Key Takeaways NVO's STEP Young study showed greater BMI reduction with semaglutide versus placebo at week 68.40.4% of children on semaglutide were no longer classified as having obesity after week 68.Semaglutide's safety profile was consistent with prior pediatric and adult studies, with no new concerns. Novo Nordisk (NVO - Free Report) announced positive data from the phase III STEP Young study evaluating once-weekly subcutaneous semaglutide, in combination with a reduced-calorie diet and increased physical activity, in children with obesity aged six to under 12 years.
More on the STEP Young Study DataThe phase III STEP Young study met its primary endpoint by demonstrating a greater reduction in body mass index (BMI) at week 68 following treatment with semaglutide versus placebo. Both treatment groups received lifestyle modification, including a reduced-calorie diet and increased physical activity.
Importantly, 40.4% of children who were treated with once-weekly subcutaneous semaglutide were no longer classified as having obesity after week 68, compared with none in the placebo group. More than 85% of children had class II or III severe obesity at baseline.
Per the company, two out of five children treated with semaglutide reduced their BMI below the obesity threshold, reaching either a normal-weight or overweight classification, compared with none of the children receiving placebo.
The overall safety and tolerability profile of semaglutide seen in the STEP Young study was consistent with prior pediatric and adult studies, with no new safety concerns reported.
The company plans to present detailed data from the phase III STEP Young study at the Obesity Society’s annual meeting in November.
NVO’s Price PerformanceYear to date, shares of Novo Nordisk have declined 5.3% against the industry’s rise of 16.4%.
Image Source: Zacks Investment Research
NVO Thrives on Semaglutide-Based MedicinesNovo Nordisk markets its semaglutide-based medicines under the brand names Ozempic (injection and oral pill) and Rybelsus (oral tablet) for type II diabetes (T2D), and Wegovy (injection and oral pill) for chronic weight management.
The company’s semaglutide-based medicines continue to demonstrate benefits beyond blood sugar control and weight loss, including reducing cardiovascular (CV) risk and improving kidney disease outcomes.
Novo Nordisk has been witnessing strong success with its GLP-1 medicines, Wegovy for obesity and Ozempic and Rybelsus for T2D.
In the first half of 2026, total reported Obesity care sales increased 20% year over year in DKK, or 24% at constant exchange rates, driven by higher sales across the Wegovy portfolio, including incremental sales from the newly launched Wegovy pill.
In late December, the FDA approved NVO’s 25 mg oral semaglutide (Wegovy pill) for obesity and CV disease, which was subsequently launched in early January. The Wegovy pill is also approved in the EU.
NVO Faces Rising Competitive PressureNovo Nordisk faces intense competition from Eli Lilly (LLY - Free Report) in the obesity market. Lilly's Mounjaro for T2D and Zepbound for obesity have earlier demonstrated superior weight-loss efficacy in clinical studies, allowing the company to gain market share steadily. Despite being on the market for a shorter duration, these drugs have become LLY’s key top-line drivers.
Lilly has also secured FDA approval for its oral GLP-1 drug, orforglipron, for adults with obesity or overweight with weight-related medical problems, marketed under the brand name Foundayo.
While Novo Nordisk and Eli Lilly currently dominate this space, smaller biotechs like Structure Therapeutics (GPCR - Free Report) and Viking Therapeutics (VKTX - Free Report) are also advancing GLP-1–based therapies for treating obesity.
Viking Therapeutics’ dual GIPR/GLP-1 receptor agonist (RA), VK2735, is being developed in both oral and subcutaneous formulations for the treatment of obesity. VKTX plans to advance oral VK2735 into phase III development for obesity in the fourth quarter of 2026.
Structure Therapeutics’ phase II ACCESS program on its orally administered small molecule GLP-1 RA, aleniglipron, demonstrated significant weight loss across all doses. Based on such encouraging results, GPCR has initiated dosing patients in its late-stage ACCOMPLISH program to evaluate aleniglipron for chronic weight management.
NVO Zacks RankNovo Nordisk currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Eli Lilly (LLY - Free Report) .
Lilly currently has an average brokerage recommendation (ABR) of 1.45, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 30 brokerage firms. An ABR of 1.45 approximates between Strong Buy and Buy.
Of the 30 recommendations that derive the current ABR, 22 are Strong Buy and three are Buy. Strong Buy and Buy respectively account for 73.3% and 10% of all recommendations.
Brokerage Recommendation Trends for LLY
Check price target & stock forecast for Lilly here>>>
While the ABR calls for buying Lilly, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankAlthough both Zacks Rank and ABR are displayed in a range of 1--5, they are different measures altogether.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Is LLY Worth Investing In?In terms of earnings estimate revisions for Lilly, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $35.93.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Lilly. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Lilly.
Novartis just handed the entire Lp(a) drug class a failing grade, and Amgen is taking the worst of the punishment despite releasing promising trial results of its own on the very same morning.
A failed cholesterol trial from Novartis (NYSE:NVS | NVS Price Prediction) is dragging the Lp(a) drug class lower and hitting Amgen (NASDAQ:AMGN) harder than any large-cap peer in Tuesday trading. The selloff is unfolding even as Amgen posted a positive Phase 3 readout of its own in small cell lung cancer, an unusual split that captures how brutally the market can price competitor risk in biotech.
Amgen stock is down 10% to $394.38 at midday, interrupting a gain of 23% year to date (YTD) heading into the session. The move carries added weight because Amgen holds the fourth-largest position in the Dow Jones Industrial Average, so today’s decline pressures that index alongside health care specifically.
Meanwhile, Eli Lilly (NYSE:LLY) shares are down 2% to $1,124.77 on read-through concerns about its own Lp(a) program. As for Novartis stock, it’s tumbling 14% to $137.63 on Tuesday afternoon. The SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is down 0.37%, so today’s pharma-sector pain isn’t washing across the broad tape. That gap between the biotech names and the benchmark tells you the market is pricing pipeline risk at the sector level.
Pelacarsen Miss Rattles the Lp(a) Class Novartis said last Thursday that pelacarsen, an experimental heart drug developed with Ionis Pharmaceuticals, failed to reduce cardiovascular risk in a late-stage trial. The Novartis 8,323-patient Phase III study lowered Lp(a) levels while missing its primary composite endpoint covering cardiovascular death, non-fatal heart attack, non-fatal stroke, and urgent coronary revascularization.
Citi analysts said the Lp(a) hypothesis has been weakened, with additional data needed to establish whether the shortfall came from the drug’s mechanism, the trial’s design, or the underlying idea that lowering Lp(a) reduces cardiovascular risk. Amgen and Eli Lilly are both developing Lp(a)-lowering therapies using different technical approaches, so a class-defining failure at a rival forces investors to reweight the odds on every remaining program.
Amgen’s Own Trial Delivered a Win Here’s the wrinkle the market is missing. Amgen also announced this morning that its Phase 3 DeLLphi-305 study met its primary endpoint, showing a statistically significant improvement in overall survival for IMDELLTRA. AstraZeneca (NASDAQ:AZN) partly funded the study and supplied Imfinzi, the comparator in the trial.
Amgen’s IMDELLTRA-plus-Imfinzi regimen is being studied as a first-line maintenance treatment in extensive stage small cell lung cancer, one of the toughest settings in oncology. The readout arrived with hard survival data, an endpoint that carries commercial weight immediately, while a mechanistic Lp(a) result needs another round of confirmation.
Amgen’s cholesterol franchise still matters here. Repatha, its PCSK9 inhibitor, generated Q1 2026 revenue of $876 million on 34% year over year (YoY) growth and 35% volume growth, making it one of Amgen’s fastest-growing brands. Its longer-dated Lp(a) bet, Olpasiran, sits in the Phase 3 OCEAN(a)-Outcomes cardiovascular outcomes trial, and it’s now the pipeline asset most exposed to today’s class re-rating, according to Amgen.
The Health Care Select Sector SPDR ETF (NYSEARCA:XLV) carries Amgen and Eli Lilly as major holdings. A same-day selloff in both names weighs on the fund, even though Novartis isn’t a listed component of the ETF.
Scorecard on the Session Ticker Session Move YTD AMGN -10% +21% LLY -2% +5% NVS -14% -0.76% The gap between the size of Amgen stock’s decline and the modest moves elsewhere shows the market is treating today as a program-level revaluation for the Lp(a) class. Amgen’s YTD anchor is included because the interrupted rally frames the setback in the context of what had been a strong year.
What to Watch Next Amgen stock is being punished for a competitor’s failed trial on the same morning its own trial succeeded, and holding both facts at once is the whole exercise. A pipeline is priced on expected approvals, and the pelacarsen miss lowers the odds on the Olpasiran program Amgen has invested years in. The DeLLphi-305 readout, however, sits closer to commercialization and delivered concrete survival data.
Eli Lilly stock’s shallower decline is a reminder that these are different molecules at different stages, and a class-wide selloff prices them as if they were the same bet. Lilly’s VERVE-102 base editor showed a single dose reduced PCSK9 by up to 88% and LDL-C by up to 62% with durable effects, a mechanism distinct from pelacarsen’s antisense approach. Whether that mechanistic distance ultimately shields Lilly’s cardiovascular program depends on how the Lp(a) hypothesis holds up in the next set of trial readouts across the industry.
Investors sizing their exposure to large-cap pharma may want to keep their positions moderate until follow-up commentary lands from cardiology leaders, since the distinction between a failed drug and a failed idea can’t be settled from a single topline result. Moreover, traders can watch for Amgen’s presentation at the 2026 Wells Fargo Healthcare Conference as the next scheduled catalyst that could reframe the Lp(a) narrative.
Contact [email protected] for any questions or corrections.
The Invesco Pharmaceuticals ETF (PJP -1.99%) concentrates specifically on a narrow group of 27 pharmaceutical companies, while the iShares U.S. Healthcare ETF (IYH -2.40%) provides broader sector exposure with 100 holdings and a lower expense ratio.
Healthcare is often viewed as a defensive sector, but it encompasses everything from mature dividend-paying giants to speculative biotechnology firms. Choosing between a specialized fund like the Invesco Pharmaceuticals ETF and a broad-market equivalent like the iShares U.S. Healthcare ETF involves weighing the benefits of concentration against the stability of diversification.
Snapshot (cost & size)MetricPJPIYHIssuerInvescoiSharesShare price$128.79 (as of 2026-08-27)$72.63 (as of 2026-08-27)Expense ratio0.57%0.37%1-yr return (as of 2026-08-27)43.1%27.4%Dividend yield0.8%1.1%Beta0.450.58AUM$540.6 million$3.9 billionBeta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield as of the end of trading on Aug. 27, 2026.
Cost is a primary differentiator. The iShares U.S. Healthcare ETF is more affordable with its 0.37% expense ratio, which is nearly 0.2 percentage points lower than the Invesco fund. For income-seekers, the iShares fund also provided a higher payout over the past year.
Performance & risk comparisonMetricPJPIYHMax drawdown (5 yr)(17.5%)(17.9%)Growth of $1,000 over 5 years (total return)$1,667$1,322What's insideThe iShares U.S. Healthcare ETF offers exposure across the broad healthcare landscape, including sectors like medical equipment and biotechnology. Its largest positions include Eli Lilly & Co (LLY -2.21%) at 14.5%, Johnson & Johnson (JNJ -2.22%) at 10%, and Abbvie Inc (ABBV -3.00%) at 7.1%. The portfolio contains 100 holdings, and it was launched in 2000. This fund has paid $0.80 per share over the trailing 12 months, which, on its recent ~$72.63 share price, works out to a 1.1% yield.
In contrast, the Invesco Pharmaceuticals ETF is more concentrated, holding 27 stocks with a strict focus on companies involved in drug research and development. Its top holdings include Amgen Inc (AMGN -10.08%) at 5.7%, Abbott Laboratories (ABT -2.59%) at 5.7%, and Merck & Co (MRK -1.24%) at 5.5%. Because it focuses on a much smaller portfolio, it takes larger relative stakes in these individual drugmakers. Launched in 2005, this fund has paid $1.06 per share over the trailing 12 months, which on its recent ~$128.79 share price works out to a 0.8% yield.
For more guidance on ETF investing, check out the full guide at this link.
Which looks like the better buy?Both these ETFs offer exposure to the healthcare sector and are alike in many ways.
The similarities: Both funds are almost all (99%-plus) in U.S. stocks, both have the same 8 stocks in their top 10 holdings (although at different weightings) with roughly half of their assets dedicated to their top 10 -- 49% for PJP and 59% for IYH.
Still, they do have some differences investors should take into account when weighing whether to invest.
IYH, the fund with the larger set of component stocks, is quite weighted toward large caps, at 71% of the portfolio, with 24% in mid caps and 6% in small caps (numbers exceed 100% due to rounding).
By comparison, PJP is 45% large caps, 15% mid caps, and 40% in small caps. That makes PJP a more aggressive portfolio, since small caps should be more volatile, although the maximum 5-year drawdown, as noted in the table above, shows PJP is actually less volatile than its iShares rival.
Indeed, the structure or management -- or both -- of PJP appears to work quite well for investors, beating iShares' IYH ETF in most time periods. Year-to-date, for instance, PJP is up 16.4% to IYH's 14.5% return. Over the 3-year and 5-year periods, PJP wins out with annualized returns of 19.2% and 10.3%, respectively, compared to 10% and 5.5% for IYH. The iShares fund does have a better 10-year performance, at 10.5% vs. 8.1% annualized return.
While IYH is appealing for its better 10-year return, PJP's consistent outperformance since and its lighter maximum drawdown suggest PJP is the ETF to add to your portfolio.
IHE's concentrated pharma focus delivered 50% gains versus IYH's 27.4%, though the broader healthcare fund offers more diversification and $3.9B in assets.
In the latest close session, Eli Lilly (LLY - Free Report) was down 2.21% at $1,123.91. This change lagged the S&P 500's 0.58% loss on the day. At the same time, the Dow lost 1.18%, and the tech-heavy Nasdaq lost 0.32%.
Shares of the drugmaker have depreciated by 6.7% over the course of the past month, underperforming the Medical sector's gain of 2.73%, and the S&P 500's loss of 0.36%.
Analysts and investors alike will be keeping a close eye on the performance of Eli Lilly in its upcoming earnings disclosure. The company's earnings report is set to go public on October 29, 2026. It is anticipated that the company will report an EPS of $9.56, marking a 36.18% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $22.08 billion, indicating a 25.46% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $35.93 per share and a revenue of $88.27 billion, indicating changes of +48.41% and +35.42%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Eli Lilly. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. At present, Eli Lilly boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, Eli Lilly is holding a Forward P/E ratio of 31.99. This expresses a premium compared to the average Forward P/E of 17.92 of its industry.
It is also worth noting that LLY currently has a PEG ratio of 1.44. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 2.27 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. At present, this industry carries a Zacks Industry Rank of 102, placing it within the top 42% of over 250 industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.
Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.8% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Eli Lilly (LLY - Free Report) Indianapolis, IN-based Eli Lilly and Company, one of the world’s largest pharmaceutical companies, boasts a diversified product profile, including a solid lineup of new successful drugs. It also has a dependable pipeline in areas like obesity, diabetes and Alzheimer’s.
LLY is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Additionally, the company could be a top pick for growth investors. LLY has a Growth Style Score of A, forecasting year-over-year earnings growth of 48.4% for the current fiscal year.
For fiscal 2026, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.37 to $35.93 per share. LLY boasts an average earnings surprise of +21.3%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, LLY should be on investors' short list.
Burford Brothers Inc. purchased a new stake in shares of Eli Lilly and Company (NYSE:LLY – Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund purchased 890 shares of the company’s stock, valued at approximately $1,068,000.
