(Editor's Note: This article should have published on June 20, 2025, but was delayed due to a technical issue)

By Josh Nathan-Kazis 

Eli Lilly

Under CEO Dave Ricks, 58, Eli Lilly seems to have won the weight-loss war.

Lilly's Danish rival, Novo Nordisk, had the early advantage, launching its obesity drug Wegovy two years before the Food and Drug Administration approved Lilly's Zepbound. Although it was apparent that Zepbound worked better than Wegovy, Novo's head start seemed to leave the two companies evenly matched.

Enthusiasm for the stocks was boundless: Lilly shares climbed more than 320% from 2022 to mid-2024, while Novo's American depositary receipts were up more than 150%.

Roughly a year ago, though, as supply issues allowed the legal knockoff market to explode, investors began rethinking their outlook for the companies. After Novo's next-generation weight-loss drug underperformed in a trial in December, a new consensus emerged: The weight-loss market will be smaller than investors had thought, but Lilly will own a bigger share.

As Novo shares have sunk, Lilly's have held firm. Ricks has challenges: The Trump administration has threatened tariffs and drug price limits. But with the top weight-loss drug, and a pipeline of promising follow-ons, he is the undisputed king of pharma for now.

(END) Dow Jones Newswires

June 23, 2025 21:33 ET (01:33 GMT)

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