Yahoo Finance·2026-02-09 17:02Core Insights - Hims & Hers Health's stock plummeted 25% following the announcement of its plan to sell a compounded version of Wegovy for $49 per month, significantly undercutting Novo Nordisk's pricing [1][4] - Novo Nordisk responded with a lawsuit against Hims & Hers, seeking a permanent ban on the sale of its Ozempic lookalike pill and any compounded versions of its drugs [5][6] - The FDA indicated it would take action against Hims & Hers, potentially restricting access to necessary ingredients for manufacturing similar products [2][4] Company Actions - Hims & Hers initially planned to sell a pill version of Ozempic but reversed its decision by Saturday, indicating a retreat in the face of legal and regulatory pressure [3][4] - The company gambled on the FDA's leniency regarding the copying of Novo Nordisk's GLP-1 weight loss drug but ultimately faced significant legal challenges [4][5] Legal Implications - Novo's lawsuit targets Hims & Hers' ability to compound GLP-1 weight loss drugs using semaglutide, which could result in the loss of Hims & Hers' GLP-1 business if Novo wins [6] - The lawsuit emphasizes Novo's enforcement of its patent rights, which could have broader implications for the telehealth company's product offerings [6]