Novo Nordisk Rallies, ServiceNow Dips, Sable Rises

On this episode of Stock Movers:
- Novo Nordisk (NVO) shares rallied in trading today following the drugmaker getting US approval to sell a pill version of its blockbuster obesity shot Wegovy. Novo will start selling the pill in the US in early January, the company said in a statement Monday. It is approved to help people lose weight or maintain previous weight loss over the long term. The pill is crucial for Novo’s strategy to take on Eli Lilly, which has said its own oral obesity drug could be approved by March. That would give Novo a head start of just a few months.
- ServiceNow (NOW) has reached a deal to buy the cybersecurity startup Armis in a deal valued at $7.75 billion, representing its largest acquisition to date. The Santa Clara, California-based enterprise tech company will pay in cash for San Francisco-based Armis, according to a statement Tuesday that confirmed an earlier Bloomberg News report. ServiceNow, which provides software that helps companies organize and automate their personnel and information technology operations, has become a dominant platform for enterprise workflow. In March, ServiceNow struck an agreement to buy the artificial intelligence firm Moveworks Inc. for $2.85 billion as part of its push into AI tools that can complete tasks without human supervision. Shares of the startup fell during trading on Tuesday.
- Sable (SOC) shares rose as much as 30% after the company said that the US Department of Transportation, Pipeline and Hazardous Materials Safety Administration approved the firm’s Las Flores pipeline restart plan.

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Episode Transcript

Speaker 1 (00:02):
Bloomberg Audio Studios, podcasts, radio news, The.

Speaker 2 (00:08):
Stock Movers report, your roundup of companies making moves in
the stock market, harnessing the power of Bloomberg Data.

Speaker 3 (00:16):
Let's talk a little stocks on the move today here
in our studio. To help us do that, as Boomberg
Use Equities reporter Natalia Kitty Jevich, you brought with us
three goodies today. Let's start with Novo. Nordis kind of
a nice day for them.

Speaker 4 (00:32):
Yes, it is a very nice day for the company.
The tickets. Nvo shares are up by seven point three percent.
At one point, shares jumped by ten percent, which was
the biggest jump since August twenty twenty three. Of course,
it came after the company said that it won an
approval to sell a pill version of its drug in

(00:53):
the US. The company will start selling it here starts
in from January. And analysts were really excited about this news.
They say it gives the company a really big, you know, tailwind,
especially as competition kind of is going to be more
severe for the.

Speaker 3 (01:13):
More lily knock knock, Right, what happened to Lily stock today?
I think it was actually down a little bit, right.

Speaker 4 (01:18):
I actually did not check, and it is a very
good question. We're going to check it right now. It
was logically that the stock would move down, Yes, it
was relatively flats zero point five percent.

Speaker 3 (01:28):
I would have expected a larger leg down.

Speaker 1 (01:30):
But okay, because they also have their own approval. It's
just that Novo is the first matter of two year point. Yes,
having a head start is definitely key, especially in competitive
areas like this. What about service Now? This is a
California based enterprise tech company.

Speaker 4 (01:46):
Yes, so the ticker for this one is now. Shares
are down slightly by one point five percent today. So
it came after the company reached the deal to buy
a cyber security startup called Army. This is the deal
which is valued at seven point seventy five billion dollars.
Service Now said in a statement that it expects to

(02:08):
fund this deal through combination of cash and debt and
the deal is expected to close in the second half
of twenty twenty six. So why it is important Armies.
It's a cybersecurity company. It specializes on different threats across
different industries from starting from medical, financial services, defense, So
it is a good acquisition for them, and some concerns

(02:32):
are around of course, every deal for the company, it
means some kind of stress in terms of financials. But
some analysts, including Avercore, are saying that free cash flow
is so strong. For example, in twenty twenty five, it
is expected to be at around five billion dollars, so
it's not going to be a huge stress for the company.

Speaker 3 (02:51):
All right, And I love the stung she brought along
because there's something for everybody here. This one's a big
one today, Sable Offshore right in big time. I guess
there was some movement on regulation for this company.

Speaker 4 (03:05):
Yeah, so oil and gas stocks have been so volatile
it's really hard to find the clear direction for the
whole sector. It's a stock by stock, company by company basis. Yes,
as you said, it is a very big move. The
stock is up by thirty six percent today and it
came after the US regulator approved the company's pipeline restart plan.

(03:26):
So they have a pipeline located in California. It's called
Las Flores and it leaked about three thousand barrels of
oil along Santa Barbara coastline about a decade ago. So
it is an important and big, pretty big move for
the company. And Alys started saying that it is a
critical step and Sable will be able to sell oil

(03:48):
as early as in twenty twenty six, which is a
year ahead of what had been expected previously. And yes,
it is a pretty big move. However, on a month basis,
shares are still down by fifty four percent, so we
will see how it plays out.

Speaker 3 (04:04):
Oh, they're still down even with today's exactly, Even with
today's rally of thirty six percent. The stock is down
fifty four percent year today exactly.

Speaker 4 (04:12):
But keep in mind that energy shares, especially across oil sector,
have been very volatile because oil prices were under pressure
the entire year, almost the entirely.

Speaker 1 (04:22):
But this is a big development. I love the chart
in our Bloomberg story that really detailed the volatility of
SABLE shares. To your point, they're still down this year
even with a huge pop, but maybe this could change
things true.

Speaker 4 (04:33):
Maybe.

Speaker 3 (04:33):
Yeah, that's quite the visual though. I mean for those
of us, I know people hearing us cannot see this visual,
but I mean you can just see the wild ride
it's been for Sable Offshore. But it looks like shareholders
got a little bit of an early Christmas present there,
I guess with today's news Yeah, anything else that popped
out to you. I know you just brought along three.
I don't mean to put you on the spot and

(04:54):
to tell you, but anything else pop out to you today.

Speaker 4 (04:56):
In terms of single stock movers, I wouldn't say so
because it's a pretty quiet week. We are now focusing
on twenty twenty six. We are looking for different IPOs.
One story that we are working on is how the
most recent IPO of a medline, this is the biggest
IPEO this year.

Speaker 3 (05:11):
Do cover that exciting?

Speaker 4 (05:13):
Really saved the entire IPO performance. Really, when we look
at a weighted average performance of all companies that went
public in twenty twenty five, so overall this number was
below the S and P five hundred. But now with
this medline and we saw this big performance. The company
is up by fifty percent since it's IPO in about

(05:36):
a week. It really saved the entire market. It is
a big story.

Speaker 1 (05:40):
It's so great stat Yeah, you cover everything from strategy
to IPOs, to hedge fund positioning and to single thoughts.
It's really been great to see you publish story after
story this year.

Speaker 3 (05:50):
Thanks, and it's also going to be great to watch
the IPO market next year because we've got a lot
of a really robust pipeline, so it'll be.

Speaker 4 (05:57):
Pay sic right, Like I think that would be the biggest.
It's gonna be.

Speaker 3 (06:00):
Hard to beat it.

Speaker 2 (06:02):
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