Apple Inc. (AAPL), Novo Nordisk A/S (ADR) (NVO) & ‘The Most Sustainable Company in the World’

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Novo Nordisk A/S (ADR) (NYSE:NVO) has performed overwhelmingly better than the other companies in the past decade. Amazingly, it also shows an earnings yield of 21.2%. Medtronic, Bristol-Meyers, and Eli Lilly show earnings yields of just 7.1%, 2.9%, and 6.5%. Is it coincidence that a diabetic focused company has better earnings, more consistent revenue increases, better stock performance, and provides the best value for investors?

Diagnosed cases of diabetes have been steadily rising for years and continue to do so. Type 1 diabetes is rising approximately 3% globally each year, with type 2 growing much more rapidly. The graph below will explain why I believe that companies focused on this disease will perform well in the future.

The Foolish Bottom Line…

Is diversity good? Generally speaking, I believe it is. However, Novo Nordisk A/S (ADR) (NYSE:NVO) may be the exception to this rule. They are a diabetic based company who is bigger and performing better than other more diversified pharmaceuticals. Novo Nordisk A/S (ADR) (NYSE:NVO) releases its earnings report on May 1, and we can then see how much of the $200 billion/year spent on diabetes is controlled by this company.

The article “The Most Sustainable Company in the World” originally appeared on Fool.com and is written by Tyler Wofford.

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