Health Care Slides After Lilly Warning - Health Care Roundup

Health-care companies slid after a profit warning from Eli Lilly.

Shares of the obesity-drug maker tumbled after it slashed its projection for fourth-quarter revenue as the market for drugs that increase insulin levels grew more slowly than expected. Rival weight-loss and diabetes drug maker Novo Nordisk fell in sympathy.

Pfizer shares fell after the drug giant disclosed plans to further cut its stake in British over-the-counter health-care products purveyor Haleon.

The largest pharmacy-benefit managers hiked the prices of certain drugs dispensed through their own pharmacies, bolstering profits, according to a new report by the Federal Trade Commission. The report will likely keep insurers Cigna, CVS Health and UnitedHealth Group under pressure following controversy about their role in the health-care system.

The health-care sector has been rebounding recently following a sharp selloff in recent weeks amid hopes that controversy would die down. The health-care industry group was among the leading S&P 500 sectors for equity in-flows last week, according to a client survey from analysts at brokerage Bank of America Securities.

Write to Rob Curran at [e-mail]

(END) Dow Jones Newswires

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