Amgen’s MariTide Results Spark Mixed Reactions in Pharma Markets

Amgen’s stock took a sharp dive of 4.8%, closing at $280.01, following the announcement of its latest obesity treatment, MariTide. This notable market response comes despite what the company describes as “truly remarkable” results from its Phase 2 trial, where non-diabetic patients lost up to 20% of their body weight over a year with a monthly or less frequent dosing regimen.

Comparative Analysis of Obesity Treatments

Analysts compared the weight loss achieved by Amgen’s MariTide with that of other leading obesity treatments, notably Eli Lilly’s Zepbound and Novo Nordisk’s Wegovy. Zepbound and Wegovy are administered once a week, putting MariTide at the low end of expectations. Mizuho Securities analyst Salim Syed indicated this underperformance relative to peers, particularly pointing out that Viking Therapeutics’ VKTX candidate led patients to lose 14.7% of their body weight over a shorter period of 13 weeks in early-stage testing.

An additional concern for MariTide is its side effect profile. The trial revealed that approximately 11% of participants discontinued due to side effects, while only around 7% dropped out in the Zepbound Phase 3 study. Most side effects observed were gastrointestinal, aligning with established expectations for this class of drugs.

Amgen’s Optimistic Perspective

Despite the stock drop, Amgen executives expressed optimism about MariTide’s potential. Susan Sweeney, the executive vice president of obesity and related conditions at Amgen, stated, “I’m really excited about MariTide. It is unique and differentiated, and we believe it has a competitive profile.” The company believes that the rising demand for obesity treatments presents a significant opportunity, underscoring a high unmet medical need.

Differentiation in Mechanism and Dosage

Amgen’s MariTide employs a unique mechanism that mimics GLP-1 while inhibiting GIPR, which is distinct from Zepbound that mimics both GLP-1 and GIPR. RBC Capital Markets analyst Gregory Renza highlighted that this might lead to better long-term weight maintenance, supported by a consistent weight loss pattern observed in their trials. Importantly, MariTide maintained a continuous rate of weight loss without plateauing, suggesting a potentially more durable treatment response.

Amgen is also exploring various dosing regimens in its follow-up studies, aiming to tackle questions about the drug’s long-term efficacy and safety profile. According to Piper Sandler analyst Christopher Raymond, the rate of nausea and vomiting, mostly transient and associated with the initial dose, were manageable and did not deter ongoing participation in the trial.

Investor Sentiment and Market Reactions

Following the announcement of MariTide’s results, Amgen’s stock drop has translated into gains for its competitors, Eli Lilly and Novo Nordisk, with their shares rising by 4.6% and 1.5%, respectively. Concurrently, Viking’s shares gained 2.8%, driven in part by speculation over the ongoing clinical efficacy of its obesity candidate.

Clinical Outcomes and Future Directions

In terms of clinical outcomes, aside from the notable weight loss in non-diabetic patients, Amgen reported that individuals with type 2 diabetes lost up to 17% of body weight and experienced a 2.2% reduction in HbA1c levels, a crucial marker for blood sugar control. Sweeney characterized these outcomes as groundbreaking, marking the potential of MariTide as not just an obesity treatment but also pertinent for managing type 2 diabetes.

As the obesity treatment market becomes increasingly consumer-driven, Amgen’s focus on a monthly medication protocol could provide a competitive edge, especially in aligning with patient preferences for convenience. Zepbound and other GLP-1 drugs may find their position challenged as more data becomes available from ongoing studies.

Conclusion

The road ahead for Amgen’s MariTide appears to be fraught with both opportunity and competitive pressure. Stakeholders will be keenly observing forthcoming trials, especially the yearlong second part of its Phase 2 study and the pivotal Phase 3 test, dubbed “Maritime.” Overall, while the results so far have generated both excitement and skepticism, the broader narrative will hinge on the persistence of weight loss, safety profiles, and market dynamics as this sector continues to evolve.