Novo Nordisk’s stock (NVO) surged over 8% on Friday following positive early-stage clinical trial results for its new weight-loss drug, amycretin. The once-weekly injection, similar to the company’s successful Wegovy and Ozempic, demonstrated weight loss of up to 22%.
Table Content:
Amycretin’s Potential in the Weight Loss Market
Amycretin, a novel unimolecular GLP-1 and amylin receptor agonist, was tested on 125 individuals for 36 weeks with varying dosages. The highest dose (20 mg) yielded the most significant weight loss. This development is particularly encouraging for Novo Nordisk, as it follows a previous disappointment with an oral version of the drug that produced less impressive results and raised concerns about potential side effects. While an oral formulation of amycretin had previously yielded disappointing results, this injectable version holds significant promise.
Addressing Investor Concerns and Market Competition
Mizuho healthcare expert Jared Holz noted that these positive findings could significantly boost Novo Nordisk’s shares, which have underperformed recently due to concerns about the company’s obesity pipeline. Holz suggested that amycretin could become a leading obesity treatment if later-stage trials confirm the efficacy and safety observed in these early results. This positive development comes at a crucial time for Novo Nordisk as it faces increasing competition in the weight-loss market.
Mechanism of Action and Side Effects
Amycretin works similarly to other GLP-1 receptor agonists by mimicking a hormone that promotes satiety and reduces hunger. However, it also incorporates a different hormone found in the pancreas. Similar to existing GLP-1 drugs, reported side effects were mild to moderate gastrointestinal issues, including nausea and vomiting. This mechanism, while similar to existing treatments, offers a unique approach by combining two hormones for a potentially more effective weight-loss solution.
Looking Ahead: Future Trials and Development
Novo Nordisk is planning larger phase III trials to confirm these promising early-stage results. While the initial data is encouraging, further research is necessary to validate the long-term efficacy and safety of amycretin. The company previously faced setbacks with another product, CagriSema, which produced similar weight loss but relied partly on semaglutide, the same active ingredient in Ozempic and Wegovy.
Martin Lange, executive vice president for development at Novo Nordisk, expressed optimism about the potential of amycretin as a novel weight-loss therapy. He emphasized that the results from the phase 1b/2a trial support the weight-lowering potential observed in earlier studies with the oral formulation. The company remains committed to developing innovative solutions for the treatment of obesity.
