Novo Nordisk A/S Sponsored ADR Class B (NVO.US) lowered its outlook, triggering a 20% historic plunge. Shareholders have initiated a class action lawsuit.

Novo Nordisk A/S Sponsored ADR Class B (NVO.US) is facing a shareholder lawsuit due to the lowering of its full-year revenue and operating profit growth expectations. The company cited resistance in the GLP-1 market as the reason for the downward adjustment. The American Depositary Receipt (ADR) of this weight loss drug manufacturer plummeted over 20% last Tuesday, marking the most severe intraday drop since 1987. On Friday, July 28, a group of Novo Nordisk A/S Sponsored ADR Class B (NVO) shareholders filed a proposed class action lawsuit against the Danish company in a federal court in New Jersey, seeking to recover losses caused by alleged securities fraud between May 7, 2025, and July 28. The plaintiffs allege that Novo Nordisk A/S Sponsored ADR Class B made overly optimistic statements during this period, disseminated false and misleading statements, overstated its growth potential, and concealed significantly adverse facts. Ultimately, the stock price plummeted due to the downward revision of performance guidance, causing shareholder losses.