TLDR
- On Monday, Novo Nordisk stock rose 5.4%, closing at $55.21 with a heavy trading volume of 29.6 million shares.
- The company launched the Wegovy pill, the first oral GLP-1 for weight loss, with self-pay pricing starting at $149 per month.
- The Wegovy pill is now available through CVS, Costco, and telehealth partners across the United States.
- Competitor stocks declined following the news, with Eli Lilly dropping 3.6% in after-hours trading.
- Analysts remain divided, with a consensus “Hold” rating and an average price target of $53.33.
Novo Nordisk shares climbed 5.4% on Monday as the Danish drugmaker introduced its oral Wegovy pill across the United States. The stock traded as high as $55.42 before closing at $55.21.
Trading volume reached 29.6 million shares, a 42% increase from the average daily volume of 20.8 million. The stock had closed at $52.39 in the previous session.
This move occurred as Novo began selling the first oral GLP-1 medication for weight loss in the U.S. market. The pill provides a daily alternative to weekly injections, a format that could transform how patients approach obesity treatment.
Novo priced the lowest dose at $149 per month for patients paying out of pocket. Higher doses go up to $299 per month. The 4-mg dose will increase to $199 starting April 15.
The company is distributing through CVS and Costco pharmacies, along with telehealth partners. More doses will be available by the end of this week.
The launch pressured rival stocks. shares fell 3.6% in after-hours trading to $1,041.51. Viking Therapeutics also experienced weakness as investors wagered that Novo could capture market share with its pill format and competitive pricing.
Market Competition Intensifies
GLP-1 drugs function by targeting hormones that regulate appetite and blood sugar. This category has grown into a major force in equity markets as the demand for weight-loss treatments has soared.
Competition is now shifting to self-pay channels. Patients who pay cash rather than use insurance are becoming a crucial battleground for drugmakers.
Lilly anticipates an FDA decision in March for its own obesity pill. The company stated that it would cap repeat cash pricing for higher doses at $399. Both and Lilly agreed to offer $149 starter doses under a White House deal linked to a planned TrumpRx site.
GoodRx CEO Wendy Barnes said the platform was concentrating on “transparent cash pricing” and “broad pharmacy availability” as access to the Wegovy pill expands. These comments indicate growing price transparency across the weight-loss drug market.
Analyst Opinions Remain Divided
Wall Street analysts are split on Novo’s outlook. Rothschild & Co Redburn upgraded the stock from neutral to buy in September. Sanford C. Bernstein moved from market perform to outperform in the same month.
Goldman Sachs lowered its price target from $60 to $54 in late November while maintaining a buy rating. Jefferies initiated coverage in October with an underperform rating.
The consensus is a Hold with an average price target of $53.33. This is below Monday’s closing price. One analyst rates the stock a strong buy, six say buy, eleven hold, and four recommend selling.
The U.K. pharmaceutical regulator is reviewing Novo’s Wegovy pill application. A decision could be made by year-end, potentially opening up another major market for the oral drug.
Novo reported third-quarter earnings of $1.02 per share in early November, exceeding estimates of $0.77. Revenue came in at $11.79 billion compared to expectations of $11.98 billion. The head of U.S. public affairs recently left the company during the high-profile launch.
