More than 50 million privately insured adults could be eligible for GLP-1 drugs

VIEW IN BROWSER | SUBSCRIBE TUE, SEP 10, 2024 EDITOR'S NOTE Think a friend or colleague should be getting this newsletter? Share this link with them to sign up. Good afternoon! A large swath of insured Americans could be eligible for a highly popular class of weight loss and diabetes medications called GLP-1s, such as Novo Nordisk's Wegovy and Ozempic.  At least two in five U.S. adults — or more than 57 million people – under the age of 65 with private insurance could be eligible for GLP-1s according to clinical criteria, a new analysis from health policy research organization KFF found. That includes over 36 million people with an obesity diagnosis alone. GLP-1s are approved to treat adults with Type 2 diabetes or obesity, or who are overweight with at least one weight-related health condition, such as cardiovascular disease, hypertension or high cholesterol. Novo Nordisk's weight loss injection Wegovy is also the only GLP-1 approved for slashing the risk of heart attack, stroke and death in obese or overweight adults with cardiovascular disease.  But here's the catch: The number of adults eligible for those drugs may vary depending on additional requirements that their employer-sponsored health plans set. KFF said employers weigh the high cost of covering GLP-1s, which have list prices of roughly $1,000 per month, against their clinical benefits and demand from their workers.  Employers could impose additional eligibility conditions for coverage, such as higher BMI requirements, KFF said. For example, if employers adopted a BMI threshold of 35 or greater, only 14.6 million adults under 65 covered by those health plans would be eligible. The current BMI cutoff for GLP-1s is 30 or greater (for patients with obesity) and 27 or more (for those who are overweight,) according to approval labels for GLP-1 drugs for obesity.  Some plans may also only cover GLP-1s for diabetes management, not obesity.  KFF also noted that there are only a "relatively modest number of people" enrolled in employer-sponsored health plans with a claim for a GLP-1 as of two years ago. Only 3% of adults with employer coverage had a prescription for one of the drugs in 2022, KFF said. Semaglutide, the active ingredient in Wegovy and Ozempic, is the most common GLP-1 drug since it joined the U.S. market in 2018.  Still, KFF noted that "some evidence indicates that" GLP-1 use "has only continued to rise over the last two years," beyond the most recent insurance claims data available. Around 6% of all adults, regardless of their insurance coverage, report that they are currently taking a GLP-1 drug, according to a KFF poll released in May. Roughly 12% report that they've taken one of those treatments at some point.  More people may also be eligible for GLP-1s as they get approved for new uses. Novo Nordisk and Eli Lilly are both studying their respective drugs as potential treatments for fatty liver disease and chronic kidney disease, among others. The companies could see approvals for some of those conditions within the next year or so.  Feel free to send any tips, suggestions, story ideas and data to Annika at annikakim.constantino@nbcuni.com. Latest in health-care technology Apple announces new health features for sleep apnea, hearing assistance Apple on Monday held an event at its headquarters in Cupertino, California where it announced a host of new products and updates. The company unveiled its iPhone 16 lineup, the Apple Watch Series 10 and new AirPods, but I thought its new health-care features stole the show.   "We're incredibly proud to introduce a first-of-its-kind Hearing Aid feature, coming this fall with AirPods Pro 2, plus an innovative way to detect signs of sleep apnea with Apple Watch," Apple CEO Tim Cook wrote in a post on X on Monday. "These life-changing tools will help people connect more deeply & live healthier." Here's everything you need to know: Apple Watch Series 10 Apple said its latest watch can help alert users to sleep apnea, a sleep disorder that can cause a person's breathing to repeatedly start and stop throughout the night.  Sleep apnea affects more than 1 billion people worldwide, but Apple said 80% of people with the condition are undiagnosed. If people with sleep apnea do not get treated, they could face a higher risk of heart problems, hypertension and Type 2 diabetes.  