We recently compiled a list of the 10 Firms Defy Market Pessimism. In this article, we are going to take a look at where Novo Nordisk A/S (NYSE:NVO) stands against the other firms.

Ten companies finished firmer on Friday, bucking an overall market pessimism, over a series of catalysts sparking buying appetite.

Wall Street’s main indices all finished in the red territory, with the Dow Jones down by 0.32 percent, the S&P 500 dropped 0.29 percent, and the Nasdaq down 0.50 percent.

In this article, let’s take a look at which companies defied broader market pessimism and explore the reasons behind their growth.

Friday’s top advancers only considered the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

An elderly couple receiving insulin from a pharmacist, representing healthcare company's successful pharmaceutical products.

Novo Nordisk A/S (NYSE:NVO)

Pharmaceutical giant Novo Nordisk A/S (NYSE:NVO) grew its share prices by 7.13 percent to finish at $622.4 per share following news that its latest clinical trial for a weight loss drug achieved strong results.

For 36 weeks of testing, Novo said that its amycretin drug, a GLP-1 and amylin receptor agonist, was able to achieve an average body weight reduction of 9.7 percent with patients only suffering from mild to moderate gastrointestinal side effects.

Meanwhile, news reports last week said that Novo Nordisk’s diabetes drug Ozempic and weight loss treatment Wegovy are among the 15 drugs that are targeted for price negotiations by the US government.

Prior to former president Joe Biden’s final days in office, 15 drugs have been named for a potential negotiation process for becoming among the most expensive drugs.

Overall NVO ranks 7th on our list of the firms that defy market pessimism. While we acknowledge the potential of NVO as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than NVO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

 

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Disclosure: None. This article is originally published at Insider Monkey.