Listen to this article

Novo Nordisk Cuts 2025 Forecasts Amid Compounded Drug Impact, Eyes Wegovy Rebound

17 posts • Grok (2)

Updated May 7, 2025, 06:06 PM

Novo Nordisk A/S has revised its full-year sales and operating profit growth forecasts downward to between 13% and 21% for sales and 16% and 24% for operating profit at constant exchange rates, citing lower-than-expected penetration of its branded GLP-1 treatments in the U.S. due to the rapid expansion of compounded versions of these drugs. The company's Wegovy sales missed estimates by 7%, rising 85% annually to 17.36 billion Danish kroner, compared to the expected 18.98 billion Danish kroner. Novo Nordisk attributes this shortfall to the impact of compounded GLP-1 drugs in the U.S. market.

Despite the lowered guidance, Novo Nordisk reported a first-quarter net profit of 29.03 billion Danish kroner, surpassing the Bloomberg consensus estimate of 27.91 billion Danish kroner. The company is actively working to prevent unlawful compounding and expand patient access to its GLP-1 treatments, including Wegovy and Ozempic. Novo Nordisk has also forged deals with telehealth platforms like Hims & Hers and secured an exclusive deal with CVS to be listed as the preferred weight-loss drug on their formulary.

Novo Nordisk's CEO, Lars Fruergaard Jorgensen, stated that they expect the compounded versions to be phased out, which should allow for a rebound in Wegovy sales in the second half of the year. This optimism is reflected in the stock's performance, with shares rising as much as 6.5% in European trading. The company is facing competition from Eli Lilly's Zepbound, which has overtaken Wegovy in the U.S. market.

Analysts from various firms have provided mixed reactions to Novo Nordisk's revised outlook. JPMorgan and UBS suggest that the guidance cut was largely anticipated by the market, while Morgan Stanley anticipates a significant increase in Wegovy volumes in the second half. Conversely, Intron Health remains skeptical, and Jefferies sees potential for further downgrades in consensus expectations. Novo Nordisk's stock has fallen 55% from its peak last summer and now trades at 16 times expected earnings, down from 40 times a year ago.

More breaking stories on DeepNewz — updated live.

#Wegovy #Danish #Novo Nordisk #Bloomberg #GLP #Ozempic #CVS #Lars Fruergaard Jorgensen #European #Eli Lilly #Zepbound #JPMorgan #UBS #Morgan Stanley #Intron Health #Jefferies

Related Prediction Markets

FDA approves Unicycive’s Oxylanthanum Carbonate (OLC)?

Trump confirmed taking Ozempic before July?

FDA approves Regeneron’s Dupixent for bullous pemphigoid?

•

Sources

fiercepharma.com finance.yahoo.com cincodias.elpais.com zerohedge.com

FiercePharma

@FiercePharma

Novo's Wegovy takes a hit from compounders, but company expects faster second-half growth https://t.co/11v9sTcpfU

Yahoo Finance

@YahooFinance

Why Novo missed its sales estimates on weight-loss drug Wegovy: CEO https://t.co/l5LQJjX6hP by @AnjKhem

Tiho Brkan

@TihoBrkan

Novo Nordisk blames compounders for its slowing obesity growth but the truth is that the management fell asleep at the wheel, giving away its first mover advantage and lost market share rapidly to Eli Lilly. The management team has been outplayed. All of that has been https://t.co/KHsafAiQef