Pfizer’s announcement that it will stop developing its oral weight-loss drug gave shares of Wegovy maker Novo Nordisk and Zepbound maker Eli Lilly a lift.

U.S.-listed shares of Novo Nordisk plunged 7% in intraday trading Thursday after rival Eli Lilly reported positive oral weight-loss drug news and BMO cut its rating for the Danish drug developer's stock.

The analyst highlights that Lilly’s drugs, Mounjaro and Zepbound, will likely keep gaining U.S. market share from Novo Nordisk’s Ozempic and Wegovy. Seigerman noted that although Novo Nordisk initially benefited from being first to market with semaglutide, that early lead is quickly diminishing.