Lilly Novo Nordisk Stock Drop: Trump GLP-1 Price Remarks
Here’s a breakdown of the key information from the provided text:
main news:
* Trump Administration’s Plan to Lower GLP-1 Drug Costs: President Trump announced his administration aims to reduce the cost of brand-name GLP-1 weight loss drugs (like Ozempic) to around $150 per month, substantially lower than current prices (cited as up to $1,300).
* uncertainty & Clarification: Dr. Mehmet Oz (Administrator of Centers for Medicare and Medicaid) clarified that negotiations with drugmakers haven’t been finalized yet, despite earlier statements about being ”in the middle of action” with price discussions.
Stock Market Impact:
* Eli Lilly (LLY): Shares closed down 2% on Friday.
* Novo Nordisk (NVO): Shares fell 3% in U.S. trading on Friday.
* Hims & hers Health (HIMS): Shares plunged over 15% (likely becuase they sell cheaper, compounded versions of GLP-1s and face increased competition if brand-name prices fall).
Drugs Mentioned:
* Ozempic: Specifically named by Trump as the “fat loss drug” he was referring to.
* GLP-1 drugs: A category of drugs including Ozempic, used for weight loss and other conditions.
Additional Context:
* The Trump administration previously sent letters to major pharmaceutical companies regarding “most-favored nation” pricing.
* The price comparison was made between costs in London ($130 or less) and New York ($1,300) for the same drug.