Novo_header_image

Can Novo close the gap with Lilly? The roadmap from injections to orals

Ruben Dalfovo
Ruben Dalfovo

Investment Strategist

Key takeaways

  • Pills are the pivot. If oral semaglutide wins approval and performs well against Lilly’s orforglipron, the market could broaden and treatment time could lengthen.

  • Supply is the swing factor. Catalent site integration and steady pharmacy stock are the quickest routes from demand to revenue.

  • Next-gen injectables are the safety valve. CagriSema can defend share at the high-efficacy end even if pills take the mainstream.


Novo Nordisk sits at the heart of a fast-growing market: medicines that help with weight and diabetes. The simple investor question is whether Novo can narrow the lead that many expect for Eli Lilly over the next few years.

Three things matter most now: getting a pill to market, turning new plants into product on shelves, and keeping a high-efficacy option in reserve for patients who need more.

The score today

Novo sells a weekly injection of semaglutide for obesity called Wegovy. A cardiovascular benefit on the label means doctors can treat medical risk, not just weight alone. That heart benefit makes it easier for insurers and health systems to pay for it, although coverage still differs by country.

Getting enough product to shelves was the main bottleneck. Novo has added more “fill-finish” capacity, which is the final factory step where medicine is filled into injection pens, sealed, checked, and packed. More fill-finish means more pens in pharmacies. When pharmacies have stock, more prescriptions get filled, and sales show up in the numbers, yet validation, inspections, or quality snags can delay ramps and keep some pharmacies short.

Lilly’s rival injection, Zepbound, is also a once-weekly weight-loss drug and has shown very strong results on weight loss. Lilly is expanding production quickly and is expected by many investors to sell more over time if supply stays strong and broader labels follow.

In short, Novo’s edge is the heart benefit on the label and a larger installed base, Lilly’s edge is faster growth expectations and rapid capacity ramp. The race will be decided by three things that patients feel every day: which drug is on the shelf, how well it works for them, and what their insurer agrees to cover.


Zepbound_vs_wegovy

Pills change the game

Needles built the category. Pills can take it mainstream because they are easier to start and stick with. Novo has submitted a 25 mg oral semaglutide to the U.S. Food and Drug Administration (FDA). It is also running the OASIS programme at 50 mg for obesity. Approval is not guaranteed though, and labels can limit use if side-effects such as nausea remain common or if food-timing rules are awkward.

Lilly’s small-molecule pill, orforglipron, has reported strong late-stage data and aims for filings that could bring a first approval in the United States in 2026. 
If efficacy and tolerability hold, pills can make treatment simpler, keep people on therapy longer, and move use from specialist clinics into primary care. That is where scale lives.

Two watchpoints matter here. First, nausea and other gastrointestinal effects. Lower side-effects support adherence. Second, dosing and titration. Simple schedules reduce drop-offs. Read the labels. The wording on dosing, food effects, and contraindications often decides real-world uptake.

Oroforglirpon_vs_novo

Scale decides who wins

For two years, the bottleneck was not demand. It was the ability to fill and finish enough pens. Novo’s parent bought Catalent and Novo took control of three sites that should lift output for Wegovy and related products. 

The logic is simple. More capacity should mean fewer stock-outs, faster country launches, and higher service levels for pharmacies. This does not fix everything. Plant integration can slip and regulators must sign off each step. Integration risk is real: sterile plants face strict audits, yields can disappoint, and any warning letters or recalls would slow momentum and raise costs. But every quarter with fewer shortages tightens the link between demand and revenue and reduces the risk that patients churn for lack of supply.

Signals to track: company updates on validated lines, inspection milestones, and measured increases in weekly prescription fills. Outside the United States, watch national tenders and launch timing. Earlier launches turn into earlier learning curves.

The safety valve: next-gen injectables

Novo is not betting on pills alone. CagriSema, a combination of semaglutide with an amylin analogue (cagrilintide), is in Phase 3 for diabetes and obesity. The aim is simple: more weight loss and better metabolic control than either part alone. If late-stage data hold up, CagriSema offers a high-efficacy option for people who need a stronger push, or who do not respond well to pills. If results soften or safety flags appear, adoption will skew to narrower groups.

Lilly answers with Retatrutide, a triple-agonist still in late-stage testing. Both could lift the top end of efficacy. Both could carry tighter monitoring and careful patient selection. In practice, that means doctors will match the right drug to the right person rather than chasing a single winner.

Cagrisema_vs_retratude

Valuation, expectations, and what must go right

Bloomberg consensus still expects Lilly to outsell Novo in obesity over time, helped by strong injections today and a first-in-class pill tomorrow. That gap in expectations helps explain the higher multiple for Lilly and the relative lag for Novo.

For Novo to close the gap, three things must happen. First, oral semaglutide needs timely approvals with competitive efficacy and tolerability. Second, supply must stay reliable as sites ramp. Third, CagriSema needs late-stage data that confirm a clear role at the high-efficacy end.

Risks are clear. Payers can tighten coverage as budgets feel the strain from long-term use. Safety headlines can change behaviour overnight. Competition is heating up, with new classes and combinations on the way. Pricing remains political, especially in publicly funded systems.

Early warning signs include lower persistence rates, slower pharmacy refills, negative reimbursement updates, and any widening in side-effect-related discontinuations.

PE_NOVO_VS_LILY

Investor playbook

  • Track oral timelines. Watch U.S. Food and Drug Administration steps for Novo’s oral semaglutide 25 mg and the 50 mg OASIS read-outs, plus Lilly’s orforglipron submissions.
  • Watch supply and service levels. Follow Catalent site integration, fill-finish ramps, and pharmacy stock rates.
  • Monitor coverage and pricing. Check payer and national health-system decisions post cardiovascular label.
  • Compare real-world performance. Track efficacy, tolerability, and adherence across next-gen injectables and pills.

Conclusion

The question in the headline is practical, not rhetorical. Novo can narrow the lead only if it wins on two fronts at once: a credible pill and a dependable supply chain. Oral semaglutide gives Novo a clear route into the mainstream if approvals are timely and side-effects behave. Catalent sites offer the physical scale to meet demand and protect share. CagriSema adds a high-efficacy option if patients need more than a pill can deliver.

None of this requires perfection. It requires fewer shortages, clean labels, and steady coverage. If filings, factories, and formularies line up, Novo’s path from injections to orals looks workable, and the perceived gap with Lilly can shrink from a forecast into a fair fight.


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