Novo Nordisk: The Road to Billions

Novo Nordisk (NYSE:NVO)

Novo Nordisk is betting $2 billion on a pill that could rake in $5 to $10 billion a year.

Novo Nordisk (NYSE:NVO) could be the one stock to own for 2013.  If they are successful at making the world's first insulin pill for diabetes patients they will make countless billions for the years to come.  They say the odds of success are 50/50 at this point and its worth reviewing for potential investors.

The story was published in BusinessWeek (click to read) earlier this month, its worth your time.  Imagine a world of no needles and pain for taking insulin, patients would glady throw away the syringe if possible.  Fellow Masters NVO trades just under $140 a share and is 8% from its 12 month high. 

Its an insane process to deliver insulin in pill form. When swallowed, insulin embarks on a journey through the stomach and the intestines, where it faces the assault of acids and enzymes. It must then cross the gut wall, usually accessible only to smaller particles known as amino acids, to reach the bloodstream and travel to the liver.  However the fun continues, Novo also must extend the hormone’s ability to stay in the bloodstream (which its scientists think they’ve solved) and boost its capacity to be absorbed by the body (which they have not).

Novo will know which of its oral insulin candidates is ready for mid-stage clinical development by late 2013.