Weight loss drugs are at the forefront of demand in the pharmaceutical sector as major drug manufacturers Novo Nordisk (NVO) and Lilly (LLY) undergoing clinical trials for new GLP-1 drugs. And, one analyst says the impact could affect apparel markets, not just food sales.

Bank of America Senior Analyst Geoff Meacham joins Yahoo Finance's Anjalee Khemlani to provide his take on the economic impact of weight loss drugs and how soon it could be felt in select industries.

Meacham notes that while he sees various industries being impacted within the next two years, these industries "should be fine." Immediate impact is hard to gauge, according to Meacham, as a threshold would have to be reached to "move the needle" on expected hits to volumes.

For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live. Additionally, Yahoo Finance will be providing more analysis on the healthcare industry in its week-long special Healthcare: Industry Checkup.

Video Transcript

ANJALEE KHEMLANI: To your point, you've definitely spent a lot of time on this this year. You were one of the ones who had a lot to say about what the impact will be for other sectors. We've seen a little bit of pushback on that idea that it might be-- the sky is falling essentially for other food areas, food and beverage.

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What do you think now, a couple of months out seeing to your point, the sort of limited, patient population that has been impacted so far. Do you still think that this is something that has a long-term broader impact for other sectors?

GEOFF MEACHAM: You know. I would say, I think it will have a long-term broader impact-- things like everything from food, beverage, apparel, even Med devices. But what I would say, though, is that the next one to two years I think should be fine. It should be a normal market as the GLPS roll out.

And all of our conversations, it really ends up being how many folks are going to be on drug-- mostly in the US. And we have about one or so on these GLP-1s for-- officially, for diabetes today. Sorry, for obesity today.

But if you get to five million in a few years and that starts to move the needle on, things like volume assumptions, and at the end of the decade when we have 25 to maybe 50 million people in the US that will have seen these drugs that does really have a pretty significant long term impact. But the next couple of years, I still think it's about the rollout and initial adoption.

ANJALEE KHEMLANI: Absolutely. And certainly, seeing the long-term use is also part of that equation. Tell me about the sector overall. Health care this year has had an interesting ride aside from GLP-1s. What would you have to say about how the sector perform this year?