Novo Nordisk Battles Market Shifts Amid Obesity Drug Rivalry

Novo Nordisk lowered its forecasts due to slowing sales of its obesity drugs amid competition from Eli Lilly and generic rivals. Despite a better-than-expected Medicare deal, Novo's shares tumbled as its new CEO faces challenges in regaining market share. The company also competes with Pfizer for biotech Metsera.

Novo Nordisk has announced a reduction in its full-year forecasts as the pharmaceutical company's obesity drug sales face a slowdown. The Danish firm's shares experienced fluctuations, initially boosted by a favorable U.S. Medicare pricing deal, yet ultimately declined.

The new CEO, Mike Doustdar, is steering a turnaround strategy to combat the competitive pressures from Eli Lilly, which recently posted stronger financial results and revised its 2025 guidance upwards.

Facing significant challenges, Novo Nordisk is also locked in a takeover battle with Pfizer for biotech company Metsera, while dealing with the unlawful mass compounding of its drugs in the U.S.

(With inputs from agencies.)