FDA Declares No Shortage of Popular Weight-Loss Drugs Wegovy and Ozempic

The FDA declared the end of the shortage of Novo Nordisk’s Wegovy and Ozempic, impacting compounding pharmacies selling copies. Stocks of Hims & Hers and WeightWatchers react to this development. Compounding pharmacies will have a grace period as Novo confirms supply meets demand.

The U.S. Food and Drug Administration announced there is no longer a shortage of Novo Nordisk's highly sought-after weight-loss and diabetes medications, Wegovy and Ozempic, a move that may halt the widespread sale of more affordable copies by compounding pharmacies.

Shares of Hims & Hers Health, a company known for advertising its compounded versions during the Super Bowl, took a 22% dive on the day they revealed plans to acquire a facility to manufacture drugs, including Wegovy and Ozempic. This change puts pressure on pharmacies and telehealth providers who benefited from previous supply shortages to rethink their business strategies.

Novo Nordisk’s confirmation signifies a shift as compounding pharmacies face a narrowed timeframe for adjusting to FDA regulations. Meanwhile, industry players express concern over transitioning patients from compounded drugs to approved versions, while significant investments have been made to meet the growing demand for these treatments.