A number of other hedge funds and other institutional investors have also bought and sold shares of the stock. Coastal Bridge Advisors LLC purchased a new position in Eli Lilly and Company during the second quarter valued at $2,959,000. Mosaic Family Wealth Partners LLC lifted its stake in Eli Lilly and Company by 70.6% in the 2nd quarter. Mosaic Family Wealth Partners LLC now owns 3,455 shares of the company’s stock worth $4,144,000 after purchasing an additional 1,430 shares in the last quarter. Moran Wealth Management LLC boosted its holdings in shares of Eli Lilly and Company by 85.6% during the 2nd quarter. Moran Wealth Management LLC now owns 20,903 shares of the company’s stock valued at $25,072,000 after purchasing an additional 9,638 shares during the last quarter. Generali Investments Management Co LLC boosted its holdings in shares of Eli Lilly and Company by 17.5% during the 2nd quarter. Generali Investments Management Co LLC now owns 10,220 shares of the company’s stock valued at $12,258,000 after purchasing an additional 1,521 shares during the last quarter. Finally, Amundi grew its position in shares of Eli Lilly and Company by 9.9% during the first quarter. Amundi now owns 5,055,025 shares of the company’s stock valued at $4,649,464,000 after purchasing an additional 454,549 shares in the last quarter. Hedge funds and other institutional investors own 82.53% of the company’s stock.
Insider Buying and Selling at Eli Lilly and Company In related news, CAO Donald A. Zakrowski sold 2,000 shares of the stock in a transaction on Monday, August 10th. The stock was sold at an average price of $1,185.01, for a total transaction of $2,370,020.00. Following the sale, the chief accounting officer owned 1,526 shares in the company, valued at approximately $1,808,325.26. This represents a 56.72% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Patrik Jonsson sold 6,500 shares of the stock in a transaction on Monday, August 17th. The shares were sold at an average price of $1,175.10, for a total value of $7,638,150.00. Following the sale, the executive vice president owned 54,147 shares in the company, valued at $63,628,139.70. The trade was a 10.72% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 13,500 shares of company stock worth $15,958,170 over the last ninety days. Company insiders own 0.14% of the company’s stock.
Wall Street Analyst Weigh In LLY has been the topic of several research reports. Wall Street Zen cut Eli Lilly and Company from a “strong-buy” rating to a “buy” rating in a report on Sunday, August 23rd. Berenberg Bank increased their price target on Eli Lilly and Company from $1,050.00 to $1,135.00 and gave the company a “hold” rating in a research note on Monday, June 22nd. Guggenheim raised their price target on Eli Lilly and Company from $1,235.00 to $1,273.00 and gave the company a “buy” rating in a report on Monday, July 13th. Sanford C. Bernstein raised their price target on Eli Lilly and Company from $1,300.00 to $1,385.00 and gave the company an “outperform” rating in a report on Tuesday, July 14th. Finally, The Goldman Sachs Group reaffirmed a “buy” rating and issued a $1,283.00 price objective on shares of Eli Lilly and Company in a research note on Friday, May 22nd. One analyst has rated the stock with a Strong Buy rating, twenty-four have issued a Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, Eli Lilly and Company currently has an average rating of “Moderate Buy” and a consensus target price of $1,292.18. Check Out Our Latest Report on LLY
Eli Lilly and Company Stock Performance Shares of NYSE:LLY opened at $1,147.06 on Monday. The firm has a fifty day simple moving average of $1,191.71 and a two-hundred day simple moving average of $1,069.87. Eli Lilly and Company has a 52 week low of $712.05 and a 52 week high of $1,292.65. The company has a quick ratio of 1.00, a current ratio of 1.35 and a debt-to-equity ratio of 1.41. The stock has a market capitalization of $1.08 trillion, a P/E ratio of 38.49, a PEG ratio of 1.42 and a beta of 0.50.
Eli Lilly and Company (NYSE:LLY – Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported $8.38 earnings per share (EPS) for the quarter, beating the consensus estimate of $6.40 by $1.98. Eli Lilly and Company had a net margin of 33.53% and a return on equity of 97.83%. The firm had revenue of $22.97 billion for the quarter, compared to analysts’ expectations of $20.82 billion. During the same period in the prior year, the company earned $6.31 EPS. The business’s revenue was up 47.7% compared to the same quarter last year. Eli Lilly and Company has set its FY 2026 guidance at 35.500-36.500 EPS. On average, analysts expect that Eli Lilly and Company will post 36.35 earnings per share for the current fiscal year.
Eli Lilly and Company Dividend Announcement The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Friday, August 14th will be paid a dividend of $1.73 per share. This represents a $6.92 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend is Friday, August 14th. Eli Lilly and Company’s payout ratio is presently 23.22%.
Key Stories Impacting Eli Lilly and Company Here are the key news stories impacting Eli Lilly and Company this week:
Positive Sentiment: Lilly agreed to acquire Merida Biosciences for up to $2.88 billion, its 13th deal of the year. The transaction adds an early-stage immunology platform designed to selectively eliminate disease-causing autoantibodies while preserving normal immune function. Investors may view the acquisition as a way to diversify beyond Mounjaro and Zepbound and build longer-term growth in autoimmune and allergic diseases. Lilly looks beyond obesity with $2.88B autoimmune buyout Positive Sentiment: Lilly’s deal activity has outpaced other major pharmaceutical companies this year, reinforcing management’s efforts to replenish and broaden its pipeline. The strategy could reduce reliance on the obesity market over time, although many acquired programs remain early stage. This week in charts: China deals, stock flatlines and Lilly’s M&A spree Positive Sentiment: A Lilly subsidiary reached a late-stage development milestone involving an orexin receptor 2 agonist portfolio, triggering an $8.6 million payment to partner Nxera Pharma. The milestone provides evidence of pipeline progress, though the financial impact is modest relative to Lilly’s scale. Nxera Pharma milestone payment Neutral Sentiment: Local officials approved the final land-development plan for Lilly’s pharmaceutical plant in Upper Macungie, Pennsylvania. The step supports future manufacturing capacity and jobs but is unlikely to materially affect near-term earnings. Upper Macungie approves Lilly development plan Negative Sentiment: LLY is down about 2.7% since its latest earnings report, suggesting investors have been taking profits or looking for additional catalysts after the results. The quarter itself was strong—earnings and revenue exceeded expectations and revenue grew 47.7% year over year—but the stock’s premium valuation leaves limited room for disappointment. Lilly down since last earnings report Negative Sentiment: Superluminal Medicines raised $60 million to advance an early-stage MC4R obesity treatment. Although years from commercialization, additional funding for competing obesity therapies highlights the potential for greater competition around Lilly’s core growth market. Superluminal advances rare obesity therapy (Free Report)
Eli Lilly and Company (NYSE: LLY) is a global pharmaceutical company founded in 1876 and headquartered in Indianapolis, Indiana. The company researches, develops, manufactures and commercializes a broad range of medicines and therapies for patients worldwide. Eli Lilly maintains operations and commercial presence across North America, Europe, Asia and other regions, serving both developed and emerging markets. The company has been led in recent years by President and Chief Executive Officer David A.
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Athena Investment Management lessened its stake in Eli Lilly and Company (NYSE:LLY – Free Report) by 35.1% during the 2nd quarter, according to its most recent disclosure with the SEC. The institutional investor owned 831 shares of the company’s stock after selling 450 shares during the quarter. Athena Investment Management’s holdings in Eli Lilly and Company were worth $997,000 at the end of the most recent reporting period.
A number of other hedge funds and other institutional investors have also recently modified their holdings of LLY. Osbon Capital Management LLC purchased a new position in shares of Eli Lilly and Company in the 4th quarter worth approximately $25,000. Basso Capital Management L.P. bought a new position in Eli Lilly and Company during the fourth quarter valued at $30,000. E Fund Management Hong Kong Co. Ltd. increased its position in Eli Lilly and Company by 342.9% during the fourth quarter. E Fund Management Hong Kong Co. Ltd. now owns 31 shares of the company’s stock valued at $32,000 after acquiring an additional 24 shares during the last quarter. Maseco LLP raised its stake in shares of Eli Lilly and Company by 466.7% in the first quarter. Maseco LLP now owns 34 shares of the company’s stock valued at $31,000 after acquiring an additional 28 shares during the period. Finally, Mcguire Capital Advisors Inc. purchased a new position in shares of Eli Lilly and Company during the 4th quarter worth about $38,000. Institutional investors own 82.53% of the company’s stock.
Eli Lilly and Company Price Performance LLY opened at $1,147.06 on Monday. The firm has a market capitalization of $1.08 trillion, a PE ratio of 38.49, a price-to-earnings-growth ratio of 1.42 and a beta of 0.50. The company has a debt-to-equity ratio of 1.41, a current ratio of 1.35 and a quick ratio of 1.00. The business’s 50-day moving average is $1,191.71 and its two-hundred day moving average is $1,069.87. Eli Lilly and Company has a 1 year low of $712.05 and a 1 year high of $1,292.65.
Eli Lilly and Company (NYSE:LLY – Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The company reported $8.38 earnings per share for the quarter, beating analysts’ consensus estimates of $6.40 by $1.98. The business had revenue of $22.97 billion for the quarter, compared to analysts’ expectations of $20.82 billion. Eli Lilly and Company had a net margin of 33.53% and a return on equity of 97.83%. The company’s revenue was up 47.7% compared to the same quarter last year. During the same period last year, the business earned $6.31 EPS. Eli Lilly and Company has set its FY 2026 guidance at 35.500-36.500 EPS. Research analysts anticipate that Eli Lilly and Company will post 36.35 earnings per share for the current fiscal year. Eli Lilly and Company Announces Dividend The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Friday, August 14th will be issued a $1.73 dividend. This represents a $6.92 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend is Friday, August 14th. Eli Lilly and Company’s dividend payout ratio (DPR) is currently 23.22%.
Eli Lilly and Company News Summary Here are the key news stories impacting Eli Lilly and Company this week:
Positive Sentiment: Lilly agreed to acquire Merida Biosciences for up to $2.88 billion, its 13th deal of the year. The transaction adds an early-stage immunology platform designed to selectively eliminate disease-causing autoantibodies while preserving normal immune function. Investors may view the acquisition as a way to diversify beyond Mounjaro and Zepbound and build longer-term growth in autoimmune and allergic diseases. Lilly looks beyond obesity with $2.88B autoimmune buyout Positive Sentiment: Lilly’s deal activity has outpaced other major pharmaceutical companies this year, reinforcing management’s efforts to replenish and broaden its pipeline. The strategy could reduce reliance on the obesity market over time, although many acquired programs remain early stage. This week in charts: China deals, stock flatlines and Lilly’s M&A spree Positive Sentiment: A Lilly subsidiary reached a late-stage development milestone involving an orexin receptor 2 agonist portfolio, triggering an $8.6 million payment to partner Nxera Pharma. The milestone provides evidence of pipeline progress, though the financial impact is modest relative to Lilly’s scale. Nxera Pharma milestone payment Neutral Sentiment: Local officials approved the final land-development plan for Lilly’s pharmaceutical plant in Upper Macungie, Pennsylvania. The step supports future manufacturing capacity and jobs but is unlikely to materially affect near-term earnings. Upper Macungie approves Lilly development plan Negative Sentiment: LLY is down about 2.7% since its latest earnings report, suggesting investors have been taking profits or looking for additional catalysts after the results. The quarter itself was strong—earnings and revenue exceeded expectations and revenue grew 47.7% year over year—but the stock’s premium valuation leaves limited room for disappointment. Lilly down since last earnings report Negative Sentiment: Superluminal Medicines raised $60 million to advance an early-stage MC4R obesity treatment. Although years from commercialization, additional funding for competing obesity therapies highlights the potential for greater competition around Lilly’s core growth market. Superluminal advances rare obesity therapy Insider Transactions at Eli Lilly and Company In related news, CAO Donald A. Zakrowski sold 2,000 shares of the firm’s stock in a transaction on Monday, August 10th. The stock was sold at an average price of $1,185.01, for a total value of $2,370,020.00. Following the completion of the transaction, the chief accounting officer owned 1,526 shares in the company, valued at $1,808,325.26. This trade represents a 56.72% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Patrik Jonsson sold 6,500 shares of the business’s stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $1,175.10, for a total value of $7,638,150.00. Following the sale, the executive vice president owned 54,147 shares in the company, valued at approximately $63,628,139.70. The trade was a 10.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 13,500 shares of company stock worth $15,958,170. Insiders own 0.14% of the company’s stock.
Wall Street Analyst Weigh In LLY has been the topic of a number of recent analyst reports. Truist Financial increased their price objective on shares of Eli Lilly and Company from $1,370.00 to $1,376.00 and gave the stock a “buy” rating in a research report on Friday, August 7th. Wells Fargo & Company upped their price target on shares of Eli Lilly and Company from $1,280.00 to $1,330.00 and gave the stock an “overweight” rating in a report on Thursday, August 6th. Morgan Stanley reaffirmed an “overweight” rating and issued a $1,419.00 price target on shares of Eli Lilly and Company in a research note on Thursday, August 6th. Weiss Ratings upgraded shares of Eli Lilly and Company from a “buy (b-)” rating to a “buy (b)” rating in a report on Wednesday, August 26th. Finally, Jefferies Financial Group raised their price objective on Eli Lilly and Company from $1,330.00 to $1,350.00 and gave the stock a “buy” rating in a report on Tuesday, June 9th. One research analyst has rated the stock with a Strong Buy rating, twenty-four have given a Buy rating, four have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $1,292.18.
Check Out Our Latest Report on Eli Lilly and Company
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Eli Lilly and Company (NYSE: LLY) is a global pharmaceutical company founded in 1876 and headquartered in Indianapolis, Indiana. The company researches, develops, manufactures and commercializes a broad range of medicines and therapies for patients worldwide. Eli Lilly maintains operations and commercial presence across North America, Europe, Asia and other regions, serving both developed and emerging markets. The company has been led in recent years by President and Chief Executive Officer David A.
Recommended Stories Five stocks we like better than Eli Lilly and Company AI Token Costs Are Changing the Hardware vs. Software Debate 3 ETFs That Could Move as Rate Expectations Shift 3 Stocks With September Catalysts Investors Shouldn’t Ignore Ollie’s Bargain Outlet Stock Falls on Weak Comps Despite Margin Gains Want to see what other hedge funds are holding LLY? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Eli Lilly and Company (NYSE:LLY – Free Report).
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Drug pricing is back on the front page, and healthcare investors have barely flinched. The White House's latest round of most-favored-nation pricing agreements brought nine more manufacturers into the fold, pushing the total to 26 companies covering 89% of the branded drug market. The sector kept climbing anyway.
That gap between headline risk and price action is worth sitting with. Attention has been locked on AI and semiconductors all year, and meanwhile, healthcare and biotech have produced some of the largest single-name moves on the board. Marc Lichtenfeld of the Oxford Club sorts the opportunity by patience: one name for traders, one for the next 12 months, one to hold for a decade.
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Why Rate Moves Barely Touch HealthcareLichtenfeld's structural argument starts with the bond market. Healthcare is close to interest rate neutral, and the logic is blunt: if the 10-year yield runs to 5% or 6%, people don't stop taking their medicine.
Balance sheets help too. Most biotechs aren't loaded with debt, because pre-revenue companies can't borrow against revenue they don't have. They raise capital by selling equity or converts instead. That makes the sector a rare place where a hawkish surprise doesn't reprice the whole group.
Moderna's Melanoma Data Rewrote the Short-Term TradeModerna Today
$145.55 -3.32 (-2.23%)
As of 09/4/2026 04:00 PM Eastern
$22.28▼
$176.66$76.72
Moderna NASDAQ: MRNA and Merck NYSE: MRK reported that their Phase 3 INTerpath-001 trial of intismeran autogene plus Keytruda met its primary endpoint of recurrence-free survival in patients with completely resected stage IIB–IV melanoma.