To detect this condition, the Series 10 uses an accelerometer to measure breathing disturbances that occur overnight. Users can view their nightly metrics in the Health app. Apple will analyze this breathing disturbance data once a month and notify people if they show "consistent signs" of severe or moderate sleep apnea. The company will also generate a "detailed report" that users can bring to their doctors.  Apple said the detection algorithm for this feature was developed with "an extensive dataset of clinical-grade sleep apnea tests," and was validated in a clinical study. The company expects the U.S. Food and Drug Administration and other regulators will clear the technology "very soon." The Series 10 launches Sept. 20, but it's already available for preorder. It starts at $399. Sleep apnea notifications will also be available on the Apple Watch Series 9 and Ultra 2.  AirPods Pro 2 Apple also introduced new AirPods Pro 2 features that can help users assess and protect their hearing.  The company said hearing loss can be hard to detect since it often happens gradually, so it created a five-minute-long hearing test that users can perform at home. To take the test, users will simply need to put on the AirPods Pro 2 and tap their screen when they hear sounds at various frequencies and volumes.   Apple said the test is clinically validated and designed based on real-world data. The results will be stored in the Health app, where users will see their personalized hearing profile. People can take the test regularly and access educational materials about hearing loss, the company added. Once users take the hearing test, individuals with mild to moderate hearing loss can use their AirPods Pro 2 as a clinical-grade, over-the-counter hearing aid. Apple uses the results of the test to determine the sounds that a person needs to have amplified in real time, whether it's elements within their environment or different parts of speech.  "This will allow you to hear your surroundings better, to help keep you safe and connect you with people nearby so it's even easier to hear and engage in conversations," Dr. Sumbul Desai, vice president of health at Apple, said during the event. Additionally, Desai said users' hearing profiles are automatically applied to phone calls, music and movies across their Apple devices.  Apple said it also expects the FDA and other regulators to approve the hearing tools soon. The hearing test and hearing aid features will be made available in a free software update this fall. AirPods Pro 2 are available for $249.   Apple said it is also adding a "Hearing Protection" feature to AirPods Pro 2 that can minimize users' exposure to potentially damaging environmental noise.  The ear tips on the headphones help passively reduce noise, and Apple said machine learning on the H2 chip that powers the headphones "reduces louder, more intermittent noise at 48,000 times per second." The hearing protection feature is on by default. It's worth reiterating that Apple is still waiting on regulatory approval, but I think these features firm up the company's position as an innovative player in the health-care space. We have more health data at our fingertips than ever before, and Apple appears keenly aware of that.  The lingering question is whether these health features will be enticing enough to encourage consumers to purchase new watches and headphones. You can read more about Apple's latest announcements here. Feel free to send any tips, suggestions, story ideas and data to Ashley at ashley.capoot@nbcuni.com. Annika Kim Constantino | Biotech & Pharmaceutical Reporter @annikakimc   Annika Kim Constantino | Associate Pharmaceutical Reporter @annikakimc   Alzheimer's drug Leqembi promises to give patients more time, but they face a long road to treatment Leqembi's rollout has been slowed by bottlenecks related to reimbursement uncertainties, diagnostic test requirements and regular brain scans, among others. - Annika Kim Constantino AstraZeneca shares fall 5% on disappointing lung cancer drug trial results AstraZeneca shares fell more than 5% Tuesday morning, the biggest one-day drop in seven months, after the British pharmaceutical giant announced disappointing lung cancer drug trial results. - Karen Gilchrist Abbott launches its first over-the-counter continuous glucose monitor in the U.S. Abbott Laboratories announced Lingo, its first over-the-counter continuous glucose monitor, is available in the U.S. - Ashley Capoot A journey inside Epic Systems' mythical and sprawling campus, a world away from Wall Street Epic Systems, a 45-year-old health-care software company, remains privately held with a sprawling campus that's far from Wall