The stock market has faced significant turmoil recently, with the S&P 500 suffering its worst performance in 2025 so far. Despite widespread losses across sectors, healthcare has emerged as a strong performer. Novo Nordisk (NYSE: NVO), a high-quality pharmaceutical company, has caught the spotlight after its stock price dipped to 52-week lows.

Novo Nordisk, the Danish pharmaceutical giant, has experienced a significant price dip, falling over 40% from its all-time highs in June 2024. This decline stems from several challenges, including the entrance of competitors offering weight-loss drugs, less successful clinical trial results than anticipated, and heightened uncertainty due to new U.S. political administration policies and potential tariffs on foreign pharmaceutical companies.