{"id":6055,"date":"2026-06-07T23:33:27","date_gmt":"2026-06-07T23:33:27","guid":{"rendered":"https:\/\/sandiegorelocationnews.com\/index.php\/2026\/06\/07\/wall-street-sees-huge-upside-after-novo-nordisk-backs-veru\/"},"modified":"2026-06-07T23:33:27","modified_gmt":"2026-06-07T23:33:27","slug":"wall-street-sees-huge-upside-after-novo-nordisk-backs-veru","status":"publish","type":"post","link":"https:\/\/sandiegorelocationnews.com\/index.php\/2026\/06\/07\/wall-street-sees-huge-upside-after-novo-nordisk-backs-veru\/","title":{"rendered":"Wall Street sees huge upside after Novo Nordisk backs Veru"},"content":{"rendered":"
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Veru (VERU)<\/strong> stock has not been easy to own.<\/p>\n

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The little biotech has spent years persuading investors that its experimental obesity technique can matter in a market dominated by giants. That’s a tough sell with Novo Nordisk (NVO)<\/strong> and Eli Lilly (LLY)<\/strong> already owning the narrative with blockbuster weight-loss medications.<\/p>\n

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But Veru just heard something rarely said to small biotechs: direct interest from one of the most powerful players in obesity medicine.<\/p>\n

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Novo Nordisk has agreed to provide Wegovy free of charge for Veru’s Phase 2b PLATEAU trial, which is studying Veru’s oral enobosarm in older persons with obesity who are taking Wegovy to lose weight. Veru will continue to be responsible for conducting and supporting the study.<\/p>\n

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And that alone means something.<\/p>\n

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The major detail is that Novo Nordisk also gained the right of first negotiation if Veru later opts to develop, sell, or license enobosarm alongside one of Novo Nordisk’s GLP-1 medicines.<\/p>\n

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“The agreement evidences industry recognition of the need to improve upon existing weight-loss options,” Oppenheimer analyst Leland Gershell said.<\/p>\n

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Veru believes it can solve a growing Wegovy problem<\/h2>\n

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The GLP-1 boom has transformed health care.<\/p>\n

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Novo Nordisk’s sales of obesity care increased by 26% in Danish kroner in 2025 to DKK 82.3 billion. The volume growth of the global branded GLP-1 obesity market reached 104%. Novo Nordisk reported its branded volume share of the market was 59.6%.<\/p>\n

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That growth goes some way to explaining why investors are intrigued with weight-loss medications.<\/p>\n

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Related: Morgan Stanley names UnitedHealth a “Top Pick”<\/strong><\/p>\n

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But the next chapter of the obesity market may not be as simple as helping people lose more weight. It might be to assist them in losing weight better.<\/p>\n

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Reuters has revealed that many drugmakers are researching next-generation obesity drugs that aim to preserve muscle. This is an important problem as certain weight loss studies have indicated that a substantial part of weight loss might be from lean or fat-free mass, not just fat.<\/p>\n

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That’s where Veru is looking to fit in.<\/p>\n

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Veru says enobosarm is an oral selective androgen receptor modulator intended to help make GLP-1 weight loss more selective to fat loss, while sparing lean mass and physical function.<\/p>\n

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The PLATEAU study looked at older persons with obesity, a population that may be particularly vulnerable to muscle loss with rapid weight loss.<\/p>\n

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That provides Veru a more specific pitch than just being another obesity-drug firm.<\/p>\n

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It tries to be a companion narrative for GLP-1.<\/p>\n

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That makes a difference. Veru doesn’t have to beat Wegovy. It has to demonstrate that enobosarm can result in weight loss similar to Wegovy.<\/p>\n

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Ableimages \/ Getty Images<\/p>\n

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Wall Street thinks Veru stock could have massive upside<\/h2>\n

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Oppenheimer maintained its outperform rating and $24 price target on Veru after the Novo Nordisk deal. That price target is significant, considering Veru traded recently around $3.40, giving it a market cap of roughly $54.6 million.<\/p>\n

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Novo Nordisk, however, was valued at over $189.6 billion on the previous market.<\/p>\n

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That enormous difference is why the Novo Nordisk deal is so important.<\/p>\n

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Even a little attention from a large pharma behemoth can alter the investment narrative for a micro-cap biotech.<\/p>\n

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More Health Care:<\/strong><\/p>\n

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