Novo Nordisk Undercuts Eli Lilly And The Trump Administration, Slashing Its Own Obesity Drug Price
Novo Nordisk (NVO) undercut Eli Lilly (LLY) and the Trump administration on Monday, slashing the cash price of its drugs Wegovy and Ozempic to just $349 a month.
That compares with $499 a month, previously, on Novo’s own website, NovoCare Pharmacy. Lilly’s rival drugs, Zepbound and Mounjaro, still go for the higher price tag on LillyDirect.
Notably, earlier this month the Trump administration reached a deal with both drugmakers to lower the costs of their medicines on the new direct-to-consumer website, TrumpRx. Novo’s drugs will cost $350 each month on TrumpRx, while Lilly’s obesity drug, Zepbound, will go for $346.
Novo Nordisk stock closed up a fraction at 48.46, while Lilly stock lost a fraction, ending the day at 1,021.70.
Expanding Access
The Danish drugmaker says it’s aiming to increase access to its drugs, a highly profitable duo that brought in a combined $7.89 billion in sales during the third quarter alone.
Leerink Partners analyst Michael Cherny sees this serves as another step to expanding the direct-to-consumer market for weight-loss drugs. The news should be an incremental positive for CVS Health and GoodRx, as the reduced self-pay options will be available through outlets like theirs.
He also noted that the more competitive offering — $199 a month for the first two months and then $349 per month thereafter — could put some pressure on Hims & Hers Health, the telehealth giant known for compounded semaglutide.
“While HIMS will continue to garner value through its personalized offering, the offset of price competition is just getting louder,” he said. “And notably this new Novo offering does not mention HIMS, after HIMS noted it was in discussions to work with Novo on its most recent earnings call.”
Hims stock sank 3.8% to 35.58.
Follow Allison Gatlin on X/Twitter at @AGatlin_IBD.
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