Weight-Loss Drug Forecasts Skyrocket To $150B As Novo Nordisk, Eli Lilly Ramp Up Supply
Written by Emily J. Thompson, Senior Investment Analyst
Source: Benzinga
- Global Weight-Loss Drug Market: Expected to reach $150 billion by early 2030s, up from the previous forecast of $100 billion, driven by Novo Nordisk and Eli Lilly medications.
- Sales Surge: Novo Nordisk and Eli Lilly weight-loss drug sales are rising due to increased supply, demand, and new competitors, leading to revised sales forecasts.
- Consumer Demand: Despite limited insurance coverage, millions are paying out of pocket for weight-loss medications, reflecting a significant unmet medical need.
- Market Growth: Global spending on obesity medications estimated at $24 billion in 2023, projected to hit $131 billion by 2028 with a 27% annual growth rate.
- Significance: The weight-loss drug market is a hot topic; Novo Nordisk faces scrutiny for high drug prices, while Elon Musk predicts affordability improvements.
Analyst Views on NVO
Wall Street analysts forecast NVO stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for NVO is 54.67 USD with a low forecast of 42.00 USD and a high forecast of 70.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
4 Buy
3 Hold
1 Sell
Moderate Buy
Current: 62.230
Low
42.00
Averages
54.67
High
70.00
Current: 62.230
Low
42.00
Averages
54.67
High
70.00
About NVO
Novo Nordisk A/S is a global healthcare company engaged in diabetes care. The Company is also engaged in the discovery, development, manufacturing and marketing of pharmaceutical products. The Company operates through two business segments: diabetes and obesity care, and biopharmaceuticals. The Company's diabetes and obesity care segment covers insulin, GLP-1, other protein-related products, such as glucagon, protein-related delivery systems and needles, and oral anti-diabetic drugs. The Company's biopharmaceuticals segment covers the therapy areas of hemophilia care, growth hormone therapy and hormone replacement therapy. The Company also offers Saxenda product to treat obesity. It offers a range of products, including NovoLog/NovoRapid; NovoLog Mix/NovoMix; Prandin/NovoNorm; NovoSeven; Norditropin, and Vagifem. As of December 31, 2016, it marketed its products in over 180 countries. Its regional structure consists of two commercial units: North America and International Operations.
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.
