Eli Lilly stocks are down 1.4% in premarket trading this week after the company announced the results of its long-awaited REWIND study, Barron’s reported.
Though REWIND results were positive—Eli Lilly recently reported a 12% reduction in major cardiovascular events with a weekly injection of its diabetic drug Trulicity (dulaglutide)—the company’s shares are suffering. At the same time, shares of Novo Nordisk, a manufacturer that offers a similar drug known as Ozempic, were up 2.1% in premarket trading June 10.
Credit Suisse analyst Vamil Divan said investors were likely looking for a greater risk reduction with Trulicity—one more comparable, perhaps, to Novo Nordisk’s reported 26% risk reduction with Ozempic in 2016. Novo Nordisk also announced June 9 what Barron’s called “promising results” for an oral alternative to Ozempic and Trulicity.
“Based on what we have seen so far we believe Novo’s data are in line with expectations while Lilly’s data have been underwhelming/disappointing, leading us to expect Novo shares to rise and Lilly shares to see some weakness when markets reopen,” Divan said.
Read the full report below: