Novo Nordisk shares rise after Wegovy obesity pill launch

Novo Nordisk’s Obesity Pill Sees Promising Start in US Market

Novo Nordisk’s new GLP-1 pill for obesity, Wegovy, has shown an encouraging start to its US launch, with shares of the company rising over 5% on Friday. The pill, which officially launched on January 5, has seen a solid start according to early prescription data. This is a significant development for the Danish drugmaker, which is looking to regain market share from its chief rival, Eli Lilly, in the booming obesity and diabetes drug space.

Early Prescription Data

According to TD Cowen analysts, around 4,290 prescriptions were filled for Novo Nordisk’s pill during its first full week of launch, with the majority being for the starting dose of the drug. This data, published by Symphony through Bloomberg, suggests that the pill is already outstripping its injectable counterparts at the same stage of their launch. In comparison, Eli Lilly’s popular obesity injection, Zepbound, had around 1,900 prescriptions filled during its first full week on the market.

Leerink Partners analyst David Risinger noted that the Wegovy pill had around 3,100 prescriptions filled in the first week of its launch, citing IQVIA data for the week ending January 9. While the data from different sources may vary, it is clear that Novo Nordisk’s pill has seen a promising start to its US launch. However, analysts caution that one data point does not make a trend, and more data is needed to fully assess the demand for the pill.

Market Competition and Future Developments

The obesity and diabetes drug space is highly competitive, with Eli Lilly trailing closely behind Novo Nordisk in the pill space. Eli Lilly is preparing to launch its own oral drug for obesity, orforglipron, in the next few months, which could potentially shift demand. Novo Nordisk’s pill has a head start, but it is a peptide medication with dietary requirements, which may hinder uptake. In contrast, Eli Lilly’s pill is a small molecule drug and does not have these restrictions.

Analysts will be closely watching the market in the coming months to see how the two companies compete. Novo Nordisk’s direct-to-consumer channel, which holds significant promise for the pill’s launch, will also be an important factor to consider. As more data becomes available, a clearer picture of the market will emerge, and investors will be able to better assess the potential of Novo Nordisk’s Wegovy pill.