WeightWatchers (WW International) (NASDAQ:WW) stock is trading higher on Wednesday, with a session volume strong at 31.45 million, compared to an average volume of 3.25 million as per data from Benzinga Pro.
WeightWatchers stock is trading higher on continued strength after the company announced on Tuesday that it will add compounded semaglutide to its offering.
Semaglutide is an active ingredient in Novo Nordisk A/S's (NYSE:NVO) ultra popular Wegovy and Ozempic.
Over the past year, WeightWatchers has called local pharmacies across the country on behalf of members to conduct almost 3 million stock checks for GLP-1 medications and found them in stock just 4.5% of the time. These shortages can result in delays or interruptions of treatment.
Over the last six months, roughly 45% of WeightWatchers Clinic members eligible for and prescribed a GLP-1 by their clinician have been denied coverage by their insurance after three prior authorization requests.
Less than 40% of insurers cover GLP-1 medications for weight loss, leaving many individuals living with obesity without crucial financial support. For those with coverage, more than half say their GLP-1 is still difficult to afford.
WeightWatchers clinicians can prescribe compounded semaglutide if they determine that a GLP-1 weight-loss medication is appropriate for a patient.
Eligible members can use their insurance for brand-name medications or choose to self-pay for brand-name medications or compounded semaglutide.
Only patients meeting clinical eligibility requirements will be prescribed a compounded GLP-1; the clinical eligibility requirements for compounded GLP-1s are the same as for brand-name medications.
If prescribed, WeightWatchers members receive their compounded semaglutide within 1-3 business days.
The compounding groups Outsourcing Facilities Association and FarmaKeio Custom Compounding filed a complaint regarding the FDA's removal of Eli Lilly And Co's (NYSE:LLY) Tirzepatide from the shortage list.
The FDA's decision to withdraw the drug without prior notice or public consultation has been criticized for depriving patients of essential care, potentially driving up drug prices, and favoring special interests.
Price Action: WW stock is up 50.01% at $1.73 during the premarket session at last check Wednesday.
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