal of changing capital allocation priorities at the parent level. Such transactions often generate market "noise" that can indirectly weigh on sentiment for the publicly traded subsidiary.

Technical Picture Reflects Pressure

This combination of factors is leaving a clear mark on the stock's technical chart. The equity is struggling to find a floor, closing at 39.98 euros, just marginally above its 52-week low. The share's position nearly 25% below its 200-day moving average underscores the pronounced downtrend that has persisted since its peak.

The short-term trajectory will likely hinge on whether the psychologically significant support level around 300 DKK (approximately 40 euros) can be maintained in the face of the current mixed news flow.