Business

LLY, Novo Nordisk Stocks Dominate Obesity Despite Amgen (NYSE: LLY) Entry

Weight loss pills

Hail / iStock via Getty Images

Bank of America argued that Eli Lilly (NYSE:LLY) and Novo Nordisk (NVO) (OTCPK: NO) are the “undisputed leaders” in the obesity and diabetes treatment market despite encouraging Phase 1 data posted by Amgen (NASDAQ:AMGN) recently for weight loss therapy being studied AMG 133.

new (NVO) and Lilly (LLY) is racing to dominate the weight loss market in the United States, where about 74% of adults are classified as obese or overweight, two medical conditions closely related to Type 2 diabetes.

Despite recent supply problems, Novo (NVO) has led the US market for obesity treatments since the FDA approved Wegovy (semaglutide) injection in June 2021 for Chronic weight control in adults.

After winning US approval for the diabetes therapy Mounjaro, Lilly (LLY) has accelerated the development of dual GIP and GLP-1 agonists, also known as tirzepatide for weight loss with the final two Phase 3 trials scheduled ends in April 2023.

However, Wall Street does not exclude the upstarts. In early October, Amgen (AMGN) shares rallied after Morgan Stanley gave a positive view of their experimental weight loss therapy AMG 133, citing a multi-billion dollar potential.

However, BofA was more cautious. “While the AMG133 data seem encouraging based on our conversation with KOL, Lilly and Novo are still years ahead of the pace of development/commercialization of obesity and Type 2 diabetes, ” analysts led by Geoff Meacham wrote after the Amgen report (AMGN) Phase 1 update earlier this month.

They note that data from a placebo-controlled trial of 133 subjects, presented at a medical event on December 3, showed weight loss of up to 8% after a single injection of AMG 133 and a loss of up to 8%. 15% of weight after three monthly injections.

However, BofA notes that its KOLs remain cautious about AMG 133’s long-term outlook for tolerance and safety, which, they say, requires more risk mitigation due to the mechanism of action. and its new method.

AMG 133 is a dual-specific molecule designed to act as both a glucose-dependent insulinotropic polypeptide receptor (GIPR) and a glucagon-like peptide-1 (GLP-1) agonist. by Novo (NVO) semaglutide is an analogue of the human hormone GLP-1 and of Lilly (LLY) upcoming opponent tirzepatide activates both GIP and GLP-1 receptors.

Meacham and team wrote: “We continue to think that AMG133 requires a more significant risk reduction, not only in obese patients but also in Type 2 diabetic patients provided with the modality and Novel MoA.

Arguing that about 20% of obese people also have Type 2 diabetes, the analysts also note that patient overlap is a reason for their concern. Topics in Amgen’s (AMGN) trial AMG 133 were obese according to their BMI measurements but without diabetes or other medical conditions.

Citing less frequent and less frequent dosing in the trial, analysts still expect a competitive profile for AMG 133 against semaglutide and tirzepatide, which have demonstrated weight loss, respectively. are ~14% and 14% – 20%.

Comments on Novo’s pro-domination attributes (NVO) and Lilly (LLY) in the weight loss market, BofA cites first-mover advantage and evidence supporting the long-term safety/tolerability of their respective treatments.

Although Amgen’s (AMGN) early-stage data, analysts reiterate Buy rating and $390 per share target on Lilly (LLY), argues that the latter has produced one of the most successful commercial deployments in the history of the GLP-1 group in diabetes.

In addition, BofA predicts that tirzepatide is “on track to become the next $10 billion mega-blockbuster,” with evidence showing a 20% more weight loss effect consistent with bariatric surgery, such as bariatric surgery. like gastric bypass.

Read: Morgan Stanley predicted in July that the market for weight loss treatments is expected to reach $54 billion by 2030.



Source by [author_name]

news7h

News7h: Update the world's latest breaking news online of the day, breaking news, politics, society today, international mainstream news .Updated news 24/7: Entertainment, Sports...at the World everyday world. Hot news, images, video clips that are updated quickly and reliably

Related Articles

Back to top button