Trump's comments on weight-loss drugs send Eli Lilly, Novo Nordisk, and Hims & Hers shares lower in after-hours trading.

President Donald Trump announced that weight-loss drugs, such as Novo Nordisk's Ozempic and Eli Lilly's Mounjaro, will have lower prices. Shares of Eli Lilly, Novo Nordisk, and Hims & Hers Health are moving lower in after-hours trading due to the announcement. Hims & Hers sells cheaper versions of popular weight-loss drugs. Eli Lilly shares are down 4.62% at $781.50, Novo Nordisk shares are down 3.74% at $53.99, and Hims & Hers shares are down 2.28% at $57.80.

President Donald Trump's recent announcement that prices of weight loss drugs like Ozempic will be lowered has sparked significant market volatility. The comments, made during a press conference in the Oval Office, sent shockwaves through the pharmaceutical sector, particularly affecting shares of Eli Lilly and Novo Nordisk.

Eli Lilly (NYSE:LLY) and Novo Nordisk (NYSE:NVO), two major players in the weight loss and diabetes drug market, saw their stocks decline in after-hours trading. Eli Lilly's shares dropped 4.62% to $781.50, while Novo Nordisk's shares fell 3.74% to $53.99. These drops can be attributed to investor concerns about potential revenue impacts due to the anticipated price reductions of their GLP-1 medications, including Novo Nordisk's Ozempic and Eli Lilly's Mounjaro.

Dr. Mehmet Oz, the Administrator of the Centers for Medicare & Medicaid Services, clarified that negotiations for GLP-1 drugs have not yet begun. Trump, however, indicated that prices would "come down pretty fast," suggesting a swift resolution to the pricing issue. Oz added that negotiations would continue until the president is satisfied with the outcome.

Meanwhile, Hims & Hers Health Inc (NYSE:HIMS), which offers cheaper versions of popular weight-loss drugs, also saw its shares move lower. Hims & Hers shares dropped 2.28% to $57.80, reflecting market sentiment towards potential price reductions in the sector.

The comments from Trump and the subsequent market reaction highlight the sensitive nature of drug pricing and its impact on pharmaceutical companies. Investors are closely watching the developments, awaiting further clarification on the timeline and specifics of the price reductions. As negotiations proceed, the market will likely remain volatile, with investors weighing the potential financial implications for these major pharmaceutical players.