Nestle looks to develop products to pair weight loss drugs, tackling muscle loss and rapid weight regain.
Initial market response to Novo Nordisk’s weight-loss drug Wegovy echoes Meta’s metaverse hype that later faded.
“It feels like quite an overreaction,” said Aviva portfolio manager Richard Saldanha. “People are extrapolating long-term consumer habits.” She added, however, that more focus should be paid to the impact on supermarkets, where margins are thinner and the impact on profitability may be greater. The initial market reaction to the new class of weight-loss drugs is reminiscent of early hype over the metaverse, which has since flamed out as investors and companies realise that behaviour is slow to change, said Arda Ural, EY Americas Industry Markets Leader, Health Sciences and Wellness.
“The companies most at risk could be those dedicated exclusively to ‘junk food’, or restaurant chains that don’t offer much in the way of alternatives,” he said.
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