The Danish pharmaceutical giant Novo Nordisk is executing a multi-pronged strategy to regain ground in the crucial US weight-loss drug market, even as its share price languishes near multi-year lows. The company is launching new products, forging key partnerships, and aggressively buying back its own stock, all while navigating a brutal price war and a significant internal restructuring.
At the heart of its US push is the expansion of access for its high-dose injection, Wegovy HD. The 7.2-milligram dose is now available for self-payers in the United States via the GoodRx platform, priced at $399 per month or $1,197 for a three-month supply. This move is designed to retain patients whose weight loss has plateaued on standard doses, preventing them from switching to a competitor.
Simultaneously, Novo Nordisk is bolstering the case for its oral Wegovy pill, introduced in January. Recent data from the ORION study, presented at a conference in San Diego, showed the 25-milligram tablet achieved significantly greater weight loss than Eli Lilly’s rival pill, Foundayo. The data also indicated better gastrointestinal tolerability and a lower discontinuation rate. In a separate survey, 84% of patients preferred the profile of Novo Nordisk’s oral treatment. This comes as Eli Lilly’s Foundayo already commands about 60% of the US market for weight-loss pills, putting intense pressure on Novo Nordisk to fight back.
This commercial offensive runs parallel to a profound internal realignment. Last September, the company cut 9,000 jobs, but it is now hiring 2,000 new specialists, with approximately 1,400 positions already filled—nearly 400 of them at its Danish headquarters. CEO Mike Doustdar is focusing all resources on the lucrative diabetes and obesity segments. A high voluntary turnover rate of 5% is aiding this shift; management expects a total staff reduction of almost 18% by the end of 2026, allowing it to wind down unprofitable areas without costly severance packages.
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Financially, the company is bracing for a challenging year, forecasting a currency-adjusted sales decline of up to 13%. To defend its margins amid fierce competition, Novo Nordisk has announced it will slash list prices for Wegovy and Ozempic by up to 50% starting in January 2027. It is also turning to technology, entering a new partnership with OpenAI to accelerate drug development by using artificial intelligence for data analysis and supply chain tasks.
The stark contrast between these operational moves and the stock’s performance is glaring. Shares currently trade around 34.55 euros, having lost over 22% since the start of the year. The stock is more than 50% below its 52-week high above 70 euros, and a Relative Strength Index (RSI) reading of 25 signals deeply oversold conditions. A failed clinical trial in February further dampened investor sentiment.
Management is leaning heavily on a share buyback program to provide support. The program, initiated in February, has a total volume of up to 15 billion Danish kroner. By mid-April, approximately 2.8 billion kroner had already been deployed to repurchase shares. Analysts suggest that if support holds at the recent low of 30.48 euros, the buyback could help stabilize the price in the near term. The market awaits the first-quarter report due on May 6th, which will offer crucial early data on prescription trends for the new oral pill and the HD injection’s launch.
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