Novo Nordisk Pushes Back on $49 Wegovy Alternative
Novo Nordisk said Thursday it will pursue legal and regulatory action against Hims & Hers after the telehealth firm announced plans to sell a low-cost copy of Novo’s blockbuster Wegovy weight loss pill.
Novo accused Hims of illegal mass compounding, arguing the practice poses patient safety risks and undermines the U.S. drug approval framework.
“Novo Nordisk will take legal and regulatory action to protect patients, our intellectual property and the integrity of the U.S. gold-standard drug approval framework,” the company said.
Novo also alleged that Hims has a history of misleading consumers with GLP-1 knockoffs, noting the FDA has previously warned the company about its advertising practices.
Market Reaction: GLP-1 Pricing Fears Resurface
The announcement rattled the weight-loss drug space:
- Novo Nordisk shares: down ~7%
- Eli Lilly shares: down ~7%
- Hims & Hers stock: initially surged, then pared gains after Novo’s response
Hims said its oral semaglutide product would cost $49 for the first month, then $99 per month under a five-month plan — far below Novo’s $149 list price for Wegovy.
Patent Dispute and Absorption Questions
Semaglutide — the active ingredient in Wegovy and Ozempic — remains patent-protected in the U.S. until 2032.
Hims argues its pill is legal because it is “personalized” and compounded, using a different formulation and delivery system than FDA-approved Wegovy.
Novo disputes that claim, highlighting that its oral Wegovy pill relies on SNAC technology, which enables semaglutide absorption in pill form — a complex process that may be difficult to replicate safely.
It remains unclear whether Hims’ formulation can achieve comparable bioavailability.
From Partners to Adversaries
The clash marks a sharp reversal in the companies’ relationship.
- As recently as last year, Novo and Hims partnered to offer discounted injectable weight-loss treatments
- Novo ended the collaboration just two months later, accusing Hims of deceptive marketing that endangered patients
Novo launched oral Wegovy in the U.S. in early January. CEO Mike Doustdar said this week that 170,000 patients are already taking the medication.
Competitive Pressure Intensifies
The dispute comes at a difficult moment for Novo:
- Shares fell nearly 50% in 2025, the company’s worst year on record
- The stock is down another 15% year-to-date
- Novo recently forecast 2026 sales and profit declines of 5%–13%, citing U.S. pricing pressure and loss of exclusivity in markets like Canada and China
By contrast, Eli Lilly expects ~25% sales growth this year and is preparing to launch its own oral GLP-1 pill, orforglipron, pending FDA approval.
WSA Take
This isn’t just a legal fight — it’s a stress test for GLP-1 pricing power.
Hims is pushing the boundaries of compounding to force affordability into a market built on exclusivity. Novo is fighting to protect both its IP and the premium economics that underpin its valuation.
For investors, the message is clear:
The GLP-1 gold rush is entering its margin-compression phase, and regulatory outcomes — not just clinical data — may determine who wins next.
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