Novo Nordisk Sheds $70B as Wall Street Slashes Its Weight-Loss Crown
The Ozempic and Wegovy drugmaker just lost a ton of weight on Wall Street. Once Europe’s most valuable company, Novo NordiskNVO plunged 30% on Tuesday after it issued a profit warning ahead of Q2 results. The crash erased $70B in market value, fueling word that Novo has lost its lead.
- NVO slashed its 2025 sales growth high points from 21% to 14%, and cut operating profit expectations by up to 14% — sharp downgrades that signal deepening challenges ahead.
- Fierce competition, widespread compounded knockoffs, and a backstab from Hims & HersHIMS slowed traction in the United States, which dragged performance.
What went down: Despite a multi-year head start, Novo was outpaced by Eli Lilly’sLLY stronger drug results, better supply chain, and direct-to-consumer approach. Early demand miscalculations led to shortages, opening the door for compounded knockoffs that 1M+ Americans still use today. Additionally, stumbling over a missed Canadian patent renewal will trigger a fresh generics flood in 2026, deepening the company’s wounds. Add in underwhelming trial data and an executive shakeup, and Wall Street appears to have voted that this drugmaker is weighed down for good.