Eli Lilly's Weight-Loss Breakthrough Sparks Heart Health Debate Novo Nordisk Faces New Setback

Eli Lilly's top-selling medication, Mounjaro, has demonstrated heart-related benefits for individuals with diabetes, according to the company's statement released early Thursday, suggesting it may be moving toward having this advantage listed on the drug's packaging.

This might harm Novo Nordisk — the labeling for its competitor drug Wegovy already states that the treatment carries a lower risk of significant cardiovascular incidents.

Nevertheless, Novo Nordisk does not view the new research as problematic. The main component of its diabetes and weight-management medications, Ozempic and Wegovy, which is semaglutide, continues to demonstrate the most extensive evidence of effectiveness within the GLP-1 drug category, according to a representative who spoke with Barron’s via email.

GLP-1, also known as glucagon-like peptide-1, is a gastrointestinal hormone responsible for regulating glucose levels and decreasing hunger, which assists individuals in losing excess body fat.

Lilly's medication Mounjaro, which has the same main component as its weight-loss drug Zepbound, showed a 16% reduction in mortality when compared to Trulicity, an earlier form of diabetes therapy.

During the trial, participants taking Mounjaro had an 8% reduced risk of cardiovascular death, heart attack, or stroke compared to those using Trulicity.

The research involved over 13,000 individuals diagnosed with Type 2 diabetes and cardiovascular issues from 30 different nations, according to Eli Lilly. The findings indicated better outcomes for participants' glucose levels, body weight, and renal health when contrasted with Trulicity.

"Ozempic continues to lead the market with a 26% decrease in heart attacks, strokes, and cardiovascular deaths among individuals with type 2 diabetes, while only Wegovy demonstrates a confirmed 20% lower risk of these events in those with obesity," Novo said to Barron’s.

Only Lilly and Novo have weight loss medications authorized by the Food and Drug Administration for sale in the U.S. market.

Over the last 12 months, both Lilly and Novo stocks have declined as investors have reduced their high hopes for the potential scale of the weight-loss drug market. However, Novo stock has performed more poorly.

Lilly shares remained nearly unchanged at $760.74 during initial trading on Thursday. Novo's U.S. depositary receipts fell by 2.1% to $48.97.

Lilly's stock experienced a short-lived increase, while Novo's shares declined during pre-market trading in the moments following the release of the study earlier Thursday, but quickly reverted to their previous levels after the announcement.

Contact Elsa Ohlen at elsa.ohlen@barrons.com