Key insights
- The author discusses WVE's stock decline despite positive results showing visceral fat loss and lean body mass preservation, arguing that the market is overly focused on total weight loss compared to GLP-1s. The author questions whether the market is mispricing the stock due to an incorrect focus on total weight loss instead of body composition, which could have long-term health benefits. This could negatively impact other biotech firms with similar results.
Just bought in at 5.58 and trying to sanity check this.
The company just released results showing:
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significant visceral fat loss
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preservation, even increase, in lean body mass
Which seems like a huge deal given drugs like Ozempic and other GLP-1s can reduce muscle mass and even impact bone density.
But the stock absolutely tanked because:
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total weight loss was lower than GLP-1s
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and that’s still the headline metric investors care about
This feels backwards to me.
Weight loss ≠ healthy weight loss.
If anything, preserving muscle while cutting fat seems like the actual long-term win, especially for metabolic health, aging, and sustainability.
Instead, it looks like the market is saying:
“less total weight loss = worse drug”
…even if the composition is objectively better.
Am I overthinking this, or is this one of those cases where:
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the science is ahead of the market
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and investors are just anchoring to the wrong metric?
Curious how others are thinking about:
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composition vs total weight loss
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whether this could pair with GLP-1s
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and if this is actually mispriced or correctly sold off
Would love thoughts.