Novo Nordisk A/S
The study has implications for other drugmakers including Eli Lilly And Co
What To Know: The Independent Data Monitoring Committee recommended Novo Nordisk cut its kidney outcomes trial FLOW short after interim analysis showed the treatment was sure to succeed. The trial was halted close to a year ahead of schedule.
The trial tested whether semaglutide could delay the progression of chronic kidney disease. Semaglutide is the active ingredient in Ozempic, Novo Nordisk's diabetes drug. It's also the active ingredient in the company's weight-loss drug Wegovy.
Barclays reportedly said in a note that drugs such as Ozempic have "therapeutic benefits far beyond their original intended purpose," per Reuters.
Eli Lilly shares got a lift this week from the recommendation as the company makes a similar drug to Novo's Ozempic called Mounjaro. On the flip side, dialysis firm DaVita saw its shares slide as the company provides kidney care services. The market is supported by obesity and diabetes, which contribute to kidney damage.
In a new statement, DaVita said it believes there may be limited application of the results for the overall population suffering from chronic kidney disease.
"Although it is nearly impossible to draw any conclusions from the FLOW study at this point because the study results have yet to be released, based on the inclusion criteria for study participants, we believe there may be limited application of the FLOW study findings to the overall CKD patient population," DaVita said.
NVO, LLY, DVA Price Action: At publication time, Novo Nordisk shares were up 1.78% at $100.60, Eli Lilly shares were up 0.57% at $608.70 and DaVita shares were down 4.20% at $72.70, according to Benzinga Pro.
