The US government has negotiated a maximum price for semaglutide products (Ozempic, Wegovy, Rybelsus) that will apply to the government Medicare Part D program from January 1, 2027.
The negotiated price reduces the list price by up to 71 %. $NOVO B (-1,69 %) However, the government already grants health insurers high discounts and rebates on the actual net sales price for Medicare Part D.
Novo Nordisk expects the maximum prices for Ozempic, Rybelsus and Wegovy (in Medicare Part D) effective from January 2027 to have a low single-digit negative impact on global sales growth for 2027. Medicare Part D sales are significant (in 2022 it was $5.57bn, I have not found more recent figures). In relation to the total global sales generated by GLP-1 drugs (especially Wegovy in the commercial market), the growth potential should not be fundamentally impaired.
The long-term growth story of GLP-1 drugs (diabetes, obesity and new indications) remains the dominant value driver.
Despite the short-term share price turbulence and the regulatory hurdles in the USA, Novo Nordisk remains an attractive growth stock in the pharmaceutical sector for me. I sold some of my shares (50 units) some time ago and have since put them back in the portfolio. Currently standing at 10% p.a. since 2015 with $NOVO B (-1,69 %)
https://www.cms.gov/files/document/infographic-negotiated-prices-ipay-2027.pdf