It was the first positive Phase 3 for an mRNA-based cancer therapy. Moderna closed up 177% at $174.38 the day it landed. The earlier Phase 2b work reduced the risk of recurrence or death by 49% versus Keytruda alone. Full Phase 3 numbers haven't been released yet.
Shares cooled after the company priced $2.6 billion in convertible notes, and Lichtenfeld reads the consolidation as a bull flag. His timeline is deliberately tight. On a daily chart, he wants confirmation inside a week or two; if the move doesn't materialize, the trade gets abandoned rather than nursed. Elevated short interest is the accelerant he's watching, since forced covering can compound a breakout.
For anyone drawn to the long-term story, his suggestion is a starter position rather than a full one. Biotech stocks can sell off on good news when the good news is already expected.
Pharvaris Faces a Phase 3 Readout in a Consolidating MarketPharvaris NASDAQ: PHVS is the name most investors haven't heard of. The roughly $2.4 billion company expects topline CHAPTER-3 data in the third quarter for deucrictibant, an oral therapy for hereditary angioedema, a rare and potentially life-threatening swelling disorder.
Pharvaris Today
$35.25 -0.41 (-1.15%)
As of 09/4/2026 04:00 PM Eastern
$20.65▼
$38.13$51.08
Convenience is the wedge. Earlier trial work showed attack reductions in the mid-80% range, against roughly 44% for the approved oral prophylactic. An oral option that competes with injectables on efficacy is a real adherence advantage.
The M&A backdrop adds a second layer. Chiesi agreed to buy KalVista Pharmaceuticals at $27 a share, about a 40% premium to the prior close, and BioCryst Pharmaceuticals NASDAQ: BCRX acquired Astria Therapeutics in a deal valued near $700 million. Lichtenfeld doesn't buy for takeouts, but he notes the space has a buyer pool. On strong data, he sees $50 as a floor case over the next year. On weak data, the stock falls hard.
AbbVie Keeps Proving the Doubters WrongAbbVie NYSE: ABBV is the long hold, and Lichtenfeld's favorite healthcare name for income. Spun out of Abbott Laboratories NYSE: ABT in 2013, it has raised its dividend every year since, currently $1.73 per quarter for a yield near 2.7%.
AbbVie Today
$256.27 -3.94 (-1.51%)
As of 09/4/2026 03:58 PM Eastern
$190.75▼
$267.472.70%
72.39
$275.95
The bear case was always Humira's patent cliff. Instead, dividend growth kept compounding while the pipeline did the heavy lifting. Skyrizi cleared $5.5 billion in the second quarter, up 24%, and Rinvoq added $2.5 billion, up 25%, as Humira fell to $756 million. Management raised full-year revenue guidance to $67.6 billion. Technically, shares recently punched through the $240 area that had rejected them repeatedly.
Names like this are the core of what Lichtenfeld builds portfolios around, and readers who want his monthly income picks can find them in his Oxford Income Letter dividend research.
Where the Risk Actually SitsPosition sizing is the discipline that separates these three. Large-cap pharma like AbbVie or Eli Lilly NYSE: LLY can absorb a failed trial. A small or mid-cap with one lead asset can be cut in half overnight.
Watch the calendars, not the narratives. Moderna's follow-through window is measured in days, Pharvaris hinges on a readout due within weeks, and AbbVie asks only that you sit still.
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The adage that "birds of a feather flock together" doesn't always apply to billionaire investors. Most of these super-successful individuals have their own unique strategies that are highly differentiated from other approaches.
However, that doesn't mean high-profile investors don't sometimes see eye-to-eye on a given stock. For example, Stanley Druckenmiller and Ken Griffin both loaded up on Eli Lilly (LLY -0.88%) stock in the second quarter of 2026. Here's why these billionaires are on the same wavelength when it comes to this big pharma stock.
Ken Griffin. Image source: Getty Images.
Capitalizing on a great buying opportunity Griffin's Citadel Advisors hedge fund increased its stake in Lilly by a whopping 291% in Q2. The drugmaker now ranks as Citadel's eighth-largest holding, valued at roughly $1.1 billion at the end of the quarter.
Druckenmiller led his Duquesne Family Office to make a more modest purchase of Lilly in Q2, initiating a new position by scooping up 12,380 shares. What's striking about this move is that the billionaire fully exited his stake in Lilly in the third quarter of 2025.
I suspect that both Griffin and Druckenmiller shared a similar thought process when they bought the pharma stock. They undoubtedly appreciate Lilly's dominance in the diabetes and obesity drug markets, with sales soaring for the company's Mounjaro and Zepbound products.
The two men also almost certainly saw an opportunity to buy Lilly at a discount and capitalized on that opportunity. Although Lilly's shares are now up by a solid single-digit percentage year to date, the stock fell as much as 23% below its previous high by late April. We don't know exactly when Griffin and Druckenmiller made their purchases, but I'd bet that it happened earlier in Q2 rather than later.
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Is Eli Lilly stock still a buy? Other investors shouldn't buy Eli Lilly (or any other stock, for that matter) solely because Griffin and Druckenmiller did. That's especially the case when the dynamics have changed somewhat since the two billionaires' purchases.
However, I nonetheless view Lilly as a good pick right now. The company continues to generate exceptionally strong revenue and earnings growth, led by Mounjaro and Zepbound but with solid contributions from other drugs.
Lilly should have several new drugs that serve as important growth drivers. Foundayo, a once-daily pill that's already approved for obesity and awaits approval for treating type 2 diabetes, stands near the top of the list. The company's acquisitions strategy is also adding more promising pipeline candidates.
Don't invest in Eli Lilly because of what anyone else does. The stock has enough reasons to like it all on its own.
Currently trading at around $1,160 per share, Eli Lilly (LLY -0.88%) has one of the highest stock prices in the S&P 500. While fractional stock trading means a high absolute share price doesn't hinder performance as much as it used to, there are other reasons a high price might. It may make sense for Eli Lilly to split its stock soon, something it hasn't done in nearly 30 years.
The company has yet to officially announce any sort of stock split plans. However, don't assume that, if it happens, a split will serve as a game changer for what is the most widely followed of the GLP-1 stocks.
Image source: Getty Images.
The key takeaway from stock split case studies Eli Lilly has split four times since 1986, with the latest split implemented in October 1997. Today, the company, surging in recent years thanks to the success of its GLP-1 weight loss drug Zepbound, is in a totally different situation than it was in decades past.
It may be more useful to assess recent stock splits to gauge possible post-split price action in Eli Lilly shares. Three that come to mind are the 2024 10-for-1 stock splits of Broadcom and Nvidia, as well as the April 2026 25-for-1 stock split of Booking Holdings.
Broadcom and Nvidia are up 78.5% and 156.6%, respectively, since their splits. In the five months since implementing its stock split, Booking Holdings' share price has risen 11%. However, given that a stock split, which multiplies the share count and reprices the stock, does nothing to change a company's fundamentals, who's to say these gains are directly the result of the stock splits?
I would argue that these stocks went "splitsville" in the first place due to a surging stock price. Furthermore, as substance, not hype, drives stock prices over time, post-split gains came from strong results, not from a cheaper stock price, making shares more available to a broader range of investors.
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What this means for Eli Lilly shares Apply this thesis to the potential Eli Lilly stock split. It's clear that the underlying "story" behind Lilly's epic price rise will determine whether shares keep climbing in the aftermath of a split. Over the past year, Eli Lilly has surged by over 58%. The stock has pulled back recently, but a bevy of catalysts could put it back on an upward trajectory, even as it trades for nearly 32 times forward earnings, a massive premium to other pharmaceutical stocks.
For one, leveling up on the success of Zepbound, Eli Lilly is busy scaling up production and sales of its pill-based GLP-1 weight loss drug, orforglipron, marketed as Foundayo. It is also working to bring retatrutide, which clinical studies have demonstrated may lead to greater weight loss, to market.
Alongside its GLP-1 drug expansion, Eli Lilly is following industry trends by making a major move into immunology with its recent announcement to acquire Merida Biosciences for $2.9 billion. While a relatively small deal for this $1.1 trillion market-cap company, it could signal a further pivot into immunology through acquisitions.
If these developments enable Eli Lilly to continue meeting or beating growth expectations, split or no split, shares remain well positioned to perform.
Eli Lilly (LLY -0.04%) has achieved impressive returns in recent years, driven by soaring demand for tirzepatide, a medicine sold as Mounjaro for diabetes and Zepbound (in certain markets) for obesity. Tirzepatide has reached an amazing milestone: It has become the world's best-selling compound, despite being launched only about four years ago.
That all sounds exciting, but considering tirzepatide accounted for 65% of Eli Lilly's revenue in the second quarter, what happens when competition in the GLP-1 market heats up, and many new therapies enter the fray? That's a real risk to monitor, but Eli Lilly is also aware of it and is working diligently to mitigate it.
The drugmaker recently posted clinical trial results suggesting tirzepatide may still have a significant growth runway, even as it faces increased competition.
Image source: The Motley Fool.
Tirzepatide impresses again Eli Lilly ran a pair of phase 3b studies that enrolled patients with moderate-to-severe plaque psoriasis or active psoriatic arthritis who were also obese. These trials compared the efficacy of tirzepatide combined with Eli Lilly's Taltz, an immunosuppressant, versus taking Taltz alone. The results were highly instructive. For instance, 30.6% of patients with plaque psoriasis taking tirzepatide and Taltz achieved 100% skin clearance and at least 10% weight loss, compared to just 4.4% of those taking Taltz alone after 52 weeks
Also, 39.2% of patients with active psoriatic arthritis had achieved at least a 50% improvement in symptoms and at least 10% weight loss, compared with 1.7% of those taking only Taltz at week 52. There were other benefits of the combined therapy approach. Patients achieved greater improvements in glucose, cholesterol, BMI (Body Mass Index), and other important metabolic metrics when taking both tirzepatide and Taltz.
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Beyond diabetes and weight loss The results of these clinical trials could have meaningful implications for tirzepatide. Let's consider two potential positive consequences. First, the medicine should continue expanding beyond its core markets of diabetes and weight management. It is also approved for obstructive sleep apnea, and it may eventually win label expansions across autoimmune disorders.
That means even as more weight-loss therapies enter the market, Eli Lilly's tirzepatide empire could remain mostly intact thanks to the medicine's excellent efficacy in diabetes and weight loss, and its ability to improve symptoms across other conditions.
Second, Eli Lilly could secure broader health insurance coverage for tirzepatide. So far, coverage has been lacking in the U.S. Demand for the medicine hasn't been as strong as it otherwise would be, since many are left paying the high monthly out-of-pocket cost. But health insurance companies will be more likely to pick up the tab as Eli Lilly shows that Zepbound is effective across other conditions.
An excellent long-term pickEli Lilly is also running studies testing tirzepatide along with Omvoh, a medicine approved for Crohn's disease and ulcerative colitis. Further, the company is testing its crown jewel in other potentially lucrative markets, such as metabolic dysfunction-associated steatotic liver disease. Approvals across even some of those indications will meaningfully expand tirzepatide's addressable opportunity.
Eli Lilly is taking a similar approach with other promising weight-loss medicines. The company's oral GLP-1, Foundayo, which is already approved for weight loss and could earn an indication in diabetes in the future, is also being tested for obstructive sleep apnea, hypertension, osteoarthritis pain, and stress urinary incontinence.
Eli Lilly's next-gen weight-loss medicine, retatrutide, is also being tested across multiple indications after having posted arguably the most impressive phase 3 weight-loss results in the industry to date. What does all this mean for Eli Lilly's future?
The company's revenue and earnings growth should remain fairly strong over the medium term as it secures new approvals and label expansions for its core GLP-1 portfolio. And even as new medicines enter the market, Eli Lilly is well-positioned to defend its position. In short, the company's stock remains a buy.
Aspen Pharmacare (APNJ.J) expects African sales of Eli Lilly's (LLY.N) blockbuster weight-loss and diabetes drug Mounjaro to exceed 2 billion rand ($124 million) in its current financial year, buoyed by surging demand in South Africa and planned launches in Nigeria and Kenya.
The South African company is Lilly's official distributor of Mounjaro in sub-Saharan Africa.
A day after reporting annual results, Chief Executive Stephen Saad told investors on Thursday that Aspen had submitted Mounjaro for registration in Kenya and Nigeria, with both markets having the potential to contribute to earnings in its current financial year to end-June if approved.
"We're hoping to do more than 2 billion rand in sales in financial year 2027," Saad said about Mounjaro. He had previously forecast over 1.3 billion rand in sales for the year to end-June 2026, although the company has not disclosed its actual sales figure.
South Africa's GLP-1 market nearly doubled in value to 2.8 billion rand over the year to June, driven largely by soaring demand for Mounjaro. The drug, launched late in 2024, increased its share of the market to a dominant 53% from 15% a year earlier, Saad said.
BEYOND MOUNJARO
Africa's biggest pharmaceuticals company is also advancing plans to launch a generic version of Novo Nordisk's (NOVOb.CO) Ozempic in selected markets once patents expire, having secured two registrations in Canada and filed applications across several emerging markets.
The timing of Aspen's commercial launch in Canada remains dependent on the availability of the active pharmaceutical ingredient (API) from India's Dr. Reddy's Laboratories (REDY.NS), which halted production of new batches in July because of an impurity issue.
Saad said Aspen expected greater clarity on the supply arrangement before the end of the month.
A different API supplier will be used in Brazil, which is among the markets where registration progress is being made, Saad said.
Eli Lilly just delivered one of the biggest quarters in Big Pharma history, yet the stock sits well below its 52-week high. A closer look at the pipeline and valuation reveals why the real opportunity may still be ahead.
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Eli Lilly (NYSE:LLY | LLY Price Prediction) just posted one of the most dominant quarters in Big Pharma history. Revenue grew 48% year over year to $22.974 billion in Q2 2026, Mounjaro alone brought in $9.943 billion, and management raised full-year EPS guidance to $35.50 to $36.50.
Shares closed at $1,156.73, up 8.16% year to date. Modest, given the numbers. So here is the question I want to answer: can Lilly reach $1,500 per share by late 2027?
Why Lilly Shares Have Stalled Despite Record Results The chart does not match the business. LLY is down 7.23% over the last week and up only 0.83% over the past month, even after a blowout quarter. The stock sits below its 52-week high of $1,292.65, and with a beta of just 0.506, this is not a name that swings on sentiment alone.
Two things are weighing on the stock. First, U.S. realized prices fell 13% in Q2, and investors are nervous about payer pressure.
Second, Q2 included $2.78 billion in acquired IPR&D charges from a wave of deals. Reported EPS looks noisier than underlying earnings power, and the market is pausing to digest it.
Wall Street Sees Modest Upside. Our Model Sees More The Street consensus target is $1,315.04, split across 5 strong buys, 17 buys, 4 holds, 1 sell, and 1 strong sell. That is a bullish tilt, but the target implies only mid-teens upside from here. My valuation model lands at a base case of $1,398.96, with a bull case of $1,456.80 and a bear case of $1,170.32.
Confidence is 0.9, backed by a bullish analyst sentiment score of 79 and quarterly earnings growth of 26.2%. I think analysts are anchoring to today’s price disappointment rather than 2027 EPS power. That is the gap I want to exploit.
Path To $1,500 Per Share Reaching $1,500 from today’s price of $1,156.73 would require a gain of 29.7%. With forward EPS of $38.38, a price of $1,500 implies a forward P/E of 39x. My base case of $1,398.96 already implies 36x, so the bold target needs roughly 2 to 3 turns of additional multiple expansion.
