NVO Relative Valuation
NVO's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, NVO is overvalued; if below, it's undervalued.
Historical Valuation
Novo Nordisk A/S (NVO) is now in the Undervalued zone, suggesting that its current forward PE ratio of 0.00 is considered Undervalued compared with the five-year average of 27.72. The fair price of Novo Nordisk A/S (NVO) is between +Inf to +Inf according to relative valuation methord. Compared to the current price of 47.57 USD , Novo Nordisk A/S is Undervalued By Fair.
Relative Value
Fair Zone
+Inf-+Inf
Current Price：47.57
Fair
Undervalued
12.38
PE
1Y
3Y
5Y
Trailing
Forward
9.54
EV/EBITDA
Novo Nordisk A/S. (NVO) has a current EV/EBITDA of 9.54. The 5-year average EV/EBITDA is 19.85. The thresholds are as follows: Strongly Undervalued below 10.48, Undervalued between 10.48 and 15.17, Fairly Valued between 24.54 and 15.17, Overvalued between 24.54 and 29.22, and Strongly Overvalued above 29.22. The current Forward EV/EBITDA of 9.54 falls within the Strongly Undervalued range.
10.97
EV/EBIT
Novo Nordisk A/S. (NVO) has a current EV/EBIT of 10.97. The 5-year average EV/EBIT is 21.81. The thresholds are as follows: Strongly Undervalued below 11.72, Undervalued between 11.72 and 16.77, Fairly Valued between 26.86 and 16.77, Overvalued between 26.86 and 31.91, and Strongly Overvalued above 31.91. The current Forward EV/EBIT of 10.97 falls within the Strongly Undervalued range.
4.24
PS
Novo Nordisk A/S. (NVO) has a current PS of 4.24. The 5-year average PS is 9.51. The thresholds are as follows: Strongly Undervalued below 4.76, Undervalued between 4.76 and 7.14, Fairly Valued between 11.89 and 7.14, Overvalued between 11.89 and 14.27, and Strongly Overvalued above 14.27. The current Forward PS of 4.24 falls within the Strongly Undervalued range.
11.56
P/OCF
Novo Nordisk A/S. (NVO) has a current P/OCF of 11.56. The 5-year average P/OCF is 23.66. The thresholds are as follows: Strongly Undervalued below 12.60, Undervalued between 12.60 and 18.13, Fairly Valued between 29.19 and 18.13, Overvalued between 29.19 and 34.73, and Strongly Overvalued above 34.73. The current Forward P/OCF of 11.56 falls within the Strongly Undervalued range.
21.05
P/FCF
Novo Nordisk A/S. (NVO) has a current P/FCF of 21.05. The 5-year average P/FCF is 33.81. The thresholds are as follows: Strongly Undervalued below 15.83, Undervalued between 15.83 and 24.82, Fairly Valued between 42.80 and 24.82, Overvalued between 42.80 and 51.78, and Strongly Overvalued above 51.78. The current Forward P/FCF of 21.05 falls within the Undervalued range.
Novo Nordisk A/S (NVO) has a current Price-to-Book (P/B) ratio of 2.73. Compared to its 3-year average P/B ratio of 26.57 , the current P/B ratio is approximately -89.72% higher. Relative to its 5-year average P/B ratio of 24.71, the current P/B ratio is about -88.94% higher. Novo Nordisk A/S (NVO) has a Forward Free Cash Flow (FCF) yield of approximately 4.84%. Compared to its 3-year average FCF yield of 2.86%, the current FCF yield is approximately 68.82% lower. Relative to its 5-year average FCF yield of 3.18% , the current FCF yield is about 52.14% lower.
8.00
P/B
Median3y
26.57
Median5y
24.71
4.89
FCF Yield
Median3y
2.86
Median5y
3.18
Competitors Valuation Multiple
The average P/S ratio for NVO's competitors is 3.66, providing a benchmark for relative valuation. Novo Nordisk A/S Corp (NVO) exhibits a P/S ratio of 4.24, which is 15.80% above the industry average. Given its robust revenue growth of 11.81%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of NVO decreased by 44.21% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 10.50B to 11.74B.
The secondary factor is the P/E Change, contributed -25.72%to the performance.
Overall, the performance of NVO in the past 1 year is driven by Revenue Growth. Which is more sustainable.
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FAQ
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