A cold shower for the Ozempic manufacturer – The stock falls

Danish pharmaceutical company Novo Nordisk‘s stock was in sharp decline after the company’s experimental drug ziltivekimab failed to reduce the risk of heart attacks and strokes in a large clinical trial.

Novo’s share was down about ten percent immediately after the news. However, the price decline eased during the afternoon, and after 3 p.m. the share was down seven percent at 307 kroner.

According to Novo, the drug ziltivekimab reduced the protein that causes inflammation in the body. However, based on the study, the drug did not reduce the patients’ risk of serious cardiovascular events.

Ziltivekimab is a monthly injection drug with which Novo wanted to strengthen its position in the treatment of cardiovascular diseases.

According to the news agency Bloomberg, the size of the market is estimated to be more than ten billion dollars a year.

According to analysts, the success of zilvekimab would have helped Novo reduce its dependence on the important diabetes drug Ozempic and the obesity drug From Wegovy. Both drugs have been used as weight loss drugs.

According to the company, the research results do not change its 2026 adjusted operating result guidance. Novo says that it will record an impairment related to the drug in the third quarter, which will have no impact on cash flow.

The company plans to continue developing the drug ziltivekimab.