Shares in pharmaceutical giant Novo Nordisk (NVO) edged higher today despite more pressure from health officials in the U.K. about the safety of weight-loss drugs.
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Pancreas Link
The U.K.’s Medicines and Healthcare products Regulatory Agency (MHRA) said today that it will investigate whether there is a link between weight-loss injections and acute inflammation of the pancreas.
Indeed, they are asking people on weight-loss drugs who have been hospitalized by acute pancreatitis to get in touch.
This comes after data from MHRA which showed that since the drugs were licensed, there have been hundreds of reported cases of acute and chronic pancreatitis among people taking GLP-1 medicines.
That includes 113 cases and one death linked to semaglutide, which is the active ingredient in Novo Nordisk’s Wegovy and Ozempic weight-loss injections. Meanwhile, 181 cases, with five deaths, were reported linked to tirzepatide, which is the active ingredient in Eli Lilly’s (LLY) rival Mounjaro treatment.
MHRA chief safety officer Dr Alison Cave said the aim was to “better predict those most at risk of adverse reactions.”
Think Twice
This follows a warning earlier this month from the MHRA to pregnant women that it is unclear whether weight-loss injections could harm unborn babies.
Russ Mould, investment director at AJ Bell, said this regular commentary on the side effects of injectable weight-loss drugs could make some patients think twice about using them.
“Reports of pancreas-related illnesses in a tiny number of cases could yet attract regulatory scrutiny,” he added.
In the UK, the injections are only available through the state-run National Health Service, but people are still accessing them via sellers on social media or beauty salons.
The demand is expected to be there. Globally, about 3.8 billion people over 25 and just under 750 million children and young people will be overweight or obese by 2050.
Is NVO a Good Stock to Buy Now?
On TipRanks, NVO has a Moderate Buy consensus based on 4 Buy, 3 Hold and 1 Sell rating. Its highest price target is $142.56. NVO stock’s consensus price target is $94.79 implying a 40.32% upside.
