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The market value of the Denmark-based pharmaceutical firm jumped by more than $8.3 billion following new research showed that its oral anti-obesity medication achieved nearly as much body mass loss as its Wegovy injection.

Stock in the company rose by over four and a half percent on Thursday as the market became hopeful about its potential to regain its competitive position in the face of increasing competition from competing firms and lower-cost generic alternatives of weight management medications.

The latest study demonstrated that a daily pill alternative of the company’s injectable treatment led to substantial weight loss, with close to one in three trial subjects losing at least a fifth of their weight. Reported adverse reactions were comparable to those of the injectable therapy.

It is the initial oral GLP-1 medication presented to the US Food and Drug Administration for approval, and a decision is expected by the end of this year. Manufacturing has already commenced at the firm’s American sites.

This progress puts the firm in direct competition with American competitor Eli Lilly, which is likewise developing a daily weight loss pill called its oral candidate. Trial findings from Eli Lilly indicated that 20% of participants achieved 20% or more of their body weight over a year-and-a-half timeframe.

While injectable treatments are enjoying widespread popularity, they remain expensive and frequently facing supply constraints. Oral versions tend to be simpler to manufacture, keep, and take, and may potentially be sold at a more affordable price.

Market analysts indicate that pill-based weight loss medications could generate annual sales reaching $10 billion, with some estimates pointing to a peak potential of up to twenty-five billion dollars.

Shares of firms specializing in GLP-1 medications have significantly beaten traditional pharmaceutical stocks over the recent half-decade, reflecting strong market interest in this growing industry.