ZACKSยท2025-09-01 15:56Core Insights - Novo Nordisk's Wegovy shows significant cardiovascular risk reduction compared to Eli Lilly's tirzepatide in patients with obesity and established cardiovascular disease [1][2][4] Group 1: Study Results - Wegovy demonstrated a 57% greater reduction in the combined risk of heart attack, stroke, cardiovascular-related death, or death from any cause for patients who adhered to treatment without gaps longer than 30 days [2][9] - In a broader analysis including all treated individuals, Wegovy reduced the risk of heart attack, stroke, or death from any cause by 29% compared to tirzepatide over an average follow-up of 8.3 months [3][9] - The STEER study findings reinforce previous studies supporting the cardiovascular benefits of Wegovy, potentially boosting its sales [4] Group 2: Competitive Landscape - Eli Lilly is a strong competitor, marketing tirzepatide as Mounjaro for diabetes and Zepbound for obesity, with plans for regulatory applications for heart failure and CVD by the end of 2025 [5] - Other companies, such as Viking Therapeutics, are also advancing GLP-1-based candidates, with ongoing studies for their investigational obesity drug VK2735 [6] Group 3: Stock Performance and Valuation - Year-to-date, Novo Nordisk shares have declined by 34.4%, underperforming the industry and the S&P 500 [7] - The company's shares currently trade at a price/earnings ratio of 14.09, lower than the industry average of 14.78 and significantly below its five-year mean of 29.25 [11] - Earnings estimates for 2025 have decreased from $3.90 to $3.84 per share, and for 2026 from $4.58 to $4.09 [14]