Novo Nordisk B shares traded sharply higher in Copenhagen on Friday, gaining approximately 5% to 294.4 Danish crowns. The advance lifted the OMX Copenhagen 25 index, which rose 1.67% to 1,773.22, as healthcare stocks provided a tailwind for the broader market.
The rally came despite an IT security incident that Novo Nordisk said had limited impact on core business operations. The company reported unauthorized access to some internal systems and the copying of non-public data, including personal information. Cyber group FulcrumSec claimed responsibility, demanding $25 million, though Reuters could not independently verify the authenticity of leaked data.
Investor attention remained fixed on the competitive landscape for oral weight-loss drugs. Novo Nordisk CEO Mike Doustdar stated that the company would file for Chinese approval of its oral Wegovy formulation within months. Meanwhile, Eli Lilly has already submitted a marketing application in China for its once-daily oral drug orforglipron, signaling intensifying rivalry.
European markets edged higher, with the STOXX 600 adding 0.2%. Healthcare names, including Novo Nordisk and AstraZeneca, led gains as investors rotated into defensive sectors perceived as more resilient amid market volatility. Defensive stocks are those with relatively stable demand across economic cycles.
Novo Nordisk remains a heavyweight in the OMXC25, accounting for 12.11% of the index as of March 31. Its size ensures that its performance significantly influences the Danish benchmark. Trading proceeded on a normal schedule in Copenhagen, while U.S. markets were closed for Juneteenth, leaving Novo's American depositary receipt unchanged at $43.19 from Thursday's close.
The obesity drug market continues to drive the equity narrative for Novo Nordisk. The company and Eli Lilly are both advancing GLP-1 receptor agonists, which mimic a gut hormone to suppress appetite and regulate blood sugar. Doustdar emphasized that scaling up production of oral Wegovy would pose a challenge for competitors, citing the need for substantial manufacturing capacity.
Despite Friday's bounce, risks remain. A larger data breach, faster progress by Lilly in China, the emergence of cheaper generics after semaglutide's patent expiration, or pricing pressures on obesity medications could reverse gains. The market's move signals a temporary reprieve, but sustained recovery hinges on execution and competitive dynamics.
