Novo Nordisk Expands Wegovy Price Cut Program, Stock Still Falls 2%

Novo Nordisk NVO announced an update to the savings offer for its popular obesity injection, Wegovy (semaglutide). This update allows cash-paying patients or those with commercial insurance, which does not cover obesity medications in the United States, to purchase the drug at their local pharmacy for a discounted price of $499 per month. 

This replaces the previous offer, which provided Wegovy to cash-paying patients for $650 per month. Patients enrolled in government-funded healthcare programs are not eligible for these savings. Meanwhile, those with commercial insurance that covers Wegovy may pay as little as $0 per month, with a maximum savings of $225 per 28-day supply.

Until this announcement, the $499-per-month offer for Wegovy was only available to eligible patients who placed an order with Novo Nordisk’s new direct-to-patient online pharmacy called NovoCare. The Wegovy-savings program provides another secure option for individuals living with obesity to access the authentic, FDA-approved drug from trusted pharmacies.

Per NVO, this will help mitigate the risks associated with compounded medications, which have been flagged as a concern by leading medical organizations, experts and the FDA. With an FDA-approved treatment like Wegovy, healthcare professionals and patients can have confidence in safety, effectiveness and quality, knowing it has undergone rigorous regulatory review.

However, the Novo Nordisk stock fell 2% yesterday following the announcement, likely reflecting investor concerns that the price reduction could hurt revenues. The move may also signal growing competitive pressure, suggesting that NVO is cutting prices to maintain its market position against rival Eli Lilly LLY. LLY recently announced price reductions for its obesity drug, Zepbound (tirzepatide). Year to date, the stock has lost 12.4% against a rise of 6.7% for the industry.

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NVO’s Announcements Follow a Similar Move by LLY

Novo Nordisk’s efforts to make Wegovy available for a discounted price follow a similar move by Lilly. Last month, LLY also announced that it is reducing the prices of 7.5 mg and 10 mg single-dose vials of obesity treatment, Zepbound, to $499 per month for customers paying through a new self-pay program called LillyDirect Self-Pay Pharmacy Solutions. The 7.5 mg and 10 mg vials are currently priced at $599 and $699, respectively. Prices of 2.5 mg and 5 mg vials are also being reduced to $349 and $499 per month, respectively.

The FDA removed Lilly’s GLP-1 medications, Mounjaro and Zepbound, from its shortage list in December 2024, followed by Novo Nordisk’s Ozempic and Wegovy in February 2025. This decision was based on the agency’s assessment that the companies' supply levels are now sufficient to meet or exceed current demand and are expected to remain stable moving forward.

NVO’s Deal With Chinese Drugmaker for a New Weight Loss Drug

In a separate press release, Novo Nordisk announced signing an exclusive license agreement with China-based United Biotechnology for the latter’s investigational candidate, UBT251. It is a triple agonist of the receptors for GLP-1, GIP and glucagon, currently undergoing early-stage clinical development for the treatment of obesity, type 2 diabetes and other diseases.

United Biotechnology is a wholly-owned subsidiary of Hong Kong-based United Laboratories International Holdings Limited. Through the impending licensing deal, United Laboratories aims to leverage Novo Nordisk’s expertise in developing weight-loss drugs and vast resources to accelerate the global development of UBT251. On the other hand, global rights to the candidate are set to broaden NVO’s portfolio of differentiated potential treatment options that cater to the diverse needs of people living with these highly prevalent diseases.

Per the agreement, Novo Nordisk will gain exclusive global rights (excluding mainland China, Hong Kong, Macau and Taiwan, where United Biotechnology retains rights) to develop, manufacture and commercialize UBT251. In consideration for the grant, NVO is liable to make an upfront payment of $200 million to United Biotechnology, up to $1.8 billion in milestone payments and tiered royalties on sales outside the latter’s territory.

Novo Nordisk A/S Price and Consensus

Novo Nordisk A/S price-consensus-chart | Novo Nordisk A/S Quote

United Biotechnology recently completed a phase Ib study, assessing the safety, tolerability, pharmacokinetics and pharmacodynamics of multiple subcutaneous injections of UBT251 in individuals with overweight or obesity. The study enrolled 36 participants in China across three UBT251 dose groups, administered as weekly subcutaneous injections for 12 weeks using a dose-titration approach.

UBT251’s safety profile aligned with other incretin-based therapies. Adverse events were mostly mild to moderate in severity. In the highest dose group, participants experienced a 15.1% weight reduction from baseline, on average, while the placebo group experienced a 1.5% average weight gain. Novo Nordisk plans to further explore the potential best-in-class properties of UBT251 in subsequent clinical studies, across cardiometabolic disease indications. The closing of the licensing deal is subject to the fulfilment of certain customary and regulatory closing conditions.

NVO’s Zacks Rank and Other Stocks to Consider

Novo Nordisk currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks from the sector are Gilead Sciences GILD and Bayer BAYRY, each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the past 30 days, Gilead Sciences’ earnings estimate for 2025 has improved from $7.81 to $7.87 per share. During the same timeframe, the estimate for earnings per share for 2026 has improved from $8.11 to $8.27. Year to date, shares of Gilead Sciences have gained 15.6%.

GILD’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 19.47%.

In the past 30 days, estimates for Bayer’s earnings per share have increased from $1.14 to $1.19 for 2025. During the same time, earnings per share have increased from $1.23 to $1.28 for 2026. Year to date, shares of Bayer have gained 8.4%.

BAYRY’s earnings matched estimates in two of the trailing three quarters while missing the same on the remaining occasion, the average negative surprise being 19.61%.

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