Shares of Novo Nordisk NVO gained 4.2% on Sept. 11 after the company presented encouraging detailed efficacy data from the early-stage study of its new, investigational oral obesity pill, amycretin, at the European Association for the Study of Diabetes meeting in Madrid.

NVO’s Amycretin Shows Efficacy Superior to Wegovy in Study

Novo Nordisk’s oral obesity pill, amycretin, showed faster weight loss than its blockbuster weekly injection for chronic weight management, Wegovy (semaglutide), in the phase I study. Per the data, patients receiving the highest dose of amycretin experienced a 13.1% reduction in body weight after 12 weeks, while those receiving the low dose lost around 10.4%.

In stark contrast, Wegovy only showed a weight loss of around 6% after 12 weeks and around 15% after 68 weeks in clinical studies.

Treatment-related adverse events in the phase I study of amycretin for obesity were mostly mild to moderate in severity, which were in line with those of Novo Nordisk’s semaglutide drugs. Semaglutide is approved as Ozempic pre-filled pen and Rybelsus oral tablet for type II diabetes and as Wegovy for obesity.

We remind the investors that Novo Nordisk had previously presented initial efficacy data from the phase I obesity study on amycretin, at its Capital Markets Day in March 2024. The company had reported that treatment with the candidate resulted in a 13.1% weight reduction after 12 weeks compared with a decrease of 1.1% in the placebo arm.

Year to date, shares of Novo Nordisk have jumped 30.7% compared with the industry’s 24.2% growth.

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The greater efficacy observed in the case of oral amycretin compared with Wegovy was due to the differences in the mechanisms of action of the drugs. Wegovy contains semaglutide, which only targets a hormone called GLP-1 to trigger weight loss. However, amycretin targets GLP-1, as well as a second hormone called amylin. Notably, amylin originates in the pancreas and is responsible for reducing food intake by delaying stomach emptying, as well as decreasing blood glucose levels, leading to the reduction of body weight.

Impact of NVO’s News on Other Obesity Drug Makers

The encouraging results from the phase I study of amycretin also led to the rise of the share prices of other drugmakers on Wednesday like Eli Lilly LLY, Viking Therapeutics VKTX and Structure Therapeutics GPCR, who are also developing oral pills for obesity treatment.

The obesity market is currently dominated by Novo Nordisk and Lilly,which are the only two companies to market obesity drugs. Lilly’s drug is called Zepbound and contains an ingredient called tirzepatide. Both Wegovy and Zepbound have witnessed unparalleled success in this market space due to exceptionally strong demand. However, both Wegovy and Zepbound are administered as weekly injections. Novo Nordisk, Lilly and some other drugmakers are making oral medicines for obesity, which can improve patient convenience.