15 Nordic Stocks with a Wide Moat

Key Takeaways

15 Nordic companies have been assigned a wide economic moat by Morningstar analysts.
Only five of these stocks currently look undervalued.
Companies with a wide economic moat have durable competitive advantages that can support excess returns over time.

Moats are good for defense against dragons... and competitors. Companies that have a wide economic moat have a durable, material competitive advantage that allows a company to earn excess returns on capital for a long period of time and keep competitors at bay. Morningstar analysts assign every company they cover an

of wide, narrow, or none.

Out of the 48 Nordic stocks that Morningstar’s analysts have under coverage, 15 have been assigned a wide economic moat.

These wide-moat companies operate across a broad mix of industries, including medical devices, pharmaceuticals, specialty chemicals, and industrial manufacturing. While several of these stocks are considered fairly valued today, only five currently trade in undervalued territory.

It is the star rating that indicates whether a stock is cheap, expensive or fairly priced compared to the analyst’s assessment of its intrinsic value, or the estimate of its fair value. Stocks trading at a large discount to their fair value receive the highest rating (4 or 5 stars), while stocks trading at a large premium to their fair value receive a lower rating (1 or 2 stars). A 3-star rating indicates that the current share price is close to the analyst’s estimate of fair value.

5 Undervalued Nordic Stocks with a Wide Moat

Coloplast COLO B

Morningstar Rating: ★★★★★
Fair Value Estimate: DKK 760.00
Morningstar Uncertainty Rating: Medium
Discount to Fair Value: 42%
Industry: Medical Instruments & Supplies

Having followed Coloplast for over a decade now, Morningstar analysts believe it can maintain its competitive advantage and generate economic profits over a 20-year period, which is essential for any company in order to be assigned a wide economic moat.

Coloplast’s moat primarily stems from its ostomy, continence care, voice/respiratory, and urology businesses, where it has been able to leverage intangible assets and, at times, switching costs. The firm has a long record of meaningful innovation in the first two areas. We like the moatiness of the ostomy and urology businesses. The USD 2 billion global ostomy market benefits from intangible assets and switching costs and is the kind of stable oligopoly we like to see. Coloplast is the market leader with an estimated 40% share; Convatec and privately held Hollister share the rest of the market.

- Debbie S. Wang, senior equity analyst.

Elekta EKTA B

Elekta develops, manufactures, and distributes treatment planning systems for neurosurgery and radiotherapy, including stereotactic radiosurgery and brachytherapy.

Globally, only a few companies are involved in radiotherapy, with Siemens Healthineers and Elekta accounting for the lion’s share of all new installations. The market for radiotherapy equipment is characterized by very high barriers to entry, owing to significant intellectual property and technological know-how, and high switching costs that arise from significant training costs and disruption risk. A combination of a high Herfindahl ratio, significant barriers to entry, and a moderate degree of rivalry positions radiotherapy favorably relative to several other device industry segments.

- Alex Morozov, regional director.

Novo Nordisk NOVO B

Morningstar Rating: ★★★★
Fair Value Estimate: DKK 343.00
Morningstar Uncertainty Rating: High
Discount to Fair Value: 28%
Industry: Drug Manufacturers – General

Novo Nordisk accounts for 30% of the global diabetes market, including roughly half of both the USD 15 billion insulin therapy market and the USD 50 billion GLP-1 market. Its strong intangible assets in diabetes and related cardiometabolic diseases like obesity give the firm a wide economic moat that will shield profitability for the long run.

However, we don’t think Novo’s cost advantages are strong enough to stand as a moat source for the entire firm, given that Novo’s foundation has rapidly shifted from insulin (17% of 2025 sales) to GLP-1 therapies (76% of 2025 sales). If peptide-based GLP-1 therapies remain the standard of care for the next 10 years, we expect Novo could hold a minor cost advantage in this market as well. However, the massive potential of GLP-1 therapies beyond diabetes—particularly in obesity—has drawn multiple competitors, several of which could launch with easier-to-manufacture pill treatments.

Karen Andersen, director.

Novozymes NSIS B

We believe Novonesis earns a wide moat based on intangible assets, switching costs, and cost advantage. The merger between Novozymes and Chr. Hansen has brought together two leaders in the field of biological solutions with more than a century of experience in fermentation technology and bioengineering, which forms the basis of their proprietary technology.

Novonesis has a dominant position across both the enzymes and cultures markets, with a market share of around 50% in each. Competition is relatively benign across both industries due to their largely duopolistic nature.

- Diana Radu, equity analyst.

SKF SKF B

SKF is a global leader in industrial bearings and rotating equipment solutions, operating in segments where reliability, efficiency, and engineering know-how matter most. We assign SKF a wide moat rating based on intangible assets (engineering expertise and global brand reputation) and switching costs stemming from its large installed base and integrated service offering.

SKF has demonstrated that it can sustain returns above its cost of capital through multiple economic cycles, supported by pricing power, a stable aftermarket base, and disciplined capital allocation.

Joachim Kotze - equity analyst.

The author or authors do not own shares in any securities mentioned in this article. Find out about Morningstar's editorial policies.

15 Nordic Stocks with a Wide Moat

Key Takeaways