Can These 2 Biotechs Beat Eli Lilly and Novo Nordisk in Weight-Loss Drugs?

Industry Overview - Eli Lilly and Novo Nordisk dominate the weight-loss medicine market, driven by the popularity of their drugs Zepbound and Wegovy, respectively [1] - The weight-loss therapy market could reach $100 billion by 2030, indicating potential for new entrants to profit [1] Company Analysis: Altimmune - Altimmune's lead candidate, ALT-801, shows promise in achieving significant weight loss while minimizing muscle mass loss, which could appeal to specific demographics [3] - The company has over $182 million in cash, sufficient for approximately 24 months based on current operating expenses of $89 million [4] - Altimmune plans to meet with regulators in Q3 to discuss its upcoming phase 3 trial, positioning itself to compete with established players if results are favorable [4] Company Analysis: Terns Pharmaceuticals - Terns Pharmaceuticals is in the early stages of R&D with its only clinical-stage program, TERN-601, currently in phase 1 trials, with data expected in the second half of the year [5] - The company has $241 million in cash and equivalents, projected to last until 2026, with trailing-12-month operating expenses of approximately $104 million [7] - There is currently limited confidence in Terns' ability to compete with Eli Lilly or Novo Nordisk, as early-stage candidates face high failure rates in drug development [7][8]