Novo Nordisk’s (NVO) new weight-loss pill recorded 18,410 prescriptions in the U.S. during its first full week of availability, according to market data from IQVIA (IQV).
Claim 50% Off TipRanks Premium
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
Analysts and investors are closely watching sales and prescription data for Novo Nordisk’s Wegovy pill to see if the Danish pharmaceutical company can gain market share and leverage its first-mover advantage over archrival Eli Lilly (LLY) in an increasingly competitive weight-loss market.
Novo Nordisk beat Eli Lilly to market with its weight-loss pill and the European pharma giant is counting on the medication to be a blockbuster and help it regain market share after issuing profit warnings and seeing its growth decline over the past year.
Popular with Consumers
Weight-loss pills are expected to be a gamechanger for both Novo Nordisk and Eli Lilly. Until now, weight-loss medications were taken by injection using needles. Pills are anticipated to be more palatable and popular with consumers, leading to increased sales.
In a note to clients, Guggenheim wrote that the number of Novo Nordisk’s weight-loss pill prescriptions out of the gate “is tracking ahead of other GLP-1 launches.” NVO stock has risen about 25% so far this year, largely due to high expectations for the Wegovy pill.
Is NVO Stock a Buy?
Novo Nordisk’s stock has a consensus Moderate Buy rating among nine Wall Street analysts. That rating is based on four Buy, four Hold, and one Sell recommendations issued in the last three months. The average NVO price target of $57.40 implies 9.61% downside from current levels.
