Novo Nordisk Stock Jumps as Diabetes Drug Ozempic Hints at Kidney Disease Treatment, Hurting Dialysis Providers

Novo Nordisk stock jumped after hinting its diabetes drug Ozempic could treat chronic kidney disease, hurting dialysis providers DaVita and Fresenius.

Novo tested Ozempic ingredient semaglutide in patients with diabetes and kidney disease, stopping the study early due to positive interim results.

Semaglutide already drives Novo's Ozempic, Rybelsus and Wegovy products for diabetes and weight loss.

Dialysis providers like DaVita and Fresenius have benefited from high obesity and diabetes rates worsening kidney disease.

Novo Nordisk stock has climbed this year, while medical device makers have struggled amid concerns drugs like Ozempic can reduce need for their products.