Danish drugmaker Novo Nordisk (NVO), a top competitor to American pharmaceutical giant Eli Lilly (LLY), is currently exciting investors in Europe. The company’s stock price is up about 2% to $57.7 (DKK 365.35) as of 10:33 a.m. EDT on the Nasdaq Copenhagen Stock Exchange. On Germany’s Xetra, the shares also rose by 2.36% to $57 (EUR 48.94) as of 10:30 a.m. EDT.
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This comes as data points to the company’s Wegovy weight-loss drug as superior to Eli Lilly’s for its heart protection advantages, according to Reuters.
Big Pharma Battle for Billion-Dollar Weight Loss Market
Eli Lilly and Novo Nordisk are among the leading companies competing for dominance in the global weight loss industry. The market is expected to be worth about $95 billion by 2030, according to Goldman Sachs Research (GS).
The news about Novo Nordisk follows Eli Lilly’s recent announcement that it is preparing for regulatory approval and launch of its new weight loss pill, expected worldwide in summer 2026. The pill is expected to be much more appealing to consumers.
The American drugmaker is expecting regulatory go-ahead soon, following the results of a late-stage clinical trial that showed that its new pill helped people lose weight and manage their Type 2 diabetes. Consequently, analysts at British bank HSBC (HSBC), which had been bearish about Eli Lilly, raised their ratings of LLY stock.
Furthermore, Eli Lilly’s shares also jumped in response to the news. However, the company has had to temporarily halt its shipments to the U.K. ahead of a new price increase for its Zepbound weight-loss drug. The planned hike is in response to the White House’s pressure on American drugmakers to lower drug prices domestically.
On the other hand, Novo Nordisk has seen its share slump by over 33% since the start of the year due to U.S. tariffs on European pharmaceutical imports. In response, the Danish drugmaker is looking to ramp up domestic production of its treatment products.
Is NVO a Buy, Sell, or Hold?
At the end of regular trading hours on Friday in the U.S., Novo Nordisk’s stock had risen marginally by less than 1% to reach $56.46. Similarly, it eased slightly lower in after-hours trading, dropping to $56.45.
However, NVO has a Moderate Buy consensus rating on TipRanks based on two Buys and five Holds by Wall Street analysts. The average NVO price is $67.57, standing at a 19.68% upswing potential from the closing price on Friday.
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