Health Care Roundup: Market Talk

The latest Market Talks covering the Health Care sector. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

0747 ET – Novo Nordisk’s shares seem to be overreacting to the news that the key ingredient in its Ozempic and Wegovy blockbuster drugs failed to show a benefit in Alzheimer’s disease in clinical trials, analysts at J.P. Morgan say in a research note. While this means a potential positive surprise didn’t materialize, it has no impact on forecasts for the Danish drugmaker, the analysts say. “We and the majority of the market had seen this trial as high risk and as a result we had included zero contribution from Alzheimer’s disease in our forecasts,” the analysts say. Consensus expectations include a minor contribution of 7 billion Danish kroner ($1.08 billion) in 2032 sales, or about 2% of the group’s total, according to JPM. Shares fall 10%, dropping to levels last seen in 2021. (adria.calatayud@wsj.com)