Trump's Heavy Blow to Drug Prices Causes AstraZeneca to Lose Its Crown as the UK's Most Valuable Company
After U.S. President Trump's plan to lower drug prices led to a decline in the stock prices of global pharmaceutical companies, AstraZeneca lost its title as the highest market capitalization company listed in the UK. Data shows that AstraZeneca's stock listed in London fell by as much as 5.8% on Monday, bringing the company's market capitalization down to approximately £154 billion, below HSBC Holdings' £156 billion market capitalization. As of the time of publication, AstraZeneca's stock fell over 3% in pre-market trading on Monday. In recent weeks, European pharmaceutical stocks have generally been under pressure, due not only to Trump's plan to lower drug prices in the U.S. but also to his plan to impose tariffs on drug imports. AstraZeneca CEO Pascal Soriot warned last month that trade tariffs are not the best way to manage the pharmaceutical industry. Meanwhile, HSBC stated that its business is not expected to be significantly affected by tariffs. Despite the global economy and markets being impacted by an increasingly fragile geopolitical environment, the company announced a new stock repurchase plan last month to reward shareholders
According to the Zhitong Finance APP, after U.S. President Trump’s plan to lower drug prices led to a decline in global pharmaceutical company stock prices, AstraZeneca (AZN.US) lost its title as the highest-valued company listed in the UK. Data shows that AstraZeneca's stock listed in London fell by as much as 5.8% on Monday, bringing the company's market value down to approximately £154 billion, below HSBC Holdings' £156 billion market value. As of the time of writing, AstraZeneca's stock fell over 3% in pre-market trading on Monday.
In recent weeks, European pharmaceutical stocks have generally been under pressure, not only due to Trump’s plan to lower drug prices in the U.S. but also due to his plan to impose tariffs on drug imports. AstraZeneca CEO Pascal Soriot warned last month that trade tariffs are not the best way to manage the pharmaceutical industry.
Meanwhile, HSBC stated that its business is not expected to be significantly impacted by tariffs. Despite the global economy and markets being affected by an increasingly fragile geopolitical environment, the company announced a new stock buyback plan last month to reward shareholders
