Novo Nordisk's market value has swung dramatically since the GLP-1 craze peaked. The Danish drugmaker's shares traded above $140 in June 2024 as demand for Ozempic and Wegovy outpaced supply. Since then, competition from Eli Lilly, U.S. pricing pressure, clinical trial disappointments, and looming patent expiries have eroded investor confidence. At a capital markets day this week, executives promised at least five 'multi-blockbusters' by 2030 and $23 billion in annual peak sales by 2035, but shares fell another 8% and were near $38 by Friday.
Meanwhile, AI drug discovery startups are enjoying a funding boom. Isomorphic Labs raised a $2.1 billion round, and Chai Discovery also landed among the year's three largest biotech venture deals tracked by BioPharma Dive. Since 2024, at least a dozen AI-focused biotechs have raised rounds of $100 million or more. This week alone, Enveda closed a $311 million Series E and Basecamp Research banked $140 million, even though their drug candidates are mostly in early-stage testing.
The two trends illustrate a shifting investor landscape. As established GLP-1 franchises face competitive and pricing headwinds, capital is flowing to AI-driven drug discovery, which Silicon Valley Bank's Megan Scheffel says has moved 'past wild promises' but still draws 'staggering amounts of money.' Whether that enthusiasm will translate into approved medicines remains an open question, but for now the money keeps coming.