Novo Nordisk Shares Drop After CagriSema Underperforms Eli Lilly's Weight-Loss Drug

Novo Nordisk's shares fell over 16% after its next-generation obesity drug, CagriSema, underperformed Eli Lilly's rival, Zepbound, in clinical trials. This decline erased nearly $475 billion from Novo's 2024 peak valuation of over $650 billion, returning its stock to pre-Wegovy levels. Analysts note this setback challenges Novo's position in the competitive weight-loss drug market, where demand favors drugs with superior weight-loss results. Meanwhile, Eli Lilly's shares rose amid growing investor interest in obesity treatments.