Novo Nordisk's stock is up today, trading at $107.13, a 2.46% increase from its previous close of $104.56. The rise is primarily driven by the Biden administration's proposal to expand Medicare and Medicaid coverage for anti-obesity medications, which could significantly reduce out-of-pocket costs for these drugs. This proposal, announced on November 26, 2024, aims to make weight-loss treatments more accessible to millions of Americans, potentially benefiting Novo Nordisk's popular drugs like Wegovy and Ozempic. The proposed rule could cut expenses by up to 95% for eligible enrollees, which has positively impacted investor sentiment towards Novo Nordisk.
Additionally, Novo Nordisk's recent strategic moves, such as the acquisition of Benchmark Genetics, align with its growth and sustainability goals, further bolstering investor confidence.