Ozempic and Wegovy maker Novo Nordisk quieted Wall Street's concerns with its fourth-quarter results and 2025 outlook.

Novo’s newest GLP-1, CagriSema, is the first big test of Novo Nordisk’s future as the leader in the obesity treatment market. The drug is more potent than Ozempic and Wegovy, expanding treatment to heavier patients while perhaps reducing treatment times for other individuals.

Shares of Novo Nordisk climbed 4.5% on Wednesday after the Danish pharmaceutical giant reported a stronger-than-expected fourth-quarter net profit, driven by soaring demand for its obesity treatment,

Demand for weight-loss drugs surged throughout 2024, outpacing supply for most of the year. In December, Novo Holdings, an investment foundation of Novo Nordisk, acquired three manufacturing sites in Catalent to expand its production capacity.