Trump just put the “loss” in Fat loss… 

To put it bluntly, Friday was a bloodbath. Novo Nordisk, Eli Lilly, and Hims all got nuked after President Trump opened his mouth and announced that “Ozempic is going to be $150 out of pocket.” Of course, Trump’s gonna Trump and provided exactly zero additional details on his comment. It was just a  sentence into a microphone and $70 billion in market cap gone in 20 minutes.

(Source: Giphy) 

With that said, Dr. Mehmet Oz, who now runs Medicare and Medicaid like his daytime-TV sequel…jumped in to clarify that negotiations “aren’t finished.” Translation: the administration threw a live grenade into the most overvalued corner of the market, and the paperwork doesn’t even exist yet. Because of this, the market didn’t wait for the footnotes. Traders heard $150 and immediately realized that’s cheaper than the compounded knockoffs Hims sells. If the White House actually forces that price, brand-name GLP-1s undercut the gray-market compounders, killing Hims’ business model overnight. Hence the –15% faceplant.

(Source: Axios) 

As for the big dogs, they didn’t fare much better. Novo and Lilly’s miracle-drug valuations depend on selling $1,000 injections to Americans with high hopes and employer insurance. The second those become government-mandated $150 pens, the entire “pharma is the new tech” narrative dissolves faster than Congress’ morals. Pfizer and AstraZeneca already folded into Trump’s “most-favored nation” pricing scheme; now the weight-loss kings are being dragged to the table whether they like it or not.

For more context, U.S. companies have been charging ten times what European patients pay for the same semaglutide molecules. Which is why Trump wants to flatten that gap by decree. It polls great, sounds populist, and terrifies every CFO in Denmark. Meaning, now the Street is asking… does this actually happen, or is this just Trump shooting blanks to stir up fear? Medicare still has to negotiate the numbers, and Oz keeps saying “we’re rolling these out over time.” But markets don’t care about timelines… the money, currently, is in the headlines. And on Friday, the headline was “Fat drugs go on clearance.”

(Source: Giphy) 

In the end, if the $150 sticker ever becomes real, Novo and Lilly lose their golden goose, compounders like Hims lose their knockoff racket, and Trump wins another round in the culture war disguised as a healthcare executioner. Which means… which means… place your bets accordingly, friends. This “water weight” may just continue to turn into a fat bag of losses for portfolios everywhere. Until next time…

At the time of publishing, Stocks.News holds positions in Pfizer as mentioned in the article.