Street or Silicon Valley. - Ashley Capoot FDA authorizes Novavax's updated Covid vaccine, paving way for fall rollout The decision comes only a week after it approved a new round of messenger RNA shots from Pfizer and Moderna, which both target an offshoot of JN.1 called KP.2. - Annika Kim Constantino About 1.4 million Medicare prescription plan participants will save $1,000-plus each year with new out-of-pocket cap starting in 2025 Retirees covered by Medicare Part D are set to see new relief from high prescription drug costs in 2025. New research estimates how much they may save. - Lorie Konish We're taking a nearly 300% profit on a hot drug stock — adhering to an investing rule to live by This trim is all about discipline. - Jeff Marks JOIN US CONTRIBUTORS Ashley Capoot @ashleycapoot Bertha Coombs @berthacoombs Ashley Capoot @ashleycapoot Bertha Coombs @berthacoombs Unsubscribe Digital Products Manage Newsletters Feedback Terms of Service Privacy Policy Join the CNBC Panel © 2024 CNBC LLC. All rights reserved. A property of NBCUniversal.   900 Sylvan Avenue, Englewood Cliffs, NJ 07632   Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes and Market Data and Analysis.   Data also provided by THOMSON REUTERS

Eli Lilly could soon become the first $1 trillion health-care stock

VIEW IN BROWSER | SUBSCRIBE THU, SEP 05, 2024 EDITOR'S NOTE Think a friend or colleague should be getting this newsletter? Share this link with them to sign up. Good afternoon! Earlier this month, Berkshire Hathaway topped $1 trillion in market value, the first non-tech company in the U.S. to do so. Soon, pharmaceutical giant Eli Lilly could become the first health-care company to join that club.  Why? Eli Lilly is riding the soaring demand for its injectable weight loss drug Zepbound and diabetes medication Mounjaro, which are incretin drugs that mimic hormones produced in the gut to tamp down appetite and regulate blood sugar. Revenue from Mounjaro and Zepbound now account for almost 40% of Eli Lilly's total sales, according to its second-quarter results in August.   The company is one of two dominant players in the weight loss drug market, which some analysts believe could be worth $150 billion by the end of the decade. Eli Lilly may also be pulling ahead of its main rival, Novo Nordisk, as it shows progress toward expanding the supply of its drugs.  Novo Nordisk is also investing billions to boost manufacturing. But its own weight loss and diabetes drugs, Wegovy and Ozempic, missed sales expectations for the second quarter in part due to pricing pressure in the U.S.  Investors are also encouraged by the other possible health benefits of Eli Lilly's treatments, which could boost their long-term revenue potential. The company has released several study results over the last year showing Zepbound's promise as a treatment for obesity-related conditions such as obstructive sleep apnea, fatty liver disease and cardiovascular disease.  Shares of Eli Lily have soared more than 60% this year, putting its market value at nearly $900 billion.  And the company could reach that $1 trillion mark soon. Eli Lilly's stock soared almost 10% on Aug. 8 following its second-quarter results that surpassed Wall Street's expectations. The drugmaker could post another blowout quarter on Oct. 30.  Shares could also get a boost from potential data and regulatory approvals. For example, Eli Lilly expects the Food and Drug Administration to make a decision on whether to approve Zepbound for sleep apnea by the end of the year.  Eli Lilly could potentially release data from a late-stage trial that pits Zepbound directly against Novo Nordisk's Wegovy by the end of the year, according to an Aug. 20 note from Leerink Partners analyst David Risinger. Feel free to send any tips, suggestions, story ideas and data to Annika at annikakim.constantino@nbcuni.com. Latest in health-care technology Another continuous glucose monitor hits the market It's raining continuous glucose monitors!  Abbott Laboratories on Thursday announced its first over-the-counter continuous glucose monitor Lingo is available in the U.S., just days after its competitor Dexcom launched a similar product. Continuous glucose monitors are small sensors that stick through the skin to measure real-time glucose levels. The devices have traditionally been prescribed to diabetes patients since they can help alert those users to emergencies. Lingo is more consumer friendly, as it's meant for adults who are not taking insulin.  