That is achievable if the pipeline delivers. Fresh catalysts sharpen the case: FDA approval of Mounjaro for cardiovascular risk reduction, positive Phase 3b data on Zepbound plus Taltz, and the Merida Biosciences acquisition. Retatrutide is the biggest lever.
CEO David Ricks put it plainly: “Lilly’s momentum continues, as we delivered 48% revenue growth and raised our full-year guidance.” The risk: any retatrutide setback or an accelerated payer pushback on GLP-1 pricing could stall the re-rating.
Where Lilly Trades Today Versus Its Earnings Power At $1,156.73 against forward EPS of $38.38, Lilly trades near 30x forward earnings. That is a reasonable multiple for a company growing revenue 48% with gross margins of 85.8%.
Shares sit between a 52-week low of $707.59 and a high of $1,292.65, and the stock has returned 1,660.11% over 10 years. If 2027 EPS reaches the Street average of $47.23, the current multiple looks like a bargain.
Is $1,500 Realistic? My Verdict Reaching $1,500 requires a 29.7% gain and roughly 39x forward earnings. Realistic, in my view, but not automatic.
Three things need to go right: retatrutide’s Q1 2027 BLA submission stays on schedule, Foundayo scales from its early inflection (36,000 prescribers already), and international incretin growth compounds on 2026’s 74% pace. A regulatory delay or a serious GLP-1 pricing shock would derail it. Returns at this level shouldn’t be expected every year, but we’ve outlined the blueprint for how Eli Lilly could reach $1,500 in 2027.
Contact [email protected] for any questions or corrections.
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Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Eli Lilly (LLY - Free Report) Indianapolis, IN-based Eli Lilly and Company, one of the world’s largest pharmaceutical companies, boasts a diversified product profile, including a solid lineup of new successful drugs. It also has a dependable pipeline in areas like obesity, diabetes and Alzheimer’s.
LLY is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Medical stock. LLY has a Momentum Style Score of A, and shares are up 4% over the past four weeks.
Two analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.33 to $35.93 per share. LLY boasts an average earnings surprise of +21.3%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, LLY should be on investors' short list.
Prefer to listen? Hear this as a ~5-minute audio briefing on The GuruFocus Brief.Stock NewsBond yields surge to multi-year highs: The 10-year U.S. Treasury yiel
Key Takeaways Eli Lilly will acquire Merida Biosciences for up to $2.875 billion in an all-cash transaction.The deal adds MER511 for Graves' disease and TED, plus preclinical allergy and kidney disease candidates.Lilly's Merida deal extends its 2026 M&A push to diversify its pipeline beyond cardiometabolic medicines. Eli Lilly (LLY - Free Report) announced that it has entered into a definitive agreement to acquire clinical-stage biotech Merida Biosciences in an all-cash transaction for up to $2.875 billion.
Though the deal includes an upfront payment as well as additional payments contingent on achieving specified development and regulatory milestones, neither company provided a breakdown of the consideration.
Upon completion of this acquisition, Lilly will add Merida’s antibody-engineering platform as well as a pipeline of biologics designed to target a range of immune-mediated conditions. This includes the lead drug, MER511, which is in phase I development for Graves' disease and thyroid eye disease (TED). Initial data have shown that the drug achieved robust reductions in pathogenic thyroid-stimulating antibodies, offering early evidence of its potential to address the underlying drivers of these diseases.
The deal will also add a couple of preclinical candidates to Lilly’s pipeline. This includes MER769, which is focused on food allergy, asthma, chronic spontaneous urticaria and other antibody-driven allergic diseases. Another candidate is MER683, which the company is developing to target kidney diseases, such as primary membranous nephropathy (PMN) and other immune-mediated conditions.
The transaction is expected to close in the fourth quarter of 2026.
LLY Stock PerformanceYear to date, shares of Lilly have risen about 8% compared with the industry’s 14% growth.
Image Source: Zacks Investment Research
Merida Deal Extends Lilly's 2026 M&A PushUnlike some of its peers, such as Bristol Myers (BMY - Free Report) and Sanofi (SNY - Free Report) , which have been facing investor pressure to pursue acquisitions to offset looming patent expirations, Lilly is entering this acquisition cycle from a position of financial strength. Strong demand for its blockbuster GLP-1 medicines Mounjaro and Zepbound has significantly boosted revenues and cash generation, giving the company greater flexibility to invest in external growth opportunities.
While obesity and diabetes remain Lilly's key growth drivers, the company has been steadily diversifying its pipeline into other therapeutic areas. Its recent acquisitions and deals across inflammation, oncology, neuroscience, cell therapy and infectious diseases highlight this strategy.
The latest example was Lilly's agreement last month to acquire AtaiBeckley for up to $3.8 billion, expanding its pipeline into novel treatments for mental health disorders. The proposed acquisition of Merida Biosciences fits into the same broader strategy, giving Lilly exposure to promising immunology assets and further reducing its reliance on the cardiometabolic franchise for future growth.
Lilly has been particularly active on the M&A front in 2026, with deals involving Ventyx Biosciences, Orna Therapeutics, Centessa Pharmaceuticals, Kelonia Therapeutics and Ajax Therapeutics, among others. The Merida transaction would likely mark Lilly’s 10th deal of the year, underscoring the company’s aggressive push to build a broader and more diversified pipeline of potential future growth drivers.
LLY Zacks RankEli Lilly currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Eli Lilly (LLY +0.15%) has performed well in recent years thanks to its strong position in the GLP-1 market. However, it has encountered some obstacles, one of which is spotty (at best) insurance coverage for Zepbound, its GLP-1 weight-loss medication. The drug's out-of-pocket monthly price is high, and the fact that a significant portion of patients can't rely on insurance to cover the cost has arguably limited its potential.
But what if Eli Lilly could make progress in expanding insurance coverage for Zepbound? The company recently released results from a real-world study that could help it make its case before third-party payers. Here's what investors need to know.
Image source: The Motley Fool.
Does Zepbound help reduce healthcare costs?Health insurance companies are more likely to cover treatments when there is evidence that they save healthcare costs. The logic is straightforward. If a drug costs $1,000 per patient annually, but the data show that those who take it incur $4,000 less in medical costs, insurers may actually save money by picking up the tab for the medicine.
That brings us to a recent study conducted among patients who were taking Zepbound for weight management. It enrolled patients over 55 years of age who met the criteria for Zepbound (i.e., a BMI above 30 or above 27 with at least one weight-related comorbidity).
The study found that, compared to similar patients in the same age group who were not on the weight-loss therapy, those on Zepbound incurred up to 15% lower healthcare costs six months into the study. After a year, the difference was up to 38% lower for patients on Zepbound, who had lower rates of hospital admissions and emergency visits than their peers not taking the drug.
Based on the results of this study, insurers may want to reconsider covering Zepbound. Now, there are several caveats to keep in mind. Here’s one of the most important. In estimating healthcare cost savings for patients on Zepbound, the study did not include the drug's costs. Still, it's an additional data point that could move the needle in Eli Lilly's favor as it continues to try to expand insurance coverage for Zepbound. If it can achieve that goal, it could make a massive difference for the company.
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According to some estimates, about half of patients on either Zepbound, Mounjaro (which has the same active ingredient), or Foundayo -- Eli Lilly's oral GLP-1 -- pay out of pocket. Imagine if Eli Lilly could significantly expand coverage. We would expect even stronger demand for these medicines, leading to meaningfully higher sales. Many patients even buy compounded versions of Zepbound on telehealth platforms because they are cheaper. This is money Eli Lilly is leaving on the table, much of which it would bring into its ecosystem with better coverage.
What this means for Eli Lilly's futureWill the study Eli Lilly ran lead to expanded health insurance coverage for Zepbound? We don't know for sure. However, even without that, the pharmaceutical giant looks like an attractive stock. Consider the company's second-quarter results. Eli Lilly's revenue increased by 48% year over year to $23 billion. Mounjaro's sales were $9.9 billion, up 91% compared to the year-ago period. Zepbound's revenue came in at $4.9 billion, up 46% year over year.
Eli Lilly posted excellent results, even by its high standards, and the company's shares jumped following its earnings update. The company remains in an excellent position to ride the weight loss tailwind over the next five years. Its approved portfolio is second to none, and it boasts several exciting pipeline candidates, including retatrutide, which posted some of the most impressive weight loss efficacy numbers in the industry.
Further, Eli Lilly's portfolio beyond its diabetes and weight loss medicines is impressive. The company has products with rapidly growing sales -- as well as attractive pipeline candidates -- across oncology, immunology, neuroscience, and more. Eli Lilly isn't just a GLP-1 stock, and that's one of the factors that make the company attractive. In short, while expanded coverage for Zepbound would be great news, investors shouldn't wait for that to initiate a position.
, /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) will participate in the Morgan Stanley 24th Annual Global Healthcare Conference on September 14, 2026. Ilya Yuffa, executive vice president and president, Lilly USA and Global Customer Capabilities, will take part in a fireside chat at 1:50 p.m. Eastern time.
A live audio webcast will be available on the "Webcasts & Presentations" section of Lilly's investor website at https://investor.lilly.com/webcasts-and-presentations. A replay of the presentation will be available on this same website for approximately 90 days.
About Lilly
Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for 150 years, and today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. F-LLY
Trademarks and Trade Names
All trademarks or trade names referred to in this press release are the property of the company, or, to the extent trademarks or trade names belonging to other companies are references in this press release, the property of their respective owners. Solely for convenience, the trademarks and trade names in this press release are referred to without the ® and ™ symbols, but such references should not be construed as any indicator that the company or, to the extent applicable, their respective owners will not assert, to the fullest extent under applicable law, the company's or their rights thereto. We do not intend the use or display of other companies' trademarks and trade names to imply a relationship with, or endorsement or sponsorship of us by, any other companies.
Eli Lilly LLY , the pharmaceutical powerhouse, agreed to acquire Merida Biosciences for up to $2.875 billion in cash, adding another high-risk, high-upside immunology bet. Reuters reported the deal Monday. Lilly shares fell approximately 1.7% to $1,154.73, the price shown in the chart.
The official agreement includes an undisclosed upfront payment, with the rest dependent on future milestones. Merida's main asset is MER511, a Phase 1 treatment for Graves' disease and thyroid eye disease. The pipeline also contains a preclinical allergies-and-asthma program and earlier candidates targeting kidney and other immune-driven conditions.
Lilly generated $22.974 billion in second-quarter revenue, making the deal's ceiling roughly 12.5% of one quarter's sales. The milestone structure keeps Lilly from paying the entire bill before the science delivers. Still, this is a platform wager, not an instant revenue engine—and the chart's 24.27% discount to the roughly $1,520 GF Value suggests investors are already pricing in plenty of uncertainty.
Eli Lilly (LLY -1.52%) announced yet another acquisition on Monday. The American pharmaceutical giant has signed a deal to acquire privately held, clinical-stage biotech Merida for nearly $3 billion.
That's a lot of scratch, even for a powerhouse operator like Lilly. Here's what shareholders and other Lilly watchers need to know about the company's new asset-to-be.
Image source: Getty Images.
The latest multi-billion-dollar buyThat morning, Lilly announced it was acquiring Merida in an all-cash transaction that could see it pay nearly $2.88 billion. This comprises an upfront payment plus milestone payments that kick in if certain operational and regulatory goals are met. Lilly did not specify these milestones, nor did it place a number on that upfront payment.
Merida has developed a novel approach to treating autoimmune and allergic disorders. In contrast to medicines that use methods such as immunosuppression, Merida's are highly targeted medications that identify and eliminate pathogenic (i.e., disease-causing) autoantibodies.
Currently, the company is developing a trio of drugs targeting three distinct autoantibodies. Two of the three are in pre-clinical stages of development, while the other, MER511, is currently in an ongoing Phase 1 clinical trial for the treatment of Graves' disease (a thyroid affliction) and thyroid eye disease.
Lilly quoted its senior vice president of immunology research and early clinical development, Francisco Ramírez-Valle, as saying, "We're building our pipeline around therapies that meaningfully change the course of disease, not just its downstream effects."
"We see potential to apply this precision approach across a broad range of antibody-driven diseases, and we look forward to advancing this novel technology working with the Merida team," he added.
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More capital for acquisitionsLilly said it expects the Merida deal to close in the fourth quarter of this year. It is subject to approval from the relevant regulatory bodies. Lilly wrote in its press release trumpeting the acquisition that Merida will be incorporated into its financial results and guidance after it officially becomes part of the pharmaceutical giant.
Lilly has been on quite a tear recently to bulk up with acquisitions, and Merida isn't the first multi-billion-dollar item on this spree. These buys have spanned a wide range of therapeutic areas, such as oncology and immunology, demonstrating a "make hay while the sun shines" approach.
The company wasn't the first to market with Food and Drug Administration (FDA)-approved weight loss drugs, but it became the monster in the segment very quickly. In the second quarter, its two tirzepatide-based drugs -- Mounjaro, indicated for type 2 diabetes, and the more recently approved Zepbound, indicated for obesity -- saw combined revenue growth of 73% year over year to almost $14.9 billion.
Foundayo, another weight-loss treatment administered as a once-a-day pill and using a different molecule (orforglipron), racked up sales of $98 million in the quarter. That sounds comparatively modest until we consider that sales of the recently FDA-approved Foundayo only began during the quarter.
Despite those impressive growth figures for the tirzepatide twins, it's telling that they weren't the be-all and end-all of Lilly's business. Together, they contributed under 65% to the company's total revenue of $23 billion for the period. Other drugs in far different therapeutic areas, such as cancer treatment Jaypirca and the eczema-indicated Ebglyss, also posted significant sales gains.
1 trillion reasons to consider the stockWith that kind of performance, combined with increasing prominence even among the public (thanks largely to Zepbound), Lilly recently became the first pharmaceutical company to hit $1 trillion -- yes, that's trillion with a "t" -- in market cap. So it's not exactly an undiscovered sleeper stock.
Yet I'd share the outlook that many analysts have about the company. Like them, I think its stock has much more room to run. The white-hot popularity of obesity drugs alone should keep driving revenue and profitability higher, and the company is buttressed by a wide, deep portfolio with an impressive range. We can say the same for its pipeline program, which has numerous medications in late-stage development.
Collectively, those analysts are modeling more than 35% revenue growth this year over 2025, a remarkably high figure for such a massive and well-established pharmaceutical company. Better, their consensus estimate for annual per-share profitability is $36.71, which, if achieved, would be 51% higher than last year's result.
To be sure, Lilly looks expensive on valuations. Its forward P/E tips the scales at over 32, so there's not much room here for the company to make a mistake that drains investor sentiment. Yet I think it can easily recover from a misstep or several, given the great strength in weight loss, combined with the impressively varied portfolio and muscular development program, the latter two of which are constantly being bolstered by those acquisitions.
I think this stock remains not only a buy, but a top pick in the broader healthcare sector.
President Donald Trump on Monday said he struck new drug pricing deals with nine drugmakers to voluntarily sell their medications for less, building on his push to link the nation's pharmaceutical prices to cheaper ones abroad.
The drugmakers signing the new deals are Alcon, Astellas Pharma, BeOne Medicines, BridgeBio, CSL, Kyowa Kirin, Sun Pharma, Teva Pharmaceuticals and UCB, according to the White House.
Under the new deals, the nine companies agreed to provide discounts on outpatient drugs to every state Medicaid program so that prices states pay align with what companies charge in foreign countries. The agreements impact drugs that treat several chronic and rare diseases, such as hemophilia, liver disease, skin conditions and certain forms of cancer.
That brings the Trump administration's total number of drug pricing deals to 26 companies, which the president said represents 90% of the domestic pharmaceutical market. He said the other 10% of the industry is "also coming in" and "have no choice."
