Novartis US Stock Rises On Reports Of White House Pricing Deal Due Friday — Roche Also In Talks

• The talks follow the administration’s push to lower U.S. drug prices using trade and regulatory leverage.
• Pfizer and AstraZeneca have already reached agreements, while several other major drugmakers are still weighing potential deals.
• Novartis and Roche have highlighted U.S. investment and manufacturing commitments.

Novartis' U.S.-listed stock rose on Wednesday as investors weighed reports of impending U.S. drug pricing deals tied to the company.

The announcement is expected as soon as Friday and could include Roche, though details are still being finalized and additional drugmakers may be added, according to a report by Bloomberg.

Trump’s Push On Drug Prices

In August, Trump sent letters to 17 pharmaceutical companies demanding that they cut prices for U.S. government insurance programs and align domestic pricing more closely with what patients pay in other developed countries. The letters also called for companies to make medicines available through a Trump-branded direct-to-consumer platform and commit to not charging Americans more than foreign markets under a “most-favored-nation” pricing framework.

In exchange, companies were offered multiyear relief from threatened tariffs and some potential regulatory measures. The administration has said it is using trade policy as leverage to force price reductions, arguing that Americans pay more than triple what patients in other developed nations pay for the same drugs.

Who Has And Hasn’t Cut Deals

Pfizer and AstraZeneca have already struck agreements with the administration in recent months, but many other drugmakers are still on the sidelines. Companies such as AbbVie, Bristol-Myers Squibb, Gilead Sciences, Amgen, Johnson & Johnson, Merck, Regeneron Pharmaceuticals and Sanofi have yet to announce any deals.

Novartis said in a statement to Bloomberg it is in talks with the administration and is committed to lowering U.S. drug costs while addressing price gaps with other developed countries. Meanwhile, Roche’s Genentech unit said it supports efforts to reduce U.S. prices while urging other nations to better reward biopharmaceutical innovation.

The White House cautioned that no deal is final. “Until officially announced by President Trump or the Administration, any reporting about potential dealmaking is speculation,” spokesman Kush Desai told the news outlet.

Manufacturing Commitments 

Domestic manufacturing has played a central role in negotiations. Novartis has stepped up its U.S. footprint, with CEO Vas Narasimhan recently attending the opening of a new manufacturing facility in North Carolina alongside FDA Commissioner Marty Makary.

The company plans to invest $23 billion in the U.S. over the next five years and generate about 41% of its revenue from the market, led by drugs such as Entresto. Roche has also committed to expanding in the U.S., pledging $50 billion in investment and deriving nearly half of its revenue from the country, driven by treatments including Ocrevus and Tecentriq.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment for Novartis was ‘bearish’ with ‘low’ message volume, while Roche was ‘bullish’ amid ‘high’ message volume.

So far this year, Novartis’ U.S.-listed shares have risen 42%, while Roche’s U.S.-listed stock has also gained 45% over the same period.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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