Novo Nordisk's market cap outstrips Tesla amid promising obesity drug trials
Known for its innovative obesity and type 2 diabetes medications, Wegovy and Ozempic, Novo Nordisk has now reported promising outcomes from early trials of a novel weight-loss compound named amykretin.
9 March 2024 20:44
The data appear highly promising. In the preliminary tests, subjects experienced an average weight loss of 13.1 percent over three months. For context, trials of the firm's prior medication, Wegovy, indicated a 6 percent weight loss at the three-month mark, reaching 15 percent by week 68.
They surpassed Tesla
The investment community welcomed these results with great enthusiasm. Novo Nordisk's stock value saw an 8 percent rise, and by Thursday, the company’s market value reached approximately £455 billion according to Reuters. This leap positioned Novo Nordisk 12th in the global rankings of the most valuable companies, up from 14th.
“Novo has clearly indicated that amykretin could be a cornerstone for the firm’s rapid growth,” Guggenheim analyst Seamus Fernandez told Reuters.
Investors believe in new drugs
The excitement around Novo Nordisk’s experimental treatments currently accounts for about half of its market valuation, Berenberg analysts noted last week.
