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Biomarkers Shine, Results Disappoint: Novo's Attempt at Alzheimer's Falls Short

Biomarkers Shine, Results Disappoint: Novo's Attempt at Alzheimer's Falls Short

Bitget-RWA2025/11/24 13:46
By:Bitget-RWA

- Novo Nordisk's Alzheimer's trials for semaglutide failed to meet primary endpoints, causing a 9% premarket stock drop to a multi-year low. - The $3.8B trial showed no disease progression slowing despite biomarker improvements, with UBS estimating only 10% success probability beforehand. - Market ripple effects included Eli Lilly's 0.5% decline and Biogen's 2.7% rise, highlighting GLP-1 drug competition in neurodegenerative therapies. - This setback compounds Novo's challenges: 50% YTD stock decline, obes

Novo Nordisk (NVO) shares dropped to their lowest point in years on Monday after the Danish pharmaceutical company revealed that its phase 3 studies of semaglutide for Alzheimer's disease did not achieve their main goal. The EVOKE and EVOKE+ studies, which included 3,808 participants in the early stages of Alzheimer's,

compared to placebo, even though there were some positive changes in Alzheimer's-related biomarkers. This news caused Novo's stock to fall by more than 9% in premarket trading, .

Biomarkers Shine, Results Disappoint: Novo's Attempt at Alzheimer's Falls Short image 0

This development is a significant setback for

, which had been hoping to expand the use of semaglutide—the key ingredient in its diabetes and weight-loss medications Ozempic and Wegovy—into the profitable Alzheimer's market. Martin Holst Lange, the company’s Chief Scientific Officer, , explaining that while semaglutide continues to be effective for diabetes and obesity, it "did not show effectiveness in slowing Alzheimer's disease progression." The trials were widely seen as a risky but potentially rewarding venture, .

The market’s response was not limited to

. Eli Lilly’s stock slipped 0.5% before the market opened as in the treatment of neurodegenerative disorders. On the other hand, Biogen’s shares climbed 2.7% as the shift in sentiment created new possibilities for its Alzheimer’s therapies . Experts pointed out that this failure highlights the difficulties of adapting metabolic drugs for neurological diseases, a 75% likelihood that the trials would not succeed.

Novo Nordisk’s recent troubles are part of a broader set of challenges. The company, whose shares have dropped more than 50% so far this year, recently

and is facing stronger competition from Eli Lilly’s Zepbound and Mounjaro. The Alzheimer’s trial failure adds to a tough year that has also included changes in leadership, pricing challenges, and a $10 billion offer for obesity-drug maker Metsera . "This is yet another obstacle in an already tough climate," said Erik Berg-Johansen, .

The company intends to share headline results from the studies at the Clinical Trials on Alzheimer's Disease (CTAD) conference in December 2025, with comprehensive data expected at the AD/PD 2026 event

. Although this failure closes off a potential multi-billion-dollar growth path, Novo’s main GLP-1 business remains strong. Still, the outcome has increased doubts about the drug’s broader potential, with Bernstein analysts as “a long shot.”

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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