Before PepsiCo Inc. (NYSE: PEP) reported quarterly earnings on Tuesday, analysts and others worried that the impact of weight-loss drugs like Ozempic would cut into the company’s sales. Before Delta Air Lines Inc. (NYSE: DAL) reported quarterly earnings on Wednesday, analysts wondered if skinnier passengers would benefit the airlines.
Weight-loss drugs like Ozempic and Wegovy work by mimicking the hormone that tells people’s brains that they are not hungry. It also slows digestion. For companies like PepsiCo that make soft drinks and snack foods, that is not going to increase sales and profits. For airlines, though, thinner passengers can slim down the company’s fuel costs.
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