Over the past year, the Trump administration reached drug pricing deals with 17 other pharmaceutical companies, including Pfizer, Eli Lilly and Novo Nordisk, as part of its "most favored nation" policy. Trump signed an executive order in May 2025 to revive that policy, calling for prices to be increased outside of the U.S. and to "end global freeloading."
The deals add to the White House's efforts to spotlight healthcare affordability ahead of the midterm elections.
The "most favored nation" deals that have been signed with the Trump administration have already impacted the commercial strategies, bottom lines and manufacturing pipelines of major pharmaceutical companies.
To insulate themselves from future tariff threats, drugmakers are spending billions of dollars to bring manufacturing capabilities back to the U.S. Companies are also drastically expanding direct-to-consumer channels for their products, including by offering their medicines on the president's TrumpRx portal. Lower prices in the U.S. are weighing on bottom lines, with manufacturers like Novo Nordisk saying that it will take time for prescription volumes to offset the revenue dip.
U.S. prescription drug prices on average are nearly three times higher than they are overseas, according to a 2024 study by Rand Corp. Prices for branded drugs were more than four times higher, the report found.
The trade association PhRMA, which represents many major pharma companies, has previously said that most-favored nation pricing isn't the best way to lower drug costs for Americans and instead blamed pharmacy benefit managers for the price disparity.
The U.S. is the single most important market for many drugmakers, regardless of their home country. Despite being based across the Atlantic, European pharma companies are heavily exposed to the U.S. market, with half of the 10 largest companies on the continent generating a majority of their sales in the U.S.
Key Takeaways Mounjaro won FDA approval to reduce major cardiovascular events in high-risk adults with T2D.Eli Lilly's Mounjaro showed an 8% lower MACE-3 rate than Trulicity in a 13,299-patient study.Mounjaro recorded $18.6B in H1 sales and could get a further boost from the expanded label. The FDA has approved Eli Lilly’s (LLY - Free Report) Mounjaro (tirzepatide) to reduce cardiovascular risk in adults with type II diabetes (T2D).
The new indication includes patients with T2D who are at high risk for major adverse cardiovascular events (MACE), such as cardiovascular death, non-fatal heart attack and non-fatal stroke. Mounjaro is already approved, alongside diet and exercise, to improve blood sugar control in adults and children aged 10 years and older with T2D.
Mounjaro’s Label Extension Backed by Cardiovascular Study DataThe latest FDA nod was based on results from a phase III cardiovascular outcomes study (SURPASS-CVOT) that directly compared Mounjaro with Lilly’s GLP-1 RA, Trulicity (dulaglutide), which has established cardiovascular benefit. The study enrolled 13,299 adults with T2D and established atherosclerotic cardiovascular disease, who were randomized equally to receive either Mounjaro (15 mg or the maximum tolerated dose) or once-weekly Trulicity (1.5 mg), with a median follow-up of 210.1 weeks.
Trulicity was an appropriate comparator because it already had proven cardiovascular benefits in patients with T2D. The primary objective was to determine whether Mounjaro was non-inferior to Trulicity in reducing MACE-3, defined as cardiovascular death, heart attack or stroke. The study found that Mounjaro met the non-inferiority objective, supporting its ability to provide cardiovascular protection comparable to an established GLP-1 therapy.
Mounjaro recorded an 8% lower rate of MACE-3 versus Trulicity, with a hazard ratio for time to first MACE of 0.92. However, superiority over Trulicity was not established. The safety and tolerability profile remained broadly consistent with Mounjaro’s established profile, with gastrointestinal events among the most common adverse reactions and generally concentrated during dose escalation.
Shares of Eli Lilly have gained 9.3% year to date compared with the industry’s 13.9% growth.
Image Source: Zacks Investment Research
LLY Narrows Mounjaro’s Indication Gap With NVO’s OzempicThe expanded indication strengthens Lilly’s position in the cardiometabolic market while adding another clinically important benefit to Mounjaro’s existing glucose-control and weight-loss profile. It also broadens the pool of patients who may be eligible for the drug, potentially creating another avenue for sustained prescription growth.
The commercial opportunity is significant given Mounjaro’s already rapid growth. Lilly reported worldwide Mounjaro revenues of $18.6 billion in the first half of 2026, up 106% year over year. The product generated $9.9 billion in the second quarter alone (up 91%), reflecting continued demand across U.S. and international markets. The latest cardiovascular indication expands the eligible patient population and could provide an additional sales catalyst in the coming quarters.
The approval is also part of Lilly’s effort to narrow the indication gap with rival Novo Nordisk’s (NVO - Free Report) blockbuster GLP-1, Ozempic (injectable semaglutide). NVO’s Ozempic is approved for T2D patients with established cardiovascular disease to reduce MACE and separately for adults with T2D and chronic kidney disease to reduce the risk of sustained kidney-function decline, end-stage kidney disease and cardiovascular death. Ozempic therefore retains an edge in the breadth of its established cardiovascular and kidney-related indications.
Still, LLY’s Mounjaro has captured substantial momentum in the diabetes market. Novo Nordisk reported adjusted first-half 2026 Ozempic sales of $9.21 billion (or DKK 59.2 billion), down 2% at constant exchange rates, with U.S. sales declining 6% as lower realized prices and weaker volumes weighed on performance, although international sales rose 8%. The contrasting trends highlight Mounjaro’s expanding commercial momentum as Lilly adds cardiovascular-risk reduction to its label.
Zacks Rank and Stocks to ConsiderEli Lilly currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the biotech sector are AC Immune (ACIU - Free Report) and Aldeyra Therapeutics (ALDX - Free Report) , carrying a Zacks Rank #2 (Buy) each at present. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Over the past 30 days, estimates for AC Immune’s 2026 loss per share have narrowed from 84 cents to 60 cents. Over the same period, earnings estimates for 2027 remained unchanged at 17 cents. ACIU shares have lost 15.6% year to date.
AC Immune’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 33.25%.
Over the past 30 days, loss per share estimates for Aldeyra Therapeuticshave narrowed from 43 cents to 39 cents for 2026. Over the same period, estimates for 2027 loss per share have narrowed from 22 cents to 16 cents. ALDX shares have plunged 71.4% year to date.
Aldeyra Therapeuticsbeat earnings in each of the trailing four quarters, delivering an average surprise of 29.25%.
Eli Lilly and Co (NYSE:LLY) said on Monday it will acquire privately held Merida Biosciences for up to $2.88 billion in cash, part of a deal-making push to broaden its treatments for immune-related and allergic diseases.
The acquisition continues a run of dealmaking for Lilly, whose deal spending this year has outpaced prior years as it looks to diversify beyond its blockbuster obesity and diabetes franchises.
The agreement includes an upfront payment and additional amounts tied to milestones, though Lilly did not disclose specific terms.
Merida is developing medicines that selectively target antibodies driving a range of immune-related conditions. Its lead candidate, MER511, is in early-stage development for autoimmune disorders including Graves' disease and thyroid eye disease. Lilly said initial data showed the drug substantially lowered thyroid-stimulating antibodies linked to those conditions, with a favorable early safety profile.
Graves' disease causes the thyroid to produce excess hormone, while thyroid eye disease can lead to inflammation, eye bulging, double vision and impaired vision. Current treatments include antithyroid medications, radioactive iodine and surgery, alongside two FDA-approved drugs for thyroid eye disease, Amgen's Tepezza and Viridian Therapeutics' Lumvoa.
Merida's pipeline also includes MER769, an experimental treatment for food allergy, asthma and other allergic diseases, along with earlier-stage programs targeting kidney and other immune-mediated conditions.
The deal is expected to close in the fourth quarter.
Shares of Lilly were down around 1.7% on Monday morning.
Eli Lilly Stock Slides as Pharma Giant Strikes $2.9 Billion Merida Deal Summary
Eli Lilly agreed to acquire Merida Biosciences for up to $2.875 billion in cash, adding experimental therapies targeting autoimmune and allergic diseases to its pipeline
Eli Lilly LLY is adding another early-stage biotechnology asset to its immunology pipeline through an agreement to acquire Merida Biosciences for as much as $2.875 billion.
The transaction combines an upfront cash payment with additional amounts tied to development milestones. Lilly expects the deal to close in the fourth quarter of 2026, pending regulatory clearance and other closing conditions.
Merida's lead program, MER511, is being tested in Phase 1 for Graves' disease and thyroid eye disease. The biotechnology company is developing therapies intended to remove disease-causing antibodies while leaving normal immune activity intact.
The acquisition also brings MER769, a preclinical program aimed at antibody-driven allergic conditions, along with earlier research programs targeting immune-related kidney diseases. The purchase expands Lilly's efforts in immunology beyond its established drug portfolio.
The deal could broaden Lilly's longer-term pipeline, though its financial value will depend on clinical progress and regulatory outcomes.
Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.
31.8.2026 16:00, NVDA, EIX, LLY, PCG, SLB, CVX, XOM
Index Dow Jones -0,61 % na 53232,61 b., S&P 500 -0,41 % na 7680,52 b., Nasdaq Composite -0,31 % na 26320,91 b.
Americké akcie zpočátku týdne oslabují kvůli další eskalaci napětí na Blízkém východě. Cena americké ropy překonala 85 USD za barel.
USA a Írán si poprvé přibližně po měsíci vyměnily údery. Naděje na brzké obnovení běžné dopravy přes Hormuzský průliv dále oslabila zpráva o zasažení tankeru minami. Dražší energie zvyšují inflační rizika a podle tržních sázek je nyní zářijové zvýšení sazeb Fedu pravděpodobnější než jejich ponechání beze změny. Rozhodující budou údaje z trhu práce a následná inflační data.
Nvidia (+0,4 %) zároveň investuje 3,5 mld. USD do tchajwanského výrobce čipů MediaTek.
Z růstu cen ropy těží akcie ropařů Chevron (+2,7 %) a Exxon Mobil (+2,4 %). Naopak PG&E (-19 %) a Edison International (-20 %) odepisují po návrhu kalifornské legislativy, která nepřenáší odpovědnost za škody způsobené požáry z veřejně obchodovaných utilit.
GameStop roste o 4,4 % díky předběžným tržbám nad odhady trhu. Eli Lilly (-1,6 %) koupí biotechnologickou společnost Merida Biosciences až za 2,88 mld. USD a SLB (+4,6 %) získá za 3,4 mld. USD výrobce technologií pro chlazení datových center Kelvion.
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Zdroj: Bloomberg
Americká farmaceutická společnost Eli Lilly oznámila plán koupit společnost Merida Biosciences za až 2,875 mld. USD v hotovosti. Akvizicí chce rozšířit své působení v oblasti autoimunitních a alergických onemocnění a pokračovat v budování byznysu i mimo trhy s léky na hubnutí a cukrovku, díky nimž se stala největší farmaceutickou firmou na světě.
Merida Biosciences vyvíjí přípravky cílící na autoprotilátky spojené s určitými nemocemi, aniž by přitom poškozovaly přirozený imunitní systém. Její nejpokročilejší produkt je zatím v první fázi klinického testování u Gravesovy choroby a endokrinní orbitopatie.
Eli Lilly zaplatí úvodní částku v hotovosti a k tomu dodatečné milníkové platby v případě, že experimentální produkty naplní vývojová očekávání. Transakce podléhá obvyklým podmínkám pro uzavření, včetně regulatorních schválení, a očekává se, že bude uzavřena ve čtvrtém kvartále 2026.
Společnost je přitom uprostřed rekordní nákupní vlny, přičemž jen letos oznámila akvizice za více než 20 mld. USD.
Akcie Eli Lilly Akcie Eli Lilly (LLY) v předburzovní fázi obchodování oslabují o 0,31 % na 1 170,99 USD.
Eli Lilly and Novo Nordisk both dominated GLP-1 headlines in Q2 2026, but one company raised guidance while the other announced layoffs, pipeline writedowns, and a dramatic price cut. The split screen tells a story that goes beyond which drug…
Eli Lilly (NYSE:LLY | LLY Price Prediction) and Novo Nordisk (NYSE:NVO) both reported Q2 2026 results in early August, and the split screen was jarring.
Lilly delivered 48% revenue growth and raised guidance. Novo defended a shrinking U.S. business with price cuts, layoffs, and a fresh round of pipeline impairments. Same week, same category, opposite momentum.
Tirzepatide Runs Hot While Wegovy Fights for Air Lilly’s incretin engine did the heavy lifting. Mounjaro and Zepbound combined for $14.9 billion in Q2 sales, and international was where the story got loud: China grew 93% at constant currency and rest of world grew 136%. In the U.S. obesity market, roughly 6 out of 10 total prescriptions were for a Lilly medicine. That signals category dominance rather than a contested share war.
Novo’s quarter was more complicated. Adjusted sales rose 7% at constant exchange rates to 78.5 billion Danish kroner, but adjusted gross margin fell to 78.2% from 82.7% a year earlier. The one bright spot is the Wegovy pill, which CEO Mike Doustdar called “the strongest ever GLP-1 launch by volume”, reaching over 5 million total prescriptions and around 90% of the oral obesity market.
Business Driver Eli Lilly Novo Nordisk Q2 revenue growth 48% 7% CER Flagship franchise Mounjaro + Zepbound Wegovy + Ozempic U.S. price trend Declined 3% Lower realized prices Gross margin 85.8% range 78.2% Offense in Indianapolis, Defense in Bagsvaerd Lilly is playing offense. Retatrutide, its triple acting GLP-1, hit primary endpoints across three Phase 3 trials, with CEO Dave Ricks noting “weight loss approaching bariatric surgery levels at the highest doses” and a U.S. BLA submission slated for Q1 2027.
Orforglipron, sold as Foundayo, expanded from about 8,000 prescribers to 36,000 prescribers. Full-year revenue guidance moved to $85 to $87 billion.
Novo is playing defense. It took a DKK 6.3B non-cash impairment, retired monlunabant, and watched siltivecumab post a MACE hazard ratio of 0.99. Headcount fell by almost 12,000 employees, roughly a 15% decline.
On CNBC affiliate Mad Money, Doustdar acknowledged that “Lilly’s pill reduces your weight by 12%” versus Wegovy pill’s 17%, but conceded Lilly is “more diversified than Novo Nordisk”.
Retatrutide, Pricing, and the Bridge Program The next 12 months hinge on three things. First, retatrutide’s regulatory path and whether Lilly’s manufacturing build in Indiana and Ireland keeps pace.
Second, whether Novo’s announced 50% list price cut for Wegovy effective January 2027 stabilizes U.S. volume.
Third, the Medicare GLP-1 Bridge Program, which Lilly says gives “20 million eligible Americans” a $50 per month option. I will keep an eye on whether that access lift accrues mostly to Zepbound and Foundayo or opens a lane for Wegovy pill.
Why I Lean Lilly, but Would Not Write Off Novo Lilly looks like the cleaner story. Shares are up 77.98% over one year, and a 42 trailing PE is rich but arguably earned by 54.2% operating margins and retatrutide optionality.
Novo is the harder trade. At a 11 PE and a 3.84% dividend yield, the setup fits a turnaround investor who believes the Wegovy pill can carry international growth while U.S. price cuts wash through. If retatrutide gets its BLA and Novo’s amylin combos slip again, the gap widens.
If Wegovy pill scales in Germany the way it did in the UK, the underdog gets a second act. The setup argues against chasing Lilly on strength or bottom-fishing Novo on weakness without evidence the U.S. base is stabilizing.
Contact [email protected] for any questions or corrections.
Key Takeaways Lilly's Mounjaro and Zepbound drove $27.6 billion in combined first-half 2026 sales.AbbVie expects Skyrizi and Rinvoq sales to exceed $31 billion in 2026, with over 20% growth.Lilly's stronger growth outlook and expanding obesity opportunity make it the better overall pick. Eli Lilly (LLY - Free Report) and AbbVie (ABBV - Free Report) are leading U.S. drugmakers with established portfolios, blockbuster therapies, robust R&D pipelines, large market capitalizations and a strong global presence. Both have significant exposure to major therapeutic areas, including immunology, oncology and neuroscience. AbbVie has diversified into aesthetics and eye care, while Lilly has established a strong foothold in cardiometabolic health.
