New York, February 26, 2026, 14:45 EST — Regular session
- Eli Lilly shares slipped roughly 1% in afternoon action after fresh trial data on its experimental daily weight-loss pill showed side effects surpassed those seen with a Novo Nordisk competitor.
- In the diabetes trial, head-to-head data showed better blood sugar management and greater weight loss, though nausea and other stomach problems led to higher dropout rates.
- The next key catalyst for traders: the U.S. regulatory timeline tied to the pill’s obesity application.
Eli Lilly and Co shares slipped roughly 1% to $1,018 on Thursday, easing after investors assessed new clinical data for the company’s experimental oral weight-loss drug, orforglipron. 1
This data carries weight for Lilly: orforglipron is their main candidate for an oral GLP-1. These drugs imitate a gut hormone, lowering blood sugar and tamping down appetite. Getting a pill to market would open doors beyond the current weekly injections, though it hinges on patients sticking with the regimen.
It’s coming on the heels of a turbulent week for the obesity drug sector, with Novo Nordisk’s newest late-stage data on CagriSema unsettling investors and throwing Lilly’s tirzepatide franchise into even sharper relief. “They literally ran a trial that said that Lilly’s product is better,” BMO Capital’s Evan Seigerman remarked at the time. 2
Lilly’s orforglipron outperformed Novo’s oral semaglutide both on A1C reduction and weight loss over 52 weeks in the ACHIEVE-3 study, with the company detailing the head-to-head trial results in The Lancet. 3
The detailed results pointed to a tougher side effect profile. Lilly’s 36 mg dose saw about 58% of patients reporting mild-to-moderate nausea, diarrhea, or vomiting, compared to 45% with Novo’s 14 mg oral semaglutide. Discontinuation rates followed a similar split: around 10% on Lilly’s drug stopped due to side effects, while Novo’s pill saw about 5% drop out, according to Reuters. 4
Kenneth Custer, president of Lilly Cardiometabolic Health, described it as “a trade-off that patients will be very happy to make,” citing better glucose control, weight loss, and dosing “with no restriction” tied to food or water.
“Clinically meaningful” head-to-head differences emerged early, according to Dr. Julio Rosenstock, the lead investigator, Lilly’s release stated.
Clinicians outside the firm pointed to the number of patients dropping out. “Higher discontinuation due to adverse events… is a key consideration,” said Dr Marie Spreckley from Cambridge’s MRC epidemiology unit. University of Glasgow professor Naveed Sattar called the results “important” for broadening oral options. 5
Lilly shares slipped, caught up in a wider pullback across U.S. equities. Investors grew uneasy about lofty big tech valuations following their recent rally. 6
Lilly faces a near-term hurdle: tolerability. Reports of increased pulse rate in the trial could raise red flags for doctors, payers, or regulators—even if efficacy holds up. As for longer-term safety and cardiovascular effects beyond a year, that’s still unresolved for the entire class.
Traders now turn to the U.S. regulatory track for orforglipron in obesity, with some sources pointing to an April 10 target action date. The spotlight will also be on how the company addresses real-world tolerability as it moves further into the oral GLP-1 space. 7