Glucose is a sugar molecule that comes from food, and it's the body's main source of energy. Everyone's glucose levels fluctuate, but consistently elevated levels can lead to more serious conditions like heart disease, insulin resistance and metabolic disease, Abbott said. Lingo is designed to help users learn about how their bodies respond to food, exercise, sleep and stress, as well as how they can manage their glucose levels in healthier ways.  The U.S. Food and Drug Administration approved Lingo in June. It's available without a prescription, and users can buy one sensor online for $49, two sensors for $89 or six sensors for $249. Dexcom's new over-the-counter continuous glucose monitor is called Stelo, and the FDA approved it in March. An ongoing Stelo subscription costs $89 a month, and users can also buy a one-month supply for $99 at a time. I tested out Stelo prior to its launch, and you can read about my experience here. I haven't tried Lingo yet, but Abbott walked me through the app and how it works.  One feature that stood out to me is Abbott's "Lingo Count," a metric designed to help users understand glucose spikes. That occurs when the amount of sugar present in the bloodstream rapidly increases and then decreases, commonly after eating.  The Lingo Count algorithm assigns a numeric value to each glucose spike, and it's supposed to represent how significant the impact of that fluctuation is. Users have a total target Lingo Count that they want to aim to stay below each day, and they can see their progress over time.  In order to learn how to manage glucose spikes, Lingo users can participate in challenges and access educational materials within the app. I think the challenges could serve as a fun way to engage people around their glucose, and I'm interested to try them for myself.  On the whole, I thought the app seemed intuitive and helpful. The data is presented in a way that doesn't feel too complex or overwhelming, and consumers have the option to go deeper if they want.   I'm planning to test out Lingo later this month, so I'll have more to share soon! Feel free to send any tips, suggestions, story ideas and data to Ashley at ashley.capoot@nbcuni.com. Annika Kim Constantino | Biotech & Pharmaceutical Reporter @annikakimc   Annika Kim Constantino | Associate Pharmaceutical Reporter @annikakimc   A journey inside Epic Systems' mythical and sprawling campus, a world away from Wall Street Epic Systems, a 45-year-old health-care software company, remains privately held with a sprawling campus that's far from Wall Street or Silicon Valley. - Ashley Capoot Abbott launches its first over-the-counter continuous glucose monitor in the U.S. Abbott Laboratories announced Lingo, its first over-the-counter continuous glucose monitor, is available in the U.S. - Ashley Capoot FDA authorizes Novavax's updated Covid vaccine, paving way for fall rollout The decision comes only a week after it approved a new round of messenger RNA shots from Pfizer and Moderna, which both target an offshoot of JN.1 called KP.2. - Annika Kim Constantino Eli Lilly releases new form of weight loss drug Zepbound for half the price to boost access, supply Eli Lilly is offering 2.5-milligram and 5-milligram single-dose vials of Zepbound for $399 per month and $549 per month, respectively. - Annika Kim Constantino Mark Zuckerberg says White House 'pressured' Meta to 'censor' Covid-19 content Zuckerberg said it was ultimately Meta's decision to take down any content, but he noted he believes that the alleged "government pressure was wrong." - Arjun Kharpal About 1.4 million Medicare prescription plan participants will save $1,000-plus each year with new out-of-pocket cap starting in 2025 Retirees covered by Medicare Part D are set to see new relief from high prescription drug costs in 2025. New research estimates how much they may save. - Lorie Konish Healthy Returns: What to know about the latest round of Pfizer, Moderna Covid vaccines A brand new round of Covid shots from Pfizer and Moderna is about to reach Americans. Meanwhile, CNBC tested out Dexcom's new CGM Stelo. - Annika Kim Constantino,Ashley Capoot JOIN US CONTRIBUTORS Ashley Capoot @ashleycapoot Bertha Coombs @berthacoombs Ashley Capoot @ashleycapoot Bertha Coombs @berthacoombs Unsubscribe Digital Products Manage Newsletters Feedback Terms of Service Privacy Policy Join the CNBC Panel © 2024 CNBC LLC. All rights reserved. A property of NBCUniversal.   900 Sylvan Avenue, Englewood Cliffs, NJ 07632   Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes and Market Data and Analysis.   Data also provided by THOMSON REUTERS