What Are Pfizer's Prospects In Obesity Pill Market? Analysts Say Optimism, Cautiousness Surround With Data Awaited Next Year

Pfizer Inc PFE is turning its focus to the weight loss drug market, aiming to capture a $10 billion segment with its experimental obesity pill, danuglipron.

In June, Pfizer discontinued the clinical development of another GLP-1-RA candidate, lotiglipron (PF-07081532), due to pharmacokinetic data from Phase 1 studies and laboratory measurements of elevated transaminases (liver enzymes).

Eli Lilly And Co's LLY Mounjaro and Novo Nordisk A/S's NVO Wegovy and Ozempic have driven the weight loss drug industry's recent success. 

Citing some analysts, CNBC emphasized the significance of upcoming phase two trial data to assess Pfizer's competitiveness against industry leaders Eli Lilly and Novo Nordisk.

Now, Pfizer investors anticipate data on danuglipron's twice-daily pill for obese patients without diabetes by year-end, CNBC noted. 

Additionally, trial results for a once-daily version are expected early next year, considered a more competitive option.

Despite Pfizer's struggles with COVID-19 product demand and a 40% share price drop, CEO Albert Bourla sees a $90 billion market potential for GLP-1s, a class of obesity and diabetes drugs. 

Positive trial outcomes could reinvigorate investor confidence and boost Pfizer's shares.

Noting analysts, CNBC mentions the importance of Pfizer's twice-daily pill being as effective as Eli Lilly's once-a-day pill, requiring a 14% to 15% weight loss to stay competitive. 

Previous data on Eli Lilly's orforglipron showed a 14.7% weight reduction, setting a benchmark for Pfizer.

Price Action: PFE shares are down 1.44% at $29.06 on the last check Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.