Team Metabolic Health

Amgen’s experimental drug MariTide helped overweight or obese patients shed up to 20% of their body weight in a mid-stage trial, but the results failed to meet lofty investor expectations and shares of the biotech company fell 4.8% on Tuesday.

The year-long trial involving 592 people tested several different doses of the drug as a monthly or bi-monthly injection. Amgen said it also planned to study quarterly dosing.

Analysts said the weight-loss benefit was in line with currently available once-weekly injected drugs from Novo Nordisk (NOVOb.CO), opens new tab and Eli Lilly (LLY.N), opens new tab, while Amgen’s drug had slightly more side effects.

Novo’s Wegovy led to 15% weight loss over 68 weeks, while Zepbound helped patients lose more than 22% of weight over 72 weeks in trials.

Trial data showed that about 11% of patients on MariTide dropped out of the study due to adverse side effects. That compares with about 6% discontinuations in late-stage studies of Zepbound, said J.P. Morgan analyst Chris Schott.

Amgen said nausea and vomiting events were mild and substantially reduced as the dose escalated.

“While Maritide is clearly effective and will offer less frequent dosing, the bar for efficacy in the class continues to move higher,” Schott said.

He added that the Street expects Novo and Lilly’s experimental drugs – CagriSema and retatrutide – to deliver a minimum of 25% weight loss.

Shares of Amgen fell 4.8% to $280.01 at close, erasing more than $7 billion from the Dow component’s market value.

Credit: Reuters