Novo Nordisk Shares Plunge After Disappointing Trial Results

Novo Nordisk shares plunged 20% following disappointing trial results for its latest weight-loss drug, CagriSema.

The results have raised concerns about Novo Nordisk’s competitiveness in the rapidly growing obesity and diabetes drug market. I Photo: Novo Nordisk Facebook

The sharp decline wiped out €90 billion in market valuation on Friday, Tina Teng reported for Euronews.

The Danish pharmaceutical giant announced that its phase 3 trial for CagriSema achieved a weight loss of 22.7% after 68 weeks—lower than the projected 25%. The figure dropped further to 20.4% among patients who failed to adhere to the treatment regimen.

The results have raised concerns about Novo Nordisk’s competitiveness in the rapidly growing obesity and diabetes drug market. The company’s shares experienced the steepest one-day drop in its history, resulting in a 16% decline in year-to-date performance for Europe's largest company.