AbbVie’s growth has been driven largely by the success of its immunology portfolio, while Lilly’s Mounjaro and Zepbound have emerged as key growth drivers, strengthening its position in the fast-growing cardiometabolic market.
Both companies are delivering solid revenues and profits and have promising growth prospects. But with different growth drivers, pipelines and challenges, which stock is the better investment option today? Let’s compare their fundamentals, growth outlook and key risks to make an informed choice.
The Case for Lilly StockLilly has seen extraordinary momentum in its cardiometabolic franchise. Its blockbuster drugs, Mounjaro for type II diabetes and Zepbound for obesity, have become some of the fastest-growing medicines in pharmaceutical history, gaining from enormous global demand for GLP-1 therapies. These therapies account for around 65% of the company’s total revenues and have become key top-line drivers for Lilly, with demand rising rapidly. In the first half of 2026, the drugs generated combined sales of $27.6 billion.
Lilly’s newly launched once-daily oral GLP-1 pill, Foundayo (orforglipron), for treating obesity, can prove to be a commercial game-changer for Lilly. Oral pills will be a more convenient alternative to the currently available once-weekly injectable obesity treatments like Zepbound and rival Novo Nordisk’s (NVO - Free Report) Wegovy. The launch uptake for Foundayo has been encouraging as Lilly expands physician engagement and direct-to-consumer promotion in the United States.
To maintain leadership in the GLP-1 market, Lilly is developing several next-generation, more powerful and more convenient GLP-1–based treatments, including oral options and multi-acting candidates. Retatrutide is one of Lilly’s most important late-stage pipeline candidates, targeting GLP-1, GIP and glucagon pathways and potentially delivering greater weight loss and broader metabolic benefits than current therapies. With late-stage studies spanning obesity, type II diabetes, obstructive sleep apnea (OSA) and other indications, Lilly plans to seek FDA approval in the first quarter of 2027, potentially creating another multibillion-dollar growth driver.
Lilly’s growth story is increasingly diversified beyond its GLP-1 franchise, with newer therapies such as Omvoh, Jaypirca, Ebglyss, Kisunla and Inluriyo gaining traction across multiple therapeutic areas. These products are becoming meaningful growth contributors.
The company has also embarked on an aggressive M&A spree in the past couple of years, acquiring biotech companies across oncology, neuroscience, cardiovascular disease, gene editing, inflammation, cell therapy and vaccines to diversify its long-term growth drivers beyond GLP-1 therapies. The company has announced more than $20 billion in biotech deals this year.
Lilly has its share of problems. Prices of most of Lilly’s products are declining in the United States. Price is expected to continue to be a drag on top-line growth in the low to mid-teens percentage in 2026. Rising competition in the GLP-1 diabetes/obesity market is a key headwind. Also, sales of late-life cycle products like Trulicity, Taltz and Verzenio are expected to be flat to down in 2026.
The Case for AbbVie StockAbbVie has successfully navigated the loss of exclusivity (LOE) of its blockbuster drug, Humira, which once generated more than 50% of its total revenues. It has accomplished this by launching two other successful new immunology medicines, Skyrizi and Rinvoq, which are performing extremely well, bolstered by approvals in new indications, and should support top-line growth in the next few years.
In 2026, AbbVie expects combined Skyrizi and Rinvoq sales of more than $31 billion. It recorded $14.6 billion in sales in the first half. Combined, Skyrizi and Rinvoq are expected to deliver more than 20% growth in 2026.
However, AbbVie expects a low single-digit pricing headwind for both Skyrizi and Rinvoq in 2026 and over the next few years. Moreover, the launch of J&J’s (JNJ - Free Report) new oral pill for moderate-to-severe plaque psoriasis, Icotyde, has increased competitive pressure for Skyrizi, which can impact the product’s prescription trends. However, AbbVie seems confident that it can navigate competition from J&J’s Icotyde.
AbbVie is also benefiting from strong momentum outside immunology. The oncology franchise remains anchored by Venclexta and Elahere, while the neuroscience portfolio is also contributing to top-line growth, driven by higher sales of Botox Therapeutic, depression drug Vraylar, newer migraine drugs Ubrelvy and Qulipta and new Parkinson’s disease drug Vyalev.
Like Lilly, AbbVie has been on an acquisition spree over the past couple of years to bolster the early-stage pipeline that should drive long-term growth. It is signing several M&A deals in the immunology space, its core area, while also signing some early-stage deals in oncology and neuroscience. The approximately $10.9 billion pending acquisition of Apogee Therapeutics is expected to strengthen its late-stage immunology pipeline.
AbbVie boasts a robust pipeline and expects important data readouts, regulatory submissions and approvals throughout the rest of 2026.
The company faces some near-term headwinds like Humira’s biosimilar erosion, slowdown in oncology sales and soft sales of its Aesthetics unit for the past couple of years due to continued macro challenges and economic headwinds.
How Do Estimates Compare for LLY & ABBV?The Zacks Consensus Estimate for LLY’s 2026 sales and EPS implies a year-over-year increase of 35.4% and 48.4%, respectively. EPS estimates for 2026 and 2027 have risen over the past 30 days.
LLY Estimate MovementImage Source: Zacks Investment Research
The Zacks Consensus Estimate for AbbVie’s 2026 sales and EPS implies a year-over-year increase of 10.5% and 40.6%, respectively. The EPS estimate for 2026 has declined from $14.19 to $14.06 over the past 30 days, while that for 2027 has declined from $16.19 to $16.16 over the same timeframe.
ABBV Estimate MovementImage Source: Zacks Investment Research
Price Performance and Valuation of LLY & ABBVSo far this year, LLY’s stock has risen 16.0% and AbbVie’s stock has risen 15.8%. The industry has risen 18.2% in the said time frame.
Image Source: Zacks Investment Research
AbbVie looks more attractive than Lilly from a valuation standpoint. Going by the price/earnings ratio, Lilly’s shares currently trade at 29.42 forward earnings, significantly higher than 19.50 for the industry. However, LLY currently trades lower than its 5-year mean of 34.57. AbbVie’s shares currently trade at 17.15 forward earnings, lower than the industry. ABBV shares, however, trade above the stock’s 5-year mean of 14.07.
Image Source: Zacks Investment Research
AbbVie’s dividend yield is 2.6%, while Lilly’s is around 0.6%.
Image Source: Zacks Investment Research
LLY or ABBV: Which is a Better Pick?AbbVie and Lilly have a Zacks Rank #3 (Hold) each, which makes choosing one stock a difficult task. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AbbVie has successfully replaced much of the lost revenues from Humira with strong growth from Skyrizi and Rinvoq. AbbVie expects a year of robust growth in 2026. It expects total revenues to rise around 10% in 2026, backed mainly by significant momentum in immunology and neuroscience products, which are demonstrating significant growth and delivering share gains in growing markets. It expects high single-digit revenue growth through 2029. However, near-term profitability remains affected by acquired in-process research and development charges related to the Apogee acquisition.
Lilly remains one of the most compelling growth stories in the pharmaceutical industry, supported by its significant price appreciation, dominant position in the rapidly expanding obesity and diabetes markets, a diversified late-stage pipeline and strong financial performance. While the stock trades at a premium valuation after a remarkable multi-year rally, the company's long-term growth prospects remain among the strongest in the healthcare sector.
Given Lilly’s much stronger growth trajectory and expanding obesity opportunity, it is currently a better pick.
First-of-its-kind study shows sustained Zepbound use in older adults with obesity lowers costs, reinforcing the potential value of the Medicare GLP-1 Bridge program
Individuals treated with Zepbound had lower rates of hospital admissions and emergency department visits
, /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) today announced results from a real-world study of adults over 55 with overweight or obesity, which found that staying on Zepbound (tirzepatide) for weight management lowered healthcare costs over time relative to similar untreated adults, driven in part by fewer hospital admissions and emergency department visits. For adults over the age of 55, including patients in Medicare's GLP-1 Bridge program, these lower costs translate into meaningful savings as early as 12 months into treatment. This is the first study of its kind in this age group, and the results were published in Diabetes, Obesity and Metabolism.
Key findings1
The study estimated cost differences over time, excluding Zepbound costs,2 using two established methods. Both approaches yielded, on average, lower monthly healthcare costs with sustained Zepbound use versus those who are untreated.
At six months, costs were up to 15% lower (up to $181 per patient, per month). The difference widened by 12 months, with an estimated difference of up to $607 per patient, per month, reflecting on average up to 38% lower costs than those not treated.3 In the primary analysis, adults older than 55 treated with Zepbound had lower rates of hospital admissions and emergency department visits across every follow-up period, and numerically higher rates of routine outpatient and office visits, consistent with greater engagement in routine care.4 Beginning at six months, estimated healthcare cost savings nearly covered the Medicare GLP-1 Bridge program's monthly treatment cost of $195 per patient, per month. Starting at 12 months, estimated healthcare cost savings exceeded the cost of Zepbound treatment, suggesting that sustained treatment in an aging population may lead to meaningful cost savings.1 "This compelling real-world evidence highlights the impact that treating obesity with Zepbound can have on older patients and the healthcare system," said Ilya Yuffa, executive vice president and president, Lilly USA and Global Customer Capabilities. "This analysis shows treatment costs can be lowered, and in some cases more than covered, by savings elsewhere in care – including for payers and in Medicare. As coverage expands across Medicare, states and employers, these data offer evidence on the cost implications of long-term obesity treatment and should help shape decisions."
About this study
Who was included in the study?
This retrospective observational cohort study utilized the Komodo's Healthcare Map, which includes de-identified claims data from over 330 million individuals enrolled in U.S. healthcare plans. The analysis included 15,843 adults aged above 55 (mean age 64.5 years) with obesity (BMI ≥30 kg/m²) or overweight (BMI ≥27 kg/m²) with at least one obesity-related complication, who initiated Zepbound between November 2023 and September 2025. Each Zepbound user was matched 1:1 with a control who met the same eligibility criteria but did not initiate any GLP-1 or GIP/GLP-1 receptor agonist medication. People were matched based on their baseline demographics, clinical characteristics, obesity-related complications and healthcare utilization patterns. All participants had at least 12 months of continuous enrollment prior to beginning the study.
How was the study analyzed?
To account for the fact that not all patients remained in the study for the same length of time, researchers used two complementary analytic methods: one that directly compared costs between the matched pairs (pairwise analysis, the secondary analysis), and another that statistically reweighted the results so that patients who left the study early were still fairly represented, correcting for any differences between those who stayed on Zepbound and those who didn't (Inverse Probability of Censoring Weighting analysis, the primary analysis). Both approaches showed consistent results.
What were the results of the study?
Two analytic methods found lower monthly healthcare costs with sustained Zepbound use versus no treatment. At six months, the pairwise analysis showed a 15% lower increase in costs, a difference of $181 per patient, per month; the IPCW analysis showed a 12% lower increase, a difference of $145 per patient, per month. At 12 months, the pairwise analysis showed an estimated difference of $607 per patient, per month, reflecting on average 38% lower costs; the IPCW analysis showed an estimated difference of $319 per patient, per month, reflecting on average 25% lower costs.
How should the healthcare cost findings be interpreted?2
Claims data do not capture Zepbound's net price, so the study excluded the cost of Zepbound from total treatment costs. As a result, the reported cost differences reflect potential savings that could offset the price of Zepbound (not the net cost impact of treatment overall).
About Zepbound (tirzepatide) injection
Zepbound (tirzepatide) is the first and only dual GIP (glucose-dependent insulinotropic polypeptide) and GLP-1 (glucagon-like peptide-1) receptor agonist obesity medication. Zepbound tackles an underlying cause of excess weight. It reduces appetite and how much you eat. Zepbound is indicated for adults with obesity, or some adults who are overweight and also have at least one weight-related medical problem, to lose weight and keep it off. Additionally, Zepbound is FDA-approved to treat adults with moderate-to-severe obstructive sleep apnea and obesity. Zepbound should be used with a reduced calorie diet and increased physical activity.
Endnotes and references
Upadhyay N, Bonakdar A, Subedi K, Banerjee S, Behrend B, Hankosky ER. Trends in Cost of Care With Tirzepatide in Adults Aged Over 55 Years With Overweight or Obesity Without Diabetes: A Matched Cohort Analysis. Claims data do not capture Zepbound's net price, so the study excluded the cost of Zepbound from total treatment costs. As a result, the reported cost differences reflect potential savings that could offset the price of Zepbound (not the net cost impact of treatment overall). Estimated cost differences varied between $319 and $607, depending on model. Results were numerically lower, but not statistically significant in the secondary analysis (pairwise). INDICATIONS AND SAFETY SUMMARY WITH WARNINGS
Zepbound® (ZEHP-bownd) is an injectable prescription medicine used with a reduced-calorie diet and increased physical activity to help adults with:
obesity, or some adults with overweight who also have weight-related medical problems, to lose excess body weight and keep the weight off. moderate-to-severe obstructive sleep apnea (OSA) and obesity to improve their OSA. Zepbound contains tirzepatide and should not be used with other tirzepatide-containing products or any GLP-1 receptor agonist medicines. It is not known if Zepbound is safe and effective for use in children.
Warnings - Zepbound may cause tumors in the thyroid, including thyroid cancer. Watch for possible symptoms, such as a lump or swelling in the neck, hoarseness, trouble swallowing, or shortness of breath. If you have any of these symptoms, tell your healthcare provider.
Do not use Zepbound if you or any of your family have ever had a type of thyroid cancer called medullary thyroid carcinoma (MTC). Do not use Zepbound if you have Multiple Endocrine Neoplasia syndrome type 2 (MEN 2). Do not use Zepbound if you have had a serious allergic reaction to tirzepatide or any of the ingredients in Zepbound. KwikPen®: Do not share your KwikPen with other people, even if the pen needle has been changed. You may give other people a serious infection or get a serious infection from them.
Zepbound may cause serious side effects, including:
Severe stomach problems. Stomach problems, sometimes severe, have been reported in people who use Zepbound. Tell your healthcare provider if you have stomach problems that are severe or will not go away.
Dehydration leading to kidney problems. Diarrhea, nausea, and vomiting may cause a loss of fluids (dehydration), which may cause kidney problems. It is important for you to drink fluids to help reduce your chance of dehydration. Tell your healthcare provider right away if you have nausea, vomiting, or diarrhea that does not go away.
Gallbladder problems. Gallbladder problems have happened in some people who use Zepbound. Tell your healthcare provider right away if you get symptoms of gallbladder problems, which may include pain in your upper stomach (abdomen), fever, yellowing of skin or eyes (jaundice), or clay-colored stools.
Inflammation of the pancreas (pancreatitis). Stop using Zepbound and call your healthcare provider right away if you have severe pain in your stomach area (abdomen) that will not go away, with or without nausea or vomiting. You may feel the pain from your abdomen to your back.
Serious allergic reactions. Stop using Zepbound and get medical help right away if you have any symptoms of a serious allergic reaction, including swelling of your face, lips, tongue or throat, problems breathing or swallowing, severe rash or itching, fainting or feeling dizzy, or very rapid heartbeat.
Low blood sugar (hypoglycemia). Your risk for getting low blood sugar may be higher if you use Zepbound with medicines that can cause low blood sugar, such as a sulfonylurea or insulin. Signs and symptoms of low blood sugar may include dizziness or light-headedness, sweating, confusion or drowsiness, headache, blurred vision, slurred speech, shakiness, fast heartbeat, anxiety, irritability, mood changes, hunger, weakness or feeling jittery.
