Mark Cuban Rates Trump’s New Prescription Drug Site with a 'B'

Mark Cuban has evaluated the latest initiative of President Donald Trump—a direct-to-consumer online pharmacy—and has tentatively graded it with a 'B'.

President Trump revealed plans for TrumpRx.gov, an official governmental platform intended for purchasing prescription drugs directly from producers, thereby excluding the middlemen known as Pharmacy Benefit Managers (PBMs). Official projections anticipate the website will become operational in 2026.

Cuban, who is a noted billionaire investor, expressed on X that such a move would benefit patients and might even enhance the prospects for his own Cost Plus Drugs enterprise, which works under a comparable framework. Despite recognizing the potential, he rated the initiative a 'B' for now.

Cuban questioned the lack of significant change in PBM stock values, noting, "The current scenario implies that no significant disruption is expected for them and they'll likely offset any revenue deficits from other revenue streams."

In response to questions about the sincerity of Trump's plan in reforming PBMs, Cuban mentioned, "There remains a system slanted towards major PBMs, but the initiative could succeed if it prompts them to evolve. Should changes happen, Trump will deserve credit."

In communication with Business Insider, Cuban noted that TrumpRx.gov is essentially a directory. "As long as our Cost Plus Drugs is featured, given that we typically offer over 90% of prescriptions at the lowest rates, I support it!"

In conjunction with the announcement, the White House indicated that Pfizer intends to supply several of its medications through TrumpRx.gov and adjust prices for Medicaid. This arrangement includes a three-year exemption from tariffs for the pharmaceutical giant.

Industry Reactions and Implications

Pfizer will reportedly extend considerable savings—up to 85% off, with an average of 50%—on a large portion of their primary care and select specialty products, as mentioned in a press statement.

Cuban's own online pharmacy, established with Alex Oshmyansky in 2022, adopts a model similar to Trump’s proposal by eliminating intermediaries and generally charging 15% above wholesale prices.

Data from the Commonwealth Fund highlights that nearly 80% of drug access in the U.S. is dominated by a triad of major PBMs: UnitedHealth Group's Optum Rx, CVS Caremark, and Cigna's Express Scripts. Stock market movements on Tuesday didn’t reveal significant shifts in their valuations.

PBMs are known to secure rebates by placing drugs preferentially on formularies, often based on the list price, thereby sometimes favoring costlier brand-name medications over more affordable generics. While insurers claim these practices reduce costs, skeptics argue it leads to inflated pricing and elevated insurance premiums.

Requests for comments were not immediately addressed by the White House.