AI, personalized therapies, blockbusters: Evotec, NetraMark Holdings, Novo Nordisk – Your ticket to the pharmaceutical boom

Evotec – Strategic focus despite a challenging environment

Hamburg-based biotech specialist Evotec is navigating a challenging market environment with a clear focus on technology leadership and profitable partnerships. Under its new CEO, Dr. Christian Wojczewski, the Company has streamlined its portfolio by around 30% and is now concentrating on two strong pillars: shared R&D and the growth driver Just - Evotec Biologics. At the core of the strategy are scalable asset-light models and long-term collaborations with over 500 partners, including heavyweights such as Bristol Myers Squibb. These partnerships not only provide financial injections but also validate Evotec's platforms.

The first quarter of 2025 reflects the transition phase. Revenue declined by 4% to EUR 200 million, but was in line with expectations. While shared R&D recorded a decline, the Biologics business grew by an impressive 11%. Adjusted EBITDA of EUR 3.1 million was in line with expectations. For the full year, management confirms its guidance of EUR 840-880 million in revenue and EUR 30-50 million in EBITDA. It is crucial that all resources are allocated to high-margin services and therapeutic areas with high unmet needs, as the Company is currently struggling with negative free cash flow.

Evotec's strength lies in its robust drug discovery pipeline, which includes over 140 candidates. The NURTuRE-AKI consortium is a current example of these partnerships. Here, the Company is collaborating with research institutions to analyze clinical data and biomarkers from 950 patients with acute kidney injury, a field with massive medical needs and few treatment options. The data is fed into Evotec's Molecular Patient Database (E.MPD) and accelerates the identification of new target structures. At the same time, the partnership with Bristol Myers Squibb is generating significant milestone payments and expanding the technology portfolio. Despite latent takeover rumors, the share price stands at only EUR 7.066.

NetraMark Holdings – How specialized AI is revolutionizing clinical trials

While generic AI models, such as ChatGPT, fail when it comes to handling medical data, NetraMark Holdings from Canada is setting new standards. The NetraAI platform accurately identifies patient subgroups ("personas"), which are a crucial factor in the success of clinical trials. The system achieves its uniqueness by combining dynamic learning algorithms with explainable AI and is capable of working even with minimal variables. Challenging? Definitely. However, while standard AI often produces only noise when dealing with complex health data, NetraAI identifies statistically valid patterns. This was confirmed by the announcement on June 23.

In tests with real data, NetraAI clearly outperformed all competitors. In the CATIE study, the system improved the old prediction models from 66% to over 85%. For depression, the platform achieved a prediction accuracy of up to 100% for therapy response. In pancreatic cancer, it identified relevant subgroups using only 2-3 variables and achieved a model accuracy of 90-95%. ChatGPT and DeepSeek, however, delivered clinically unusable results in this context. Even classic machine learning remained stuck at less than 60% accuracy. The difference: NetraAI transparently shows which patient profiles can be reliably predicted and which cannot.

For the pharmaceutical industry, this is more than just a tool. 90% of all clinical trials often fail in late-stage trials due to incorrect patient selection. NetraAI addresses this billion-dollar problem with optimized study designs. Partnerships, such as the one with Worldwide Clinical Trials, open up access to many potential customers. With a current share price of CAD 1.36, the Company has a market capitalization of around CAD 109 million. As a result, the Company remains attractively valued despite its impressive technology and a lead pipeline of 148 customers. Anyone looking to invest in specialized AI solutions in healthcare should keep an eye on NetraMark and watch CEO George Achilleos' presentation from the 15th International Investment Forum.

Novo Nordisk – Regulatory upheaval and new hopefuls

The FDA abruptly withdrew its emergency use authorization for compounded semaglutide after Novo Nordisk resolved supply shortages of Wegovy and Ozempic. This move made the sale of such generic drugs illegal practically overnight and sent the gray market into a state of shock. Novo and Eli Lilly welcomed the decision, viewing compounded versions not only as safety risks but also as a threat to their business models. For now, the "Wild West" era of GLP-1 imitations is over.

Hims & Hers is facing an existential threat from the compounding ban. The generic versions were its growth engine and lucrative precisely because of the scarcity of the originals. Now the Company is trying to switch to Lilly's tirzepatide. But that does not solve the core problems. Original preparations offer lower margins because Lilly prioritizes its own direct sales channels. In addition, cross-selling for other platform products is falling away. The big question remains whether Hims can survive without the highly profitable compounding business.

Novo used the crisis to tighten control. With direct sales via NovoCare and exclusive alliances, such as the recent one with WeightWatchers, the Company is securing access to patients and circumventing risky partners. At the same time, it is pushing ahead with production expansion and working on oral therapies. Novo's CagriSema, a combination of semaglutide and cagrilintide, achieved 22.7% weight loss in Phase 3 studies. Oral formulations, such as Amycretin, have shown a 24% weight reduction in early studies and could potentially replace injections as early as 2026/2027. The share is currently available for EUR 58.64.

The pharmaceutical industry in 2025 will be driven by AI, personalization, and the search for blockbusters, which will open up opportunities but also require careful selection. Evotec is strengthening its position through portfolio concentration, scalable platforms, and valuable pharmaceutical partnerships, such as its collaboration with Bristol Myers Squibb for its drug pipeline. NetraMark Holdings is revolutionizing patient selection in clinical trials as an AI specialist with its unique NetraAI platform, delivering statistically valid results where generic AI fails. Novo Nordisk is consolidating its dominance as the GLP-1 market leader through regulatory blows against imitators and is driving innovation in the obesity market with promising oral successors such as Amycretin.