Novo Nordisk Stock Plummets 20% After CEO Change and Full-Year Guidance Cut in 2025
Novo Nordisk Faces Major Market Setback in 2025
Danish pharmaceutical giant Novo Nordisk saw its stock plunge by 20% following a significant announcement on July 29, 2025. The company named a new CEO, Maziar Mike Doustdar, who will take over from Lars Fruergaard J F8rgensen effective August 7. Alongside this leadership change, Novo Nordisk slashed its full-year guidance, citing weaker growth expectations for its blockbuster weight-loss drug Wegovy in the key U.S. market.
Key Highlights
- Full-year sales growth guidance dropped to 8% to 14% from an earlier forecast of 13% to 21% at constant exchange rates.
- Annual operating profit growth forecast was also lowered to 10% to 16% from 16% to 24%.
- The downgrade was influenced by slower-than-anticipated U.S. market expansion for Wegovy, persistent use of compounded GLP-1s, and increasing competition.
- Novo Nordisk’s share price had already fallen over 42% in 2025 amid these challenges and competitor advancements.
Doustdar, a Novo Nordisk veteran since 1992, brings extensive experience from executive roles across Europe and Asia and aims to drive the company’s next growth phase with urgency and high performance.
This development marks a turbulent period for Novo Nordisk, which has been grappling with competition and product challenges, impacting investor confidence significantly.
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Injection pens for the weight-loss treatment Wegovy, manufactured by Novo Nordisk A/S
This news highlights the intense competition in the pharmaceutical industry and the challenges of maintaining market leadership in innovative drug treatments. Investors and market watchers will be closely following Novo Nordisk’s actions to stabilize growth and regain momentum amid evolving market conditions.