Changes in vision in patients with type 2 diabetes. Tell your healthcare provider if you have changes in vision during treatment with Zepbound.
Food or liquid getting into the lungs during surgery or other procedures that use anesthesia or deep sleepiness (deep sedation). Zepbound may increase the chance of food getting into your lungs during surgery or other procedures. Tell all your healthcare providers that you are taking Zepbound before you are scheduled to have surgery or other procedures.
Common side effects
The most common side effects of Zepbound include nausea, diarrhea, vomiting, constipation, stomach (abdominal) pain, indigestion, injection site reactions, feeling tired, allergic reactions, belching, hair loss, and heartburn. These are not all the possible side effects of Zepbound. Talk to your healthcare provider about any side effect that bothers you or doesn't go away.
Tell your doctor if you have any side effects. You can report side effects at 1-800-FDA-1088 or www.fda.gov/medwatch.
Before using Zepbound
Your healthcare provider should show you how to use Zepbound before you use it for the first time. Talk to your healthcare provider about low blood sugar and how to manage it. Tell your healthcare provider if you are taking medicines to treat diabetes including an insulin or sulfonylurea. If you take birth control pills by mouth, talk to your healthcare provider before you use Zepbound. Birth control pills may not work as well while using Zepbound. Your healthcare provider may recommend another type of birth control for 4 weeks after you start Zepbound and for 4 weeks after each increase in your dose of Zepbound. Review these questions with your healthcare provider:
❑ Do you have other medical conditions, including problems with your pancreas, or severe problems with your stomach, such as slowed emptying of your stomach (gastroparesis) or problems digesting food?
❑ Do you take diabetes medicines, such as insulin or sulfonylureas?
❑ Do you have a history of diabetic retinopathy?
❑ Are you scheduled to have surgery or other procedures that use anesthesia or deep sleepiness (deep sedation)?
❑ Do you take any other prescription medicines or over-the-counter drugs, vitamins, or herbal supplements?
❑ Are you pregnant, plan to become pregnant, breastfeeding, or plan to breastfeed? Zepbound may harm your unborn baby. Tell your healthcare provider if you become pregnant while using Zepbound. Zepbound may pass into your breast milk. You should talk with your healthcare provider about the best way to feed your baby while using Zepbound.
• Pregnancy Exposure Registry: There will be a pregnancy exposure registry for women who have taken Zepbound during pregnancy. The purpose of this registry is to collect information about the health of you and your baby. Talk to your healthcare provider about how you can take part in this registry, or you may contact Lilly at 1-800-LillyRx (1-800-545-5979).
How to take
Read the Instructions for Use that come with Zepbound. Use Zepbound exactly as your healthcare provider says. Use Zepbound with a reduced-calorie diet and increased physical activity. Inject Zepbound under the skin (subcutaneously) of your stomach (abdomen), thigh, or have another person inject in the back of the upper arm. Do not inject ZEPBOUND into a muscle (intramuscularly) or vein (intravenously). Use Zepbound 1 time each week, at any time of the day. Change (rotate) your injection site with each weekly injection. Do not use the same site for each injection. If you take too much Zepbound, call your healthcare provider, call the Poison Help line at 1-800-222-1222 or go to the nearest hospital emergency room right away.
Zepbound is approved as a 2.5 mg, 5 mg, 7.5 mg, 10 mg, 12.5 mg, and 15 mg injection.
Learn more
Zepbound is a prescription medicine. For more information, call 1-800-LillyRx (1-800-545-5979) or go to www.zepbound.lilly.com.
This summary provides basic information about Zepbound but does not include all information known about this medicine. Read the information that comes with your prescription each time your prescription is filled. This information does not take the place of talking with your healthcare provider. Be sure to talk to your healthcare provider about Zepbound and how to take it. Your healthcare provider is the best person to help you decide if Zepbound is right for you.
ZP CON BS 25FEB2026
About Lilly
Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for 150 years, and today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. P-LLY
Trademarks and Trade Names
All trademarks or trade names referred to in this press release are the property of the company, or, to the extent trademarks or trade names belonging to other companies are referenced in this press release, the property of their respective owners. Solely for convenience, the trademarks and trade names in this press release are referred to without the ® and ™ symbols, but such references should not be construed as any indicator that the company or, to the extent applicable, their respective owners will not assert, to the fullest extent under applicable law, the company's or their rights thereto. We do not intend the use or display of other companies' trademarks and trade names to imply a relationship with, or endorsement or sponsorship of us by, any other companies.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements (as that term is defined in the Private Securities Litigation Reform Act of 1995), including statements about the supply and access of Zepbound (tirzepatide) as a treatment for adults with obesity or overweight and reflects Lilly's current belief and expectations. However, as with any pharmaceutical product, there are substantial risks and uncertainties in the process of drug research, development, access, and commercialization. Among other things, there can be no guarantee that future study results will be consistent with the results to date, that Zepbound will receive additional regulatory approvals, or that Lilly will execute its access and other strategies as planned. For further discussion of these and other risks and uncertainties, see Lilly's most recent Form 10-K and Form 10-Q filings with the United States Securities and Exchange Commission. Except as required by law, Lilly undertakes no duty to update forward-looking statements to reflect events after the date of this release.
In the second quarter of this year, Ken Griffin nearly quadrupled Citadel's stake in Eli Lilly (LLY -0.13%), adding around 740,000 shares and making it one of his fund's top positions. A billionaire who can buy almost anything chose to lean into this pharma stock. I think that matters.
Griffin is backing a company that sits at the center of two of the biggest medical shifts of this decade: obesity and Alzheimer's disease.
On the obesity side, Lilly's incretin drugs Mounjaro and Zepbound have turned into a franchise that is changing how doctors treat weight and diabetes. In the second quarter of 2026, Eli Lilly reported revenue of about $23.0 billion, up 48% year over year, driven mainly by volume growth in Mounjaro and Zepbound. Mounjaro alone brought in roughly $9.9 billion in sales, with Zepbound adding another $4.9 billion as demand grew across the United States and abroad.
Image source: Getty Images.
Those drugs are not the end of the story. Lilly's pipeline is packed with next-generation obesity and cardiometabolic candidates. The company has late-stage programs such as retatrutide and orforglipron, and dozens of discovery projects focused on incretins, amylins, and new targets for obesity, diabetes, cardiovascular disease, and kidney disease. That tells me management is not content to ride one product cycle. It is building a family of medicines around metabolic health that could support growth long after the first wave of GLP‑1 drugs matures.
Then there is Alzheimer's. Lilly's drug Kisunla, known generically as donanemab, has gained full FDA approval in the United States for early symptomatic Alzheimer's disease and now has marketing authorization in Europe as well. It is a monthly infusion that targets amyloid plaques and is indicated for patients with mild cognitive impairment or mild dementia who have confirmed amyloid pathology. Alzheimer's treatments are not simple or risk-free, yet having a disease‑modifying therapy on the market gives Lilly a foothold in a huge and painful area of medicine where competitors are still working to catch up.
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Eli Lilly is a force that isn't going away When I look at that combination, I see a company with two powerful growth engines. One helps people lose weight and control blood sugar. The other aims to slow a disease that erodes memories. Alongside these, Lilly still has solid franchises in oncology, immunology, and other fields, plus new programs in areas such as liver disease and sleep apnea tied to obesity. That breadth gives the company room to absorb setbacks in any one trial while still pushing the overall portfolio forward.
Of course, Lilly's stock has already run so very hard. A year ago, the stock was less than $700. Now, it's roughly $1,240. I've seen recent price targets cluster around an average near $1,366 per share, with highs reaching $1,600. The valuation screens rich against older pharma peers. That is where investor psychology comes in. Lilly should not be viewed as a slow dividend payer. It is seen as a growth company in a lab coat, tied to themes that people feel in daily life, from weight loss to cognitive decline.
So, is it too late? I think that depends on your time horizon. If you want a quick trade, the stock's move may feel stretched. If you are building a long-term portfolio and want exposure to obesity, Alzheimer's, and broader innovation in metabolic and neurological disease, Lilly still looks compelling. Griffin's decision to make it a larger slice of an $875 billion portfolio suggests he sees more runway ahead. In my view, Eli Lilly is a good long-term buy.
Eli Lilly and Co. (NYSE:LLY) shares are trading lower Wednesday, pulling back after the stock notched an all-time high just last week, even as the company separately reported positive real-world data on its weight-loss drug Zepbound. Here’s what you should know.
Eli Lilly stock is showing notable weakness. What’s behind LLY decline? Eli Lilly shares touched an all-time intraday high of $1,292.65 and closed at a record $1,280.34 on Aug. 19, before easing off those levels in the sessions since. Shares have traded in a range of $1,180.01 to $1,235.775 more recently, still well within the stock’s 52-week range of $694.23 to $1,292.65, according to Benzinga Pro.
The pullback looks like a normal consolidation after a strong run to fresh highs rather than a reaction to any specific negative news.
New Study Shows Zepbound Lowering Healthcare Costs in Older AdultsSeparately, Eli Lilly rolled out findings from a new real-world analysis focused on older adults carrying excess weight, showing that people who kept taking Zepbound saw their overall healthcare spending come down compared with similar patients who went untreated, a gap the company attributed mainly to fewer trips to the hospital and emergency room. Lilly said no prior research had examined this specific age bracket in this way, and the findings were published in the academic journal Diabetes, Obesity and Metabolism.
Looking at the actual numbers, patients who continued on Zepbound saw monthly costs come in up to 15% lower after half a year, translating to roughly $181 in savings per patient each month. That advantage grew even larger by the one-year mark, reaching an estimated $607 in monthly per-patient savings, or about 38% below what untreated patients spent, based on the study’s main statistical approach.
Beyond the dollar figures, patients over 55 taking the drug consistently visited hospitals and emergency rooms less often no matter how long researchers tracked them, while showing up more frequently for routine checkups and office visits, a pattern the study’s authors linked to patients staying more engaged with regular preventive care.
Those savings started adding up fast: within six months, the reduction in other healthcare costs had come close to canceling out the $195 monthly price tag for treatment under Medicare’s GLP-1 Bridge program, and by the one-year mark, the savings had actually surpassed what patients spent on the drug itself.
LLY Shares Are FallingLLY Price Action: Eli Lilly shares were down 3.17% at $1194.57 at the time of publication on Wednesday, according to Benzinga Pro.
A simpler diagnostic tool could widen Alzheimer's testing access Summary
FDA approved Lilly’s blood test to help identify Alzheimer’s-related brain changes
Eli Lilly LLY has secured another important foothold in Alzheimer's disease after the FDA approved a new blood test developed with Roche that can help identify signs of the disease in adults 55 and older experiencing cognitive decline. The approval broadens Lilly's exposure beyond its blockbuster obesity and diabetes franchises and could help make Alzheimer's testing more accessible by reducing reliance on costly brain scans and invasive spinal-fluid testing.
The test, called Elecsys pTau217, measures a biomarker associated with Alzheimer's-related brain changes. It is designed to help physicians determine whether patients are likely or unlikely to have those changes, although it is not intended to serve as a standalone diagnosis. Results must still be interpreted alongside other clinical information.
The commercial advantage is distribution. More than 4,500 Roche laboratory analyzers already installed across the U.S. can run the test, potentially allowing hospitals and clinics to adopt it without major new infrastructure investment. The FDA decision follows European approval in May.
That matters as pharmaceutical companies race to make Alzheimer's diagnosis earlier and easier. Faster identification could expand the pool of patients eligible for treatment while improving the practicality of screening as new therapies reach the market. Lilly is already considered a major Alzheimer's player in addition to its dominant position in weight-loss and diabetes treatments.
Lilly shares were down about 2% on August 26 amid a broader market decline despite the approval.
Investor takeawayThe immediate revenue impact of the blood test may be less important than its strategic role in Lilly's Alzheimer's ecosystem. Investors should watch adoption across Roche's installed analyzer base, physician uptake and whether easier testing helps identify more patients for Alzheimer's treatment. Broader diagnostic access could strengthen Lilly's position in a market where earlier detection is becoming increasingly important. The key risk is that the test is supportive rather than standalone, meaning its commercial value will depend heavily on how widely physicians incorporate it into diagnostic workflows.
Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.
Mounjaro is the first and only GIP and GLP-1 receptor agonist proven to lower heart attack, stroke or cardiovascular death risk in adults with type 2 diabetes at high risk for these events – in addition to its established A1C and weight loss benefits
It is estimated that as many as one in three adults in the U.S. with type 2 diabetes have undetected cardiovascular disease1
, /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) today announced that the U.S. Food and Drug Administration (FDA) approved Mounjaro (tirzepatide), a dual GIP and GLP-1 hormone receptor agonist, to lower the risk of major adverse cardiovascular (CV) events (MACE), including CV death, non-fatal heart attack, or non-fatal stroke in adults with type 2 diabetes who are at high risk for these events. Mounjaro is already approved as an adjunct to diet and exercise to improve blood sugar in adults and children 10 years of age and older with type 2 diabetes.
"For people with type 2 diabetes, heart disease is the leading cause of death, and Mounjaro – the #1 most prescribed branded type 2 diabetes medicine for adults in the U.S. – now gives them a proven way to lower that risk, adding to the strong foundation it has already built in A1C and weight," said Kenneth Custer, Ph.D., executive vice president and president, Lilly Cardiometabolic Health. "We set a higher bar by testing Mounjaro against a GLP-1 medicine with proven cardiovascular benefit, one that reflects the depth of evidence Lilly continues to build in this field."
The approval was based on results from SURPASS-CVOT, the first cardiovascular outcomes trial comparing two incretin medicines head-to-head rather than against a placebo, and the largest and longest tirzepatide study to date, enrolling more than 13,000 participants across 30 countries over more than four and a half years. In the trial, Mounjaro demonstrated non-inferiority to Trulicity (dulaglutide), a GLP-1 treatment with established cardiovascular benefit, with an 8% lower rate of cardiovascular death, heart attack or stroke (MACE-3). The estimated hazard ratio for time to first MACE was 0.92 (95.3% CI: 0.83, 1.01) for Mounjaro compared to Trulicity (dulaglutide).
"Heart health deserves attention throughout the course of treatment, not just after a serious cardiovascular event," said David A. D'Alessio, M.D., study co-author and director of the Division of Endocrinology and Metabolism at Duke University School of Medicine. "While a large portion of type 2 diabetes care is focused on glucose control, mitigating cardiovascular risk is essential and can be overlooked. This approval gives patients a medicine that reduces the risk of cardiovascular events and supports metabolic health at the same time."
The safety and tolerability of Mounjaro were generally consistent with its established profile. The most commonly reported adverse events in SURPASS-CVOT for Mounjaro were gastrointestinal-related, generally mild-to-moderate in severity, and occurred primarily during the dose-escalation period. Please see Indications and Safety Summary with Warnings below and full Prescribing Information and Medication Guide.
For more information about Mounjaro, please visit www.Mounjaro.lilly.com.
About Mounjaro (tirzepatide)
Mounjaro (tirzepatide), the #1 prescribed branded type 2 diabetes medicine for adults in the U.S., is an injectable medicine for adults and children 10 years of age and older with type 2 diabetes used along with diet and exercise to improve blood sugar (glucose). In adults with type 2 diabetes who are at high risk for cardiovascular events, Mounjaro is also indicated to lower the risk of major adverse cardiovascular (CV) events (MACE), including CV death, non-fatal heart attack, or non-fatal stroke. As the first and only FDA-approved GIP and GLP-1 receptor agonist, Mounjaro is a single molecule that activates the body's receptors for GIP (glucose-dependent insulinotropic polypeptide) and GLP-1 (glucagon-like peptide-1).
