From the doldrums of the COVID-19 crisis to the early summer of 2024, few major pharmaceutical companies enjoyed as much market success as Novo Nordisk (NYSE:NVO). Much of the success was tied into the company's weight-loss drugs Wegovy and Ozempic. However, competition in the space has intensified, particularly from Eli Lilly (NYSE:LLY) and its weight-loss rival drug Zepbound. But with exhaustion in the space dragging down both stocks, speculators may have a discounted opportunity.
To be fair, circumstances fundamentally don't necessarily look exceptionally bright for Novo Nordisk. For its second-quarter earnings report, the drugmaker posted earnings per share of 91 cents, missing Wall Street analysts' consensus target of 93 cents. On the plus side, the latest print was a big improvement over the year-ago quarter's EPS of 65 cents.
