Chris Boshoff, Pfizer's chief scientific officer, expressed disappointment over this decision but emphasized the company's ongoing commitment to innovative medicines.

Pfizer is set to report its first-quarter earnings later this month, as it looks to stabilize its share price and diversify its portfolio.

The global market for obesity medications is booming, projected to reach $130 billion by the end of the decade, making successful products critical for pharmaceutical companies.

Following the announcement of danuglipron's discontinuation, Pfizer's stock initially fell over three percent in pre-market trading but later rose slightly.

Despite the popularity of obesity medications, many patients face challenges accessing them due to supply shortages and inconsistent insurance coverage.

Although recent studies on danuglipron met key benchmarks for efficacy and tolerability, the company decided to discontinue its development.

Pfizer has announced the halt of its obesity treatment pill, danuglipron, due to a reported potential drug-induced liver injury in a trial participant.

Pfizer's decision to halt research on danuglipron followed a thorough review of clinical data and consultations with regulators.

This is not Pfizer's first setback in the obesity treatment arena, as the company had previously discontinued a twice-daily version of the drug due to patient tolerance issues.

Other pharmaceutical companies, including Novo Nordisk and Eli Lilly, are also developing oral weight-loss pills, indicating a competitive landscape in this market.

This setback is particularly significant for Pfizer as it strives to compete in the lucrative obesity medication market against established products from Novo Nordisk and Eli Lilly.

Analysts predict the GLP-1 market could exceed $150 billion by the early 2030s, with oral medications potentially capturing a substantial share.