About Trulicity (dulaglutide)
Trulicity is a once-weekly injectable medicine for adults and children 10 years of age and older with type 2 diabetes that is used with diet and exercise to improve blood sugar (glucose). Trulicity is also used in adults with type 2 diabetes to reduce the risk of major cardiovascular events such as death, heart attack, or stroke, in people with established cardiovascular disease or multiple cardiovascular risk factors.
About SURPASS-CVOT
SURPASS-CVOT (Cardiovascular Outcomes Trial; NCT04255433) was an event-driven, randomized, double-blind, parallel group Phase 3 trial evaluating the efficacy and safety of Mounjaro (tirzepatide) compared with Trulicity (dulaglutide) in adults with type 2 diabetes and established atherosclerotic cardiovascular disease (ASCVD), which lasted approximately five years (with a median follow-up of four years). In the trial, 13,299 participants were randomized 1:1 across 640 sites in 30 countries to receive Mounjaro (15 mg or the maximum tolerated dose) or Trulicity (1.5 mg) administered subcutaneously once weekly. The primary objective of the trial was to demonstrate that Mounjaro provided a non-inferior reduction in the risk of major adverse cardiovascular events (MACE-3) — a composite of cardiovascular death, heart attack or stroke — compared to Trulicity. Over a median follow-up of 210.1 weeks, Mounjaro was non-inferior to dulaglutide for reducing the occurrence of MACE-3. Superiority to dulaglutide was not established. Full results from SURPASS-CVOT were published in The New England Journal of Medicine (NEJM). Data from the trial has been included in Mounjaro's product information in the European Union, and regulatory submissions based on the trial are under review in additional markets.
INDICATIONS AND SAFETY SUMMARY WITH WARNINGS
Mounjaro® (mown-JAHR-OH) is an injectable prescription medicine used along with diet and exercise to improve blood sugar (glucose) in adults and children 10 years of age and older with type 2 diabetes and to reduce the risk of major cardiovascular events such as heart attack, stroke, or death in adults with type 2 diabetes who are at high risk for these events.
It is not known if Mounjaro is safe and effective for use in children under 10 years of age. Warnings - Mounjaro may cause tumors in the thyroid, including thyroid cancer. Watch for possible symptoms, such as a lump or swelling in the neck, hoarseness, trouble swallowing, or shortness of breath. If you have any of these symptoms, tell your healthcare provider.
Do not use Mounjaro if you or any of your family have ever had a type of thyroid cancer called medullary thyroid carcinoma (MTC). Do not use Mounjaro if you have Multiple Endocrine Neoplasia syndrome type 2 (MEN 2). Do not use Mounjaro if you are allergic to it or any of the ingredients in Mounjaro. Mounjaro may cause serious side effects, including:
Inflammation of the pancreas (pancreatitis). Stop using Mounjaro and call your healthcare provider right away if you have severe pain in your stomach area (abdomen) that will not go away, with or without nausea or vomiting. Sometimes you may feel the pain from your abdomen to your back.
Low blood sugar (hypoglycemia). Your risk for getting low blood sugar may be higher if you use Mounjaro with another medicine that can cause low blood sugar, such as a sulfonylurea or insulin. Signs and symptoms of low blood sugar may include dizziness or light-headedness, sweating, confusion or drowsiness, headache, blurred vision, slurred speech, shakiness, fast heartbeat, anxiety, irritability, or mood changes, hunger, weakness and feeling jittery.
Serious allergic reactions. Stop using Mounjaro and get medical help right away if you have any symptoms of a serious allergic reaction, including swelling of your face, lips, tongue or throat, problems breathing or swallowing, severe rash or itching, fainting or feeling dizzy, and very rapid heartbeat.
Dehydration leading to kidney problems. Diarrhea, nausea, and vomiting may cause a loss of fluids (dehydration), which may cause kidney problems. It is important for you to drink fluids to help reduce your chance of dehydration. Tell your healthcare provider right away if you have nausea, vomiting, or diarrhea that does not go away.
Severe stomach problems. Stomach problems, sometimes severe, have been reported in people who use Mounjaro. Tell your healthcare provider if you have stomach problems that are severe or will not go away.
Changes in vision. Tell your healthcare provider if you have changes in vision during treatment with Mounjaro.
Gallbladder problems. Gallbladder problems have happened in some people who use Mounjaro. Tell your healthcare provider right away if you get symptoms of gallbladder problems, which may include pain in your upper stomach (abdomen), fever, yellowing of skin or eyes (jaundice), and clay-colored stools.
Food or liquid getting into the lungs during surgery or other procedures that use anesthesia or deep sleepiness (deep sedation). Mounjaro may increase the chance of food getting into your lungs during surgery or other procedures. Tell all your healthcare providers that you are taking Mounjaro before you are scheduled to have surgery or other procedures.
Common side effects
The most common side effects of Mounjaro include nausea, diarrhea, decreased appetite, vomiting, constipation, indigestion, and stomach (abdominal) pain. These are not all the possible side effects of Mounjaro. Talk to your healthcare provider about any side effect that bothers you or doesn't go away.
Tell your healthcare provider if you have any side effects. You can report side effects at 1-800-FDA-1088 or www.fda.gov/medwatch.
Before using Mounjaro
Your healthcare provider should show you how to use Mounjaro before you use it for the first time. Talk to your healthcare provider about low blood sugar and how to manage it. If you take birth control pills by mouth, talk to your healthcare provider before you use Mounjaro. Birth control pills may not work as well while using Mounjaro. Your healthcare provider may recommend another type of birth control for 4 weeks after you start Mounjaro and for 4 weeks after each increase in your dose of Mounjaro. Review these questions with your healthcare provider:
❑ Do you have other medical conditions, including problems with your pancreas, or severe problems with your stomach, such as slowed emptying of your stomach (gastroparesis) or problems digesting food?
❑ Do you take other diabetes medicines, such as insulin or sulfonylureas?
❑ Do you have a history of diabetic retinopathy?
❑ Are you scheduled to have surgery or other procedures that use anesthesia or deep sleepiness (deep sedation)?
❑ Are you pregnant, plan to become pregnant, breastfeeding, or plan to breastfeed? It is not known if Mounjaro will harm your unborn baby. Mounjaro may pass into your breast milk.
❑ Do you take any other prescription medicines or over-the-counter drugs, vitamins, or herbal supplements?
How to take
Read the Instructions for Use that come with Mounjaro. Use Mounjaro exactly as your healthcare provider says. A caregiver may give you Mounjaro injections, or you may self-inject if a healthcare provider determines that it is appropriate. Inject Mounjaro under the skin (subcutaneously) of your stomach (abdomen), thigh, or another person should inject in the back of the upper arm. Do not inject Mounjaro into a muscle (intramuscularly) or vein (intravenously). Use Mounjaro 1 time each week, at any time of the day. Do not mix insulin and Mounjaro together in the same injection. You may give an injection of Mounjaro and insulin in the same body area (such as your stomach area), but not right next to each other. Change (rotate) your injection site with each weekly injection. Do not use the same site for each injection. If you take too much Mounjaro, call your healthcare provider or Poison Help line at 1-800-222-1222 or go to the nearest hospital emergency room right away. Learn more
Mounjaro is a prescription medicine available as a pre-filled single-dose pen in 2.5 mg, 5 mg, 7.5 mg, 10 mg, 12.5 mg, or 15 mg per 0.5 mL injection. For more information, call 1-800-LillyRX (800-545-5979) or go to www.mounjaro.lilly.com.
This summary provides basic information about Mounjaro but does not include all information known about this medicine. Read the information that comes with your prescription each time your prescription is filled. This information does not take the place of talking with your healthcare provider. Be sure to talk to your healthcare provider about Mounjaro and how to take it. Your healthcare provider is the best person to help you decide if Mounjaro is right for you.
TR CON BS AUG2026
Mounjaro® and its delivery device base are registered trademarks owned or licensed by Eli Lilly and Company, its subsidiaries, or affiliates.
INDICATION[S] AND SAFETY SUMMARY WITH WARNINGS
Trulicity® (Trū-li-si-tee) is for adults and children 10 years of age and older with type 2 diabetes used along with diet and exercise to improve blood sugar (glucose). Trulicity is also used in adults with type 2 diabetes to reduce the risk of major cardiovascular events (problems having to do with the heart and blood vessels) such as death, heart attack, or stroke in people who have heart disease or multiple cardiovascular risk factors.
It is not known if Trulicity is safe and effective to lower blood sugar (glucose) in children under 10 years of age. Trulicity is given through an injection (needle). You take it once a week by injecting it under the skin of your stomach, thigh, or upper arm. Warnings: Trulicity may cause tumors in the thyroid, including thyroid cancer. Watch for possible symptoms, such as a lump or swelling in the neck, trouble swallowing, hoarseness, or shortness of breath. If you have any of these symptoms, tell your healthcare provider.
Do not use Trulicity if you or any of your family have ever had a type of thyroid cancer called medullary thyroid carcinoma (MTC). Do not use Trulicity if you have Multiple Endocrine Neoplasia syndrome type 2 (MEN 2). Do not use Trulicity if you are allergic to dulaglutide or other ingredients in Trulicity. Ask your healthcare provider how to recognize the serious side effects below and what to do if you think you have one:
Inflammation of the pancreas (pancreatitis). Stop using Trulicity and call your healthcare provider right away if you have severe pain in your stomach area (abdomen) that will not go away, with or without nausea or vomiting. Sometimes, you may feel the pain from your abdomen to your back.
Low blood sugar (hypoglycemia). Your risk for getting low blood sugar may be higher if you use TRULICITY with another medicine that can cause low blood sugar, such as a sulfonylurea or insulin.
Signs and symptoms of low blood sugar may include dizziness or light-headedness, confusion or drowsiness, headache, blurred vision, slurred speech, fast heartbeat, sweating, hunger, shakiness, feeling jittery, weakness, anxiety, irritability, or mood changes.
Serious allergic reactions. Stop using Trulicity and get medical help right away if you have any symptoms of a serious allergic reaction which may include swelling of your face, lips, tongue or throat, problems breathing or swallowing, severe rash or itching, fainting, or feeling dizzy, or very rapid heartbeat.
Dehydration leading to kidney problems. Diarrhea, nausea, and vomiting may cause a loss of fluids (dehydration) which may cause kidney problems. It is important for you to drink fluids to help reduce your chance of dehydration. Tell your healthcare provider right away if you have nausea, vomiting, or diarrhea that does not go away.
Severe stomach problems. Stomach problems, sometimes severe, have been reported in people who use Trulicity. Tell your healthcare provider if you have stomach problems that are severe or will not go away.
Changes in vision. Tell your healthcare provider if you have changes in your eyesight (vision) during treatment with Trulicity.
Gallbladder problems. Gallbladder problems have happened in some people who take Trulicity. Tell your healthcare provider right away if you get symptoms of gallbladder problems, which may include pain in your upper stomach (abdomen), fever, yellowing of skin or eyes (jaundice), clay-colored stools.
Food or liquid getting into the lungs during surgery or other procedures that use anesthesia or deep sleepiness (deep sedation). Trulicity may increase the chance of food getting into your lungs during surgery or other procedures. Tell all your healthcare providers that you are taking Trulicity before you are scheduled to have surgery or other procedures.
Common side effects
The most common side effects of Trulicity include nausea, diarrhea, vomiting, abdominal pain and decreased appetite, indigestion, and fatigue.
These are not all the possible side effects of Trulicity.
Tell your healthcare provider if you have any side effects. You can report side effects at 1-800-FDA-1088 or www.fda.gov/medwatch.
Before using
Your healthcare provider should show you how to use Trulicity before you use it for the first time. Before you use Trulicity, talk to your healthcare provider about low blood sugar and how to manage it. Review these questions with your healthcare provider:
❑ Do you have other medical conditions, including problems with your pancreas, kidneys, liver, or stomach, or have a history of diabetic retinopathy (vision problems related to diabetes)?
❑ Do you take other diabetes medicines, such as insulin or sulfonylureas?
❑ Are you scheduled to have surgery or other procedures that use anesthesia or deep sleepiness (deep sedation)?
❑ Are you pregnant or plan to become pregnant or breastfeeding or plan to breastfeed?
❑ Do you take any other prescription medicines or over-the-counter drugs, vitamins, or herbal supplements?
How to take
Read the Instructions for Use that come with Trulicity. Use Trulicity exactly as your healthcare provider says. Inject Trulicity under the skin (subcutaneously) of your stomach (abdomen), thigh, or upper arm. Do not inject Trulicity into a muscle (intramuscularly) or vein (intravenously). Do not share your Trulicity pen, syringe, or needles with another person. Do not give Trulicity to other people. If you take too much Trulicity, call your healthcare provider or Poison Helpline at 1-800-222-1222 or go to the nearest hospital emergency room right away. Learn more
Trulicity is a prescription medicine available as a pre-filled single-dose pen in 0.75 mg,1.5 mg, 3 mg, or 4.5 mg per 0.5 mL injection. For more information, call 1-800-LillyRx (1-800-545-5979) or go to www.trulicity.lilly.com.
This summary provides basic information about Trulicity but does not include all information known about this medicine. Read the information that comes with your prescription each time your prescription is filled. This information does not take the place of talking with your healthcare provider. Be sure to talk to your healthcare provider about Trulicity and how to take it. Your healthcare provider is the best person to help you decide if Trulicity is right for you.
DG CON HL BS 25MAR2026
Trulicity® and its delivery device base are registered trademarks owned or licensed by Eli Lilly and Company, its subsidiaries, or affiliates.
Endnotes
Fang M, Wang D, Tang O, et al. Subclinical cardiovascular disease in US adults with and without diabetes. J Am Heart Assoc. 2023;12(11): e029083. doi:10.1161/JAHA.122.029083. About Lilly
Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for 150 years, and today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. P-LLY
Trademarks and Trade Names
All trademarks or trade names referred to in this press release are the property of the company, or, to the extent trademarks or trade names belonging to other companies are referenced in this press release, the property of their respective owners. Solely for convenience, the trademarks and trade names in this press release are referred to without the ® and ™ symbols, but such references should not be construed as any indicator that the company or, to the extent applicable, their respective owners will not assert, to the fullest extent under applicable law, the company's or their rights thereto. We do not intend the use or display of other companies' trademarks and trade names to imply a relationship with, or endorsement or sponsorship of us by, any other companies.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements (as that term is defined in the Private Securities Litigation Reform Act of 1995) about Mounjaro as a treatment for adults with type 2 diabetes and who are at high risk for cardiovascular events and reflects Lilly's current beliefs and expectations. However, as with any pharmaceutical product, there are substantial risks and uncertainties in the process of drug research, development, and commercialization. Among other things, there is no guarantee that future study results will be consistent with study results to date, that Mounjaro will receive additional regulatory approvals, or that Lilly will execute its strategy as planned. For further discussion of these and other risks and uncertainties that could cause actual results to differ from Lilly's expectations, see Lilly's Form 10-K and Form 10-Q filings with the United States Securities and Exchange Commission. Except as required by law, Lilly undertakes no duty to update forward-looking statements to reflect events after the date of this release.
Eli Lilly (LLY.N) said on Friday the U.S. FDA has approved its diabetes drug Mounjaro to reduce the chances of heart attack or stroke in adults with type 2 diabetes who are at high risk of cardiovascular events.
The approval expands the use of Mounjaro, which targets the GLP-1 protein, beyond blood sugar control. In the U.S., Lilly sells the obesity version of the drug under the brand Zepbound.
Lilly and Danish rival Novo Nordisk (NOVOb.CO) are both seeking to broaden the reach of their GLP-1 drugs, testing them in conditions ranging from cardiovascular disease to liver disorders.
Novo secured FDA approval for its weight-loss drug Wegovy for lowering heart risks in 2024 in overweight or obese adults without diabetes. In 