Novo Nordisk’s Wegovy loses CVS exclusivity, faces product-liability lawsuits over blindness risk, but a new Medicare program opens access to millions of patients.<\/p>\n
When Novo Nordisk\u2019s scientists take the stage at the American Diabetes Association\u2019s Scientific Sessions in New Orleans this week, they will present 40 abstracts \u2014 but the company\u2019s share price has already been buffeted by a series of battles playing out far from the conference floor. The Danish pharma giant enters a critical stretch with its leading GLP-1 franchise under attack on multiple fronts: a lost exclusivity deal at a top US pharmacy-benefit manager, a rising tide of product-liability litigation, and a stock that has shed nearly half its value from last year\u2019s peak.<\/p>\n
The most immediate blow came on 1 June, when CVS Caremark updated its formulary lists and wiped out the preferential status that Wegovy had enjoyed. The pharmacy-benefit manager granted Eli Lilly\u2019s oral drug Foundayo the same tier of coverage as Novo Nordisk\u2019s injectable blockbuster, and it plans to add Lilly\u2019s Zepbound to the preferred list from October. What was once a clear competitive moat for Wegovy has vanished, replaced by a market where doctors\u2019 prescribing habits and real-world outcomes will determine the winner.<\/p>\n
Yet the same week brought an important counterweight. Starting in July 2026, eligible Medicare patients with obesity will be able to access Wegovy for a copay of $50 a month under a new \u201cGLP-1 Bridge\u201d program that runs through the end of 2027. The move unlocks a potential wave of millions of new patients and billions in revenue. Novo Nordisk\u2019s oral Wegovy formulation has already shown momentum: it racked up roughly 1.3 million prescriptions in the first quarter of 2026, making it the most successful GLP-1 launch in US history.<\/p>\n
The company\u2019s legal troubles, however, are intensifying. On 29 May, a new product-liability complaint was filed in the US District Court for the Eastern District of Pennsylvania, alleging that Wegovy and Ozempic caused non-arteritic anterior ischemic optic neuropathy (NAION) \u2014 an irreversible eye condition that can lead to blindness. The case joins a multidistrict litigation (MDL No.?3094) that already bundles thousands of claims related to gastrointestinal and ophthalmic injuries. A Harvard-affiliated study from Mass Eye and Ear found that diabetic patients on semaglutide were four times more likely to develop NAION than those on other treatments, providing the scientific backdrop for the lawsuits.<\/p>\n
Should investors sell immediately? Or is it worth buying Novo Nordisk?<\/a><\/p>\n An entirely unrelated piece of research dropped on 31 May in Fertility and Sterility that could eventually offer a silver lining. The study showed that women who lost at least 10?% of their body weight on semaglutide experienced an average 51?% drop in testosterone levels \u2014 a finding that may open a path toward treating polycystic ovarian syndrome. Novo Nordisk welcomed the independent research but said it has no immediate plans to pursue a formal indication.<\/p>\n Financially, the picture is mixed. Reported revenue jumped 32?% in the latest quarter, but that figure included a one-time 340B effect; excluding it, sales shrank 4?%. For the full year 2026, management expects an adjusted revenue and operating profit decline of 4?to?12?%. The stock recently changed hands at 38.15?euros, down roughly 40?% from its level a year ago and 46?% below the 52-week high of 70.13?euros. The 14-day relative strength index (RSI) stands at 71.6, suggesting a mild overbought condition after a bounce from February\u2019s trough of 30.48?euros.<\/p>\n All eyes are now on the ADA data, which include phase?3 results for CagriSema \u2014 the next big hope in the obesity pipeline \u2014 and phase?2 data for Zenagamtide. A US Food and Drug Administration decision on CagriSema is expected in the second half of 2026. To signal faith in its own prospects, Novo Nordisk is executing a 15-billion-DKK share buyback program that began in February and will run into early 2027. The company already holds roughly 35?million of its own B-shares, representing about 0.8?% of total equity.<\/p>\n