Key Takeaways
- Novo Nordisk (NVO) shares dropped 12% after the company cut its full-year sales forecast, citing lower-than-planned U.S. Wegovy sales due to compounded GLP-1RA treatments.
- PayPal (PYPL) reported strong Q2 2025 earnings, with adjusted EPS of $1.40 against an estimate of $1.30, and net revenue of $8.29 billion, exceeding the $8.09 billion estimate.
- Procter & Gamble (PG) also surpassed Q4 2025 earnings expectations, posting adjusted EPS of $1.48 (estimate $1.43) and revenue of $20.9 billion (estimate $20.82 billion).
- Microsoft (MSFT) is reportedly in serious negotiations to secure continuous access to key OpenAI technology, according to Bloomberg.
- A Chinese trade delegation was seen departing U.S. trade discussions in Stockholm, with talks aimed at extending a trade truce ahead of an August 12 deadline.
Pharmaceutical giant Novo Nordisk (NVO) experienced a significant 12% drop in its shares after revising down its full-year sales forecast. The company now anticipates constant currency sales growth of +8% to +14%, a reduction from its previous guidance of +13% to +21%. This cut is primarily attributed to lower-than-expected sales of its popular weight-loss drug Wegovy in the U.S., impacted by the rise of compounded GLP-1RA treatments. Despite the revised outlook, Novo Nordisk's Q1 2025 total revenue jumped 18% at constant exchange rates compared to Q1 2024, and operating profit increased by 20%. The company expects a rebound in Wegovy sales starting in June, following a U.S. Food and Drug Administration (FDA) deadline for compounding pharmacies to cease producing unauthorized copies of Wegovy and Ozempic.
In other corporate news, PayPal (PYPL) delivered a strong performance in its Q2 2025 earnings report, exceeding analyst expectations. The company announced an adjusted EPS of $1.40, outperforming the estimated $1.30. Net revenue for the quarter also came in higher than anticipated at $8.29 billion, compared to an estimate of $8.09 billion. Total Payment Volume (TPV) reached $443.55 billion, surpassing the estimated $429.44 billion.
Consumer goods giant Procter & Gamble (PG) also reported robust Q4 2025 earnings, beating Wall Street forecasts. The company posted an adjusted EPS of $1.48, higher than the estimated $1.43. Revenue for the quarter was $20.9 billion, slightly above the $20.82 billion estimate. Looking ahead, P&G sees its fiscal year adjusted EPS between $6.83 and $7.09.
Meanwhile, Microsoft (MSFT) is reportedly engaged in serious negotiations to secure continuous access to critical OpenAI technology, according to Bloomberg. This development highlights the ongoing strategic importance of artificial intelligence partnerships in the tech sector.
On the geopolitical front, a Chinese trade delegation was observed departing U.S. trade discussions. These talks, held in Stockholm, aim to extend a 90-day trade truce between the two economic powerhouses, with an August 12 deadline approaching. The discussions are focused on preventing a return to higher tariffs and addressing broader trade imbalances.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.