Much of the American population lost the grit in our gut and the resolve that made us work hard for success. Thanks to the handouts from the liberals, people are turning to drugs like Ozempic and Wegovy for weight loss instead of managing their diet and getting off the couch. Now, a new report from Goldman Sachs indicates that they could turn these drugs into a trillion-dollar industry by 2025.
Classified as glucagon-like peptide 1 or GLP-1 receptor agonists, these drugs were initially invented for type 2 diabetes. When diabetics who started taking the drug noted dramatic weight loss with no effort or diet changes, the clinical trials began. While Wegovy is approved for this off-label use, the far more promoted and used Ozempic has not been formally approved for this use.
With the companies claiming a lack of awareness of these findings, they have had a massive market shortage due to this off-label use. This means thousands of type 2 diabetics are unable to find their medication easily, and when they can, it is often coming at an inflated cost due to this off-label use.
In an argument from Goldman Sachs about the “positive” uses of the drug, those who lose weight often improve their poor health and become less of a drain on the economy. This means insurance and health care costs could go down, and productivity could increase. Reading into a situation like this is dangerous, though. We still don’t know the long-term effects of the drug’s use, and companies won’t cut costs to the consumer and eat into new profit margins. Any expectation to the contrary is simply delusional.
For investors in products like these, this news is like music to their ears. With people eating more processed foods than ever and using drugs like these to shed pounds, the sky is the limit for profits as long as easy answers like these exist.
