Most investors would love a stock that delivers a 76% return over three years. Novo Nordisk (NYSE: NVO) has done it over the last 12 months.

However, the most crucial factor for evaluating a stock is not its past performance but rather its potential future performance. Is it too late to buy Novo Nordisk stock?

One main knock against Novo Nordisk is its steep valuation. The stock trades at over 43 times forward earnings. By comparison, the average forward earnings multiple for the S&P 500 healthcare sector is under 19.

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Source Fool.com