June 10 - Novo Nordisk (NYSE:NVO) rose to its highest level in over two months Monday after a media report said hedge fund Parvus Asset Management is quietly building a position in the Danish pharmaceutical group.

Shares advanced as much as 3%.

• Warning! GuruFocus has detected 1 Warning Sign with NVO.

Parvus is reportedly aiming to influence the company's upcoming leadership transition. Novo Nordisk said in an email that it has nothing to share on this topic.

The report follows last month's news that CEO Lars Fruergaard Jorgensen will step down. His departure comes after the company's stock fell sharply from record highs seen in mid-2023.

Novo is under mounting pressure in the weight-loss drug market, where Eli Lilly (NYSE:LLY) has made competitive gains. Analysts have pointed to slowing momentum in Novo's drug pipeline, raising questions about long-term growth.

Parvus, known for prior activist campaigns at Ryanair and UniCredit, did not disclose how much of Novo it currently owns.

This article first appeared on GuruFocus.