Novo Nordisk shares received a much-needed year-end boost as the maker of Wegoby became the first drug company to win approval for a GLP-1 pill for weight loss. One analyst called it “redemption for investors” after the worst year in stock history.
U.S. Food and Drug Administration approves Novo Nordisk’s GLP-1 tablets, giving Danish drug giant a head start over U.S. rivals Eli Lillythe company has also applied for FDA approval for its oral weight loss drug olforglipron.
“As the first oral GLP-1 treatment for people with overweight or obesity, Wegovy tablets provide patients with a new and convenient treatment option that can help them start or continue their weight loss journey,” Novo CEO Mike Doesder said in a statement late Monday.
The stock was most recently trading up 7.8%.
Eli Lilly stock outperformed Novo Nordisk in 2025.
Novo plans to launch oral Wegovy, or “Wegovy in a pill,” in the U.S., its largest market, in early January 2026. The company has also applied to the European Medicines Agency (EMA) and other regulatory authorities for approval of the pill.
Novo said Wigovy’s starting dose is 1.5 milligrams and will be available through pharmacies and some telehealth providers with a savings offer of $149 per month.
According to a deal Novo Nordisk signed with the Trump administration last month, cash-paying patients will have access to the same prices through President Donald Trump’s direct-to-consumer website TrumpRx. Drug pricing has become a top priority this year as the U.S. seeks to reduce costs for consumers.
Redemption to investors?
The approval caps a tumultuous year for Novo, which featured multiple guidance cuts, mass layoffs, a dramatic management shakeup and a high-profile public bidding war with U.S. rival Pfizer.
Henrik Hallengreen Løstsen, an analyst at Denmark’s Juske Bank, told CNBC that Novo’s latest news is “a relief for investors,” especially after a year in which confidence in Novo’s ability to compete with the likes of Eli Lilly and others was shaken and the stock price halved.
“Given that Novo plans to launch the product in early January 2026, it is a welcome ‘Christmas present’ for Novo’s investors and for patients, who typically begin their New Year’s weight loss resolutions,” said Hallengreen-Laustsen.
“The Wegovy pill will be a key growth driver for the next few years and an important competitive tool against Eli Lilly and Co., whose oral anti-obesity drug is expected to be approved in March-April 2026,” he said, adding that the Wegovy pill’s approval covers both weight management and risk reduction for cardiovascular adverse events such as stroke and heart attack.
Novo’s clinical data looks “excellent,” Rajesh Kumar, head of European life sciences and healthcare equity research at HSBC, told CNBC’s “Squawk Box Europe” on Tuesday.
“In terms of efficacy, Novo’s product appears to be better, at least in clinical trials,” Kumar said. “The tolerability looks very attractive compared to (Lily’s Orforglipron).
Wegovy’s pills have so far shown to be able to reduce patients’ weight by an average of 16.6% over about a year. Meanwhile, Lilly’s tablets led to 12.4% weight loss in late-stage clinical trials.
“Novo may actually have an advantage, but it depends entirely on how they do it,” he added. Still, Kumar noted that Wegoby’s oral medication must be taken on an empty stomach, which may make it easier for doctors to prescribe orforglipron (which doesn’t have similar restrictions) to patients from a compliance standpoint.
Novo said it does not believe dietary restrictions on oral Wigovy are a significant barrier because it can be taken on an empty stomach in the morning and patients only need to wait about 30 minutes before eating.
Lilly reported positive results from a maintenance study in which patients were switched directly from receiving the company’s injectable drug Zepbound. novo nordiskrival shot of Wegoby. This could help Lilly “maintain some market share,” Kumar said. “That’s something we have to look at,” he added.
worst year ever
Analysts and investors alike are mostly optimistic about the U.S. launch of Wigovy tablets, but investors will be watching to see how Novo and its new tablets stack up against Lilly’s oral drug. First mover advantage does not guarantee future sector advantage and success.
Ozempic, which contains the same active ingredient semaglutide as Wigovy, is approved to treat type 2 diabetes and has a four-year lead over Lilly rival Munjaro. Still, as Novo struggles to meet demand, Lilly currently overtakes Novo in U.S. prescription volume, allowing the compounding pharmacy market to flourish. Lilly’s jab has also been shown to lead to greater weight loss.
This caused Novo shares to plummet by about 50% in 2025, making it the worst year in stock history.
Investors have also expressed concerns about Novo’s pipeline and whether it will be unable to compete with other promising market entrants such as Lilly and giant Pfizer. AstraZenecaand Roche.
— CNBC’s Annika Kim Constantino also contributed to this report.
