Demand for GLP-1 drugs has climbed sharply in recent years, and the list of conditions these medicines can address continues to expand. Over the next decade, the market is widely expected to reach new heights. While most investor attention remains fixed on Eli Lilly and Novo Nordisk, other companies are quietly positioning themselves to benefit from the same trend. Two names worth watching are CVS Health (CVS) and Roche (RHHBY).
CVS Health, one of the largest pharmacy chains in the United States, has delivered steadily improving results over the past 18 months. Rising medical costs previously pressured profits and margins, but the company has been working through those issues, and the latest quarterly numbers show meaningful progress. In the second quarter, revenue rose 7.3% year over year to $106.1 billion, while adjusted earnings per share came in at $2.58, up 42.5% from the same period a year earlier.
On the GLP-1 front, CVS Health is tackling a persistent problem: uneven and often limited insurance coverage for weight-loss medications. The company offers all approved GLP-1 drugs in the U.S., including Eli Lilly’s Zepbound and the oral obesity treatment Foundayo, as well as Novo Nordisk’s Wegovy in both subcutaneous and oral forms. In addition, CVS Health has introduced a low-cost online assessment service priced at $29, designed to help patients determine whether they qualify for GLP-1 therapy and to provide ongoing support as they pursue weight-loss goals. These initiatives could attract people who have struggled to access GLP-1 medicines and, in turn, drive sales within the company’s pharmacy segment.
The investment case for CVS Health, however, goes beyond GLP-1 drugs. The broader business is regaining momentum, and the company holds leadership positions across several categories within the U.S. healthcare market. Its extensive network and long-standing relationships with patients and communities give it a competitive moat. Many people have relied on CVS Health for prescription medications for years, and that entrenched position should allow the company to benefit as healthcare spending in the U.S. rises over the coming decade.
Roche is a major pharmaceutical company with a diversified portfolio spanning multiple therapeutic areas. It also operates a diagnostics segment, which helps offset the volatility of any single drug franchise. The company continues to generate consistent revenue and earnings. In the first half of the year, Roche reported sales of 30.4 billion Swiss francs, or about $37.8 billion. Because of the Swiss franc’s sharp appreciation, reported revenue in francs declined 2% year over year, but on a constant-currency basis, sales rose 6%. Earnings per share reached 10.85 Swiss francs, roughly $13.5, up 9% year over year in constant currency.
Roche already has several growth drivers in its portfolio, including Vabysmo for a range of eye disorders, Ocrevus for multiple sclerosis, and Xolair for allergic asthma. At the same time, the company is advancing a highly promising pipeline of weight-loss therapies that could become a significant source of future sales.
The most closely watched candidate is CT-388, an investigational dual GLP-1 and GIP receptor agonist that mimics the action of both hormones. This dual-pathway approach has already been validated by Eli Lilly’s Zepbound. In a phase 2 study, CT-388 achieved a placebo-adjusted mean weight loss of up to 22.5% after 48 weeks. By comparison, Zepbound posted a mean weight loss of 20.2% in a phase 3 study over 72 weeks. CT-388 has now advanced into phase 3 testing. If successful, it could position Roche as a serious contender in the GLP-1 space.
Clinical development always carries risk, and setbacks are possible. Even if CT-388 fails, Roche still has a deep pipeline and an approved product portfolio that includes other investigational obesity therapies. The company’s innovative capabilities and diversified business provide a cushion, meaning its long-term performance does not hinge on a single drug candidate. Whether or not Roche fully capitalizes on the GLP-1 boom, it has the resources to absorb setbacks and continue delivering steady growth.
The GLP-1 market is still expanding rapidly, and the opportunity extends well beyond Eli Lilly and Novo Nordisk. CVS Health brings distribution scale and patient-access services to the weight-loss segment, while Roche offers a research-driven pipeline with competitive late-stage assets. Both companies have core businesses that stand on their own, and their GLP-1 initiatives could provide an additional layer of growth in the years ahead.
