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In a significant development in the pharmaceutical sector, Novo Nordisk has announced its intention to take legal action against telehealth provider Hims & Hers. This follows Hims & Hers’ recent announcement concerning their launch of a cheaper alternative to Novo’s popular weight loss medication, Wegovy, priced at just $49.
Legal Action Over Wegovy Copycat
Hims & Hers made headlines when it declared that they would offer a version of Wegovy that significantly undercuts Novo Nordisk’s retail price of $149. In response, Novo expressed serious concerns, labeling Hims & Hers’ actions as “illegal mass compounding” and posing “a significant risk to patient safety.” The company emphasized that it would pursue both legal and regulatory measures to protect its intellectual property and maintain the integrity of the drug approval process in the United States.
According to a public statement from Novo Nordisk, “This is another example of Hims & Hers’ historic behavior of duping the American public with knock-off GLP-1 products.” Furthermore, they highlighted that the FDA has previously warned the telehealth provider regarding deceptive advertising associated with GLP-1 alternatives. As a result, stock shares for both Novo Nordisk and rival Eli Lilly plummeted approximately 7% after the Hims announcement. Meanwhile, Hims & Hers’ stock initially surged but later stabilized after Novo’s legal threat became public.
What This Means for the Market
As a refresher, Wegovy was launched in the U.S. in January 2026. Since then, approximately 170,000 individuals have started using the medication, according to statements from CEO Mike Doustdar. Hims & Hers is now extending its offerings beyond the injectable form of semaglutide—an active ingredient of Novo’s blockbuster drugs—by introducing an oral version.
- Price Competitiveness: Hims & Hers claims its Wegovy copy will be available initially for $49, then $99 per month for a five-month plan.
- Patent Protection: While semaglutide’s patent is secure in the U.S. until 2032, Hims and Hers argues their product is “personalized,” thus maintaining legal standing.
- Unique Formulation: Hims asserts that its offering utilizes a different formulation and delivery system than the FDA-approved version, which adds a layer of complexity to the legal situation.
Interestingly, Novo Nordisk employs advanced SNAC technology to enhance oral absorption of its Wegovy pill, a detail that raises questions about how closely Hims’ new formula can potentially match this level of efficacy.
Potential Impact on Novo Nordisk
As the legal clash unfolds, Novo Nordisk faces mounting challenges. After suffering a nearly 50% decline in stock price in 2025—the worst year on record for the company—the new competitive pressure from Hims adds to their troubles. This downward trend continues into 2026, with stock prices already down another 15% year-to-date.
Moreover, Novo recently forecasted that sales and profits would decrease between 5% and 13% in 2026, driven primarily by pressure on pricing in the U.S. and a potential loss of exclusivity in various international markets, including Canada and China.
While Eli Lilly does not have an oral GLP-1 product on the market yet, it is expected to launch one called orforglipron in the first half of this year, pending FDA approval. This could further intensify competition within the weight loss pharmaceutical space.
Conclusion
The legal actions taken by Novo Nordisk against Hims & Hers emphasize the intense competition in the weight loss drug market, presenting challenges not only for pricing but also for patient safety and drug efficacy. With market dynamics shifting rapidly, only time will tell how these developments will ultimately impact the companies involved and consumers seeking effective weight loss solutions.
Frequently Asked Questions
What is Wegovy?
Wegovy is a prescription medication developed by Novo Nordisk for weight management in adults and children aged 12 years and older, administered once weekly.
How much does the new Hims & Hers weight loss pill cost?
The Hims & Hers copy of Wegovy is priced at $49 for the first month and $99 subsequently under a month-to-month plan.
Why is Novo Nordisk taking legal action against Hims & Hers?
Novo Nordisk alleges that Hims & Hers has engaged in illegal mass compounding, which they claim poses risks to patient safety and violates their intellectual property rights.
What are the implications of the lawsuit?
The outcome of the lawsuit could set precedents regarding the legality of ‘copycat’ medications and the interpretation of drug patents in the U.S. market.
How has the stock market reacted to these announcements?
Shares of Novo Nordisk and Eli Lilly dropped nearly 7% following the news of Hims & Hers launching its cheaper version of Wegovy, highlighting investor concerns over increased competition.
