Novo Nordisk (NVO, Financial) shares rallied 4% Wednesday morning after the drug maker cut the price of its popular weight-loss drug, Wegovy, by more than 50%. The company now offers all doses of Wegovy for $499 per month, down from a previous price of $1,349 for a 28-day supply. In tandem, Novo Nordisk launched NovoCare Pharmacy, an online platform that delivers the FDA-approved drug directly to patients' homes.
The pricing shift and digital rollout intensified competitive pressures, prompting shares of rival Hims & Hers (HIMS, Financial) to slide. Hims & Hers markets lower-cost compounds containing the same active ingredient as Wegovy, putting it at a disadvantage in the expanding weight-loss market.
Dave Moore, Executive Vice President of U.S. Operations and Global Business Development, said NovoCare Pharmacy offers a convenient alternative for cash-paying patients while upholding the company's high-quality standards. Investors will monitor how these strategic moves affect market share amid ongoing industry shifts.
Analysts expect the price cut and online initiative to boost share.
This article first appeared on GuruFocus.免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。