Weight loss jabs a shot in the arm for your portfolio?

 
Adam Vettese, market analyst for eToro says:“Eli Lilly’s 170% price hike for Mounjaro in the UK is a bold play in an already booming weight-loss market. The company now holds an estimated 57% share of the obesity drug class, driven by surging demand for Mounjaro and Zepbound. It shows just how much confidence the company has in demand for its blockbuster drug, but it also risks ruffling feathers with health systems and insurers.

“On the other hand, Novo Nordisk, with Ozempic and Wegovy, still has the biggest global footprint and strong heart-health data to back it up. But recent profit warnings and supply hiccups have taken some shine off its stock, and it’s now facing a fiercer fight to keep hold of market share.

“For investors, Eli Lilly arguably offers stronger near term growth and product innovation, but at a higher valuation and with the execution risk of major price hikes and market share battles. Novo Nordisk offers scale and global access but faces margin and momentum challenges. Ultimately, both remain essential players in a rapidly expanding therapeutic area, though their investment cases now differ in risk profile and growth trajectory.”