Citigroup: The prescription volume of Novo Nordisk's weight loss drug is crucial to stock price, and Eli Lilly is launching a competitor.

Citigroup analyst wrote that the future stock price performance of Novo Nordisk will depend on the prescription trend of its weight loss drug Wegovy after Eli Lilly launches a competing pill. The prescription trend of oral Wegovy has been strong, but Eli Lilly has applied for approval for its new pill in 40 countries, while Novo Nordisk has taken a more selective approach. Citigroup stated that this suggests Eli Lilly's Foundayo pill may launch ahead of oral Wegovy in many global markets. "We expect Novo Nordisk to focus on defending the superior weight loss efficacy of oral Wegovy over Foundayo." Foundayo has some drug interaction restrictions that oral Wegovy does not have, but Foundayo does not have the requirement of not eating or drinking within 30 minutes of taking the pill like oral Wegovy. The pricing of these two pills is the same.