Wegovy Pill Just Changed the GLP-1 Market. Here's Why Eli Lilly Stock Could Still Win
Novo Nordisk is finally getting one up on its biggest rival.
Overview
Eli Lilly (NYSE: LLY) received approval for Zepbound, a weight-management medicine, in November 2023. Since then, Zepbound has performed extremely well and become the best-selling anti-obesity drug, leapfrogging Novo Nordisk's (NYSE: NVO) Wegovy. However, the Denmark-based pharmaceutical leader fought back. Its latest launch in this field is an oral formulation of Wegovy that has helped it regain some market share from its main competitor. What does all this mean for both companies' prospects?
Image source: The Motley Fool.
Novo Nordisk launched oral Wegovy in the U.S. in January. The drug was an instant hit and has maintained strong momentum since. In June, it crossed three million prescriptions, marking one of the strongest launches on record by volume for a pharmaceutical product in the U.S. Oral Wegovy isn't just cannibalizing the older formulation's sales either. As Novo Nordisk points out, more than 80% of new prescriptions are for patients who had never taken GLP-1 medicines before. In other words, it is expanding the market. Further, although Eli Lilly earned approval for Foundayo, a competing oral GLP-1 drug for weight loss, in April, oral Wegovy has remained the top player in this niche by far.
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Source
Originally published at www.fool.com.