Novo Nordisk Fair Value
NV
The fair market value of NVO stock is 101.86 USD. Relative to the market price of 132 USD Novo Nordisk A/S is overvalued by 40.2%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Novo Nordisk Valuation
Current NVO share ticker price is 132 USD.
The fair value level of 101.86 USD can be considered as an effective entry point for long-term investors to start investing in NVO stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 40% higher its fair value
Current price is 58% higher its minimum value
Current price is 31% higher its maximum value
Market price:
NVO stock is greatly overvalued
It means the current price may concern as a High Risk Entry Point
Novo Nordisk A/S Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
30.19
2
Median P/E over 5 years
26.01
3
Minimum P/E over 5 years
18.42
4
Earning per share (last 12 months)
26.25 DKK
Maximum value
1
x
4
=
91.57 USD
Fair value
2
x
4
=
78.88 USD
Minimum value
3
x
4
=
55.86 USD
Novo Nordisk A/S price metrics
40.7
Annual return (geometric mean)
27.9
Risk (standard deviation) of returns
β
0.4
Beta (volatility compared to market)