Novo Nordisk A/S Shares Drop 10% After Cardiovascular Drug Failure
Novo Nordisk A/S shares fell 10% after a phase three cardiovascular drug trial failed, prompting the company to pivot toward a new weight-loss pill in Germany.
Shares of Novo Nordisk A/S dropped 10% following the failure of phase three trials for ziltivekimab, a cardiovascular drug that failed to prevent heart attacks, strokes, or cardiovascular deaths. The setback intensifies investor concerns regarding the company's reliance on obesity and diabetes treatments, which account for more than 90% of its sales, and its ability to maintain long-term growth amid competition from Eli Lilly and Company.
The company has faced a broader financial decline, with its share price falling 70% since 2024. In response to a period of low growth, Novo Nordisk A/S cut 9,000 jobs in September 2025 to manage its cost base.
To pivot its strategy, CEO Mike Doustdar announced the imminent launch of the Wegovy pill in Germany following European Union approval in July. CFO Karsten Munk stated that the company remains committed to the cardiovascular market and is pursuing strategic bolt-on acquisitions to strengthen its research and development pipeline.
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