It didn’t take long for word on the streets to turn the Novo Nordis A/S obesity drug into a bull market vector, after clinical trial results showed that researchers found a surprising added bonus with the drug called Wegovy: a 20% reduction in heart issues compared to those getting a placebo.
The stocks soared as much as 15% almost immediately. According to Fortune, “The results cheered Wall Street bulls who called it a best-case scenario. Analysts saw the benefit extending the market for Wegovy as well as Lilly’s Mounjaro and possibly removing an obstacle in insurance reimbursement …
“These medicines were only weight loss drugs, but now they are much more than that, and we think payers will likely have to provide access to these medicines at this point,” Mohit Bansal, a Wells Fargo analyst wrote in a note. Morgan Stanley analysts project the global obesity market will reach $77 billion in 2030; they had previously estimated $54 billion.”
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Publish Date: 2023-08-09 18:20:21