Wegovy's Strong Start: Novo Nordisk Shares Jump
Friday's Market Boost Novo Nordisk's shares experienced a significant surge on Friday, climbing over 5% following early reports indicating strong U.S. market performance for their new obesity pill, Wegovy.
A Promising Start
Wegovy, the first-of-its-kind weight loss pill, has shown a promising debut. However, experts caution that it's too early to determine if this is a sustained trend or a one-time spike. More data is needed to assess the true demand.
Market Launch and Rivalry
- Launch Date: January 5, 2024
- Approval Date: December 2023
Novo Nordisk aims to reclaim market share from its rival, Eli Lilly, which has been dominant in the obesity and diabetes drug market with its injection, Zepbound.
Prescription Numbers
- Zepbound (Eli Lilly):
- First Week: ~1,300 prescriptions
- Second Week: ~8,000 prescriptions
- Wegovy (Novo Nordisk):
- First Week (IQVIA Data): ~3,100 prescriptions
- First Full Week (Symphony Data via Bloomberg): ~4,290 prescriptions
The discrepancy in numbers may be due to the exclusion of prescriptions from Novo Nordisk's direct-to-consumer pharmacy and telehealth partners, which could significantly impact Wegovy's success.
Challenges and Competition
- Wegovy's Restrictions:
- Peptide medication requiring strict dietary rules (no eating or drinking for 30 minutes after ingestion).
This could deter some potential users.
- Eli Lilly's Advantage:
- Upcoming pill, orforglipron, is a small molecule drug without the same restrictions.
- Expected to launch in the next few months, potentially giving Eli Lilly an edge.
