Novo Nordisk anticipated to keep up lead in diabetes market over Eli Lilly, report finds

Though Eli Lilly (NYSE:LLY) expanded its diabetes portfolio in Could with the approval of Mounjaro (tirzepatide), rival Novo Nordisk (NVO) is seen as sustaining its lead within the sort 2 diabetes (T2D) remedy market, in accordance with GlobalData.

In a brand new report, GlobalData mentioned that Novo’s (NVO) glucagon-like peptide-1 (GLP-1) franchise — together with Rybelsus (oral semaglutide), Victoza/Saxenda (liraglutide), and Ozempic/Wegovy (semaglutide) — has had a powerful yr as gross sales are up 44% (assuming fixed trade charges) throughout the primary three quarters of 2022.

General GLP-1 gross sales for Novo (NVO) within the first 9 months have been ~DKK 59B (~$8.2B), led by Ozempic with ~DKK 42.8B (~$6B).

Lilly’s (LLY) diabetes portfolio is dominated by Trulicity (duraglutide), a once-weekly injection, that introduced in $1.85B in gross sales in Q3 2022, a 16% improve from the year-ago interval. Its subsequent best-selling diabetes med, Jardiance (empagliflozin), had Q3 gross sales of ~$543M, a 47% year-over-year improve.

Mounjaro, the first-ever diabetes treatment that prompts GLP-1 and glucose-dependent insulinotropic polypeptide (GIP) receptors, noticed Q3 gross sales of $187M.

Mounjaro is more likely to develop into a blockbuster for Lilly (LLY) not essentially as a diabetes drug, however as a weight reduction remedy, although it’s not but authorized in that indication. In a head-to-head trial in opposition to Wegovy — which is authorized for weight reduction — Mounjaro bested it by way of A1C and weight reductions.

“Though Lilly (LLY) has launched Mounjaro previously yr and has a triple agonist, retatrutide, a GLP-1RA/GIP/glucagon receptor (GR) getting into Part III of growth, Novo Nordisk (NVO) stays more likely to preserve a major share of the GLP-1 market,” famous GlobalData pharma analyst Akash Patel. “Nonetheless, Lilly (LLY) will steal a big market share from semaglutide and doubtlessly develop into the dominant GLP-1RA supplier.”

Patel added that because the incidence of T2D is rising world wide, there’s room for each corporations to extend market share.

Globally, the diabetes therapeutics market is anticipated to rise from ~$58.5B in 2021 to $91.7B by 2028, in accordance with The Perception Companions. That is a CAGR of 6.8%.

Regardless of Novo’s (NVO) spectacular progress, Looking for Alpha contributor Daniel Schonberger sees the corporate’s shares as expensive and charges the inventory a maintain.