Shares of Novo Nordisk (NVO) were down nearly 10% in pre-market hours on Monday after the pharmaceutical company said its highly anticipated Alzheimer’s drug trial missed its main goal. Novo’s shares in Denmark hit their lowest point since July 2021.
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For context, Alzheimer’s is the most common form of dementia and remains hard to treat. It is projected to impact a growing number of people globally as populations get older.
Alzheimer’s Drug Setback
According to Novo’s statement, its EVOKE Phase 3 trials failed to show a meaningful reduction in Alzheimer’s disease progression, with semaglutide performing no better than a placebo in slowing the condition.
For context, semaglutide is the main ingredient in Novo Nordisk’s diabetes and weight-loss drugs Ozempic and Wegovy. The latest trial tested whether semaglutide could slow the progression of Alzheimer’s disease.
The company further stated that while the treatment with semaglutide resulted in improvement of Alzheimer’s disease-related biomarkers in two separate trials, this did not translate into a delay of disease progression. The trial’s goal had been to slow patients’ cognitive decline by at least 20%.
Novo Nordisk plans to present the full trial results at the Clinical Trials on Alzheimer’s Disease conference on December 3, 2025.
Novo Nordisk’s Woes Continue
This setback adds to a challenging year for the company, with shares down about 45% in 2025 amid rising competition in the weight-loss market from rivals like Eli Lilly (LLY). The weight-loss segment remains Novo Nordisk’s main source of revenue.
Earlier this month, Novo Nordisk reported its third-quarter fiscal 2025 results, with both earnings and sales falling short of expectations. The company also lowered its full-year guidance. The company now expects sales growth of 8% to 11% at constant exchange rates (CER), down from its previous forecast of 8% to 14%.
Is Novo Nordisk a Good Stock to Buy?
According to TipRanks, NVO stock has received a Moderate Buy consensus rating based on five Buys, two Holds, and one Sell assigned over the last three months. The Novo Nordisk share price forecast stands at $59.47, which is around 25% above the current trading level.
