Novo's Stock Increases Following Anticipated US Medicare Price Reductions

Written by Emily J. Thompson, Senior Investment Analyst

Source: Reuters

Updated: Nov 26 2025

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Source: Reuters

Novo Nordisk's Stock Performance: Novo Nordisk shares rose 5% after U.S. Medicare announced negotiated prices for 15 of its drugs, including Wegovy and Ozempic, which will take effect in 2027.
Impact of Price Cuts: Analysts predict a low single-digit impact on global sales for Novo Nordisk, estimating a potential sales hit of around $900 million, which has already been factored into the company's forecasts.
Market Reactions: Following a previous drop in shares due to a failed Alzheimer's treatment, Novo Nordisk's stock rebounded, contrasting with AstraZeneca and GSK, whose shares remained flat despite anticipated price cuts.
Boehringer Ingelheim's Situation: Boehringer Ingelheim reported that over 80% of its U.S. business is now subject to government-negotiated prices, with its diabetes and lung disease drugs included in the negotiations.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.