Coke may be spared as $100 billion weight-loss drug revolution unfolds

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Coke may be spared as $100 billion weight-loss drug revolution unfolds
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Citing Vanda Research, the Wall Street Journal reports that the average individual-investor stock portfolio is up 150% since the start of 2014, versus around 140% for the S&P 500’s SPX during the same period.

“We forecast U.S. sales for the GLP-1 category to exceed $100 billion in annual sales over time, split roughly 50/50 in diabetes and obesity. Our global market estimate is $140 billion by 2032,” said a team led by analyst Nicholas Rosato, whose estimates crush the $77 billion in sales by 2030 predicted by Morgan Stanley this summer.

In life sciences, they like Thermo Fisher TMO, -0.55%, Catalent CTLT, +0.14% and Avantor AVTR, +0.10%, which makes process ingredients used in those diabetes/weight loss drugs, and see incremental gains seen for Danaher DHR, -0.86%, Repligen RGEN, -1.51% and Agilent A, +0.10%. Walmart WMT, +1.42% CEO John Furner sent shares of Coca-Cola KO, -0.90% and PepsiCo PEP, +0.05% tumbling a few weeks ago after he blamed GLP-drugs for lower spending on groceries and high-calorie snacks. Morgan Stanley has been among Wall Street banks flagging this likely fallout.

What else? Within U.S. food delivery they are prefer the more global player Uber UBER, +0.19% to DoorDash DASH, +2.38% and Instacart CART, -0.93% for its potential from secular growth of online grocery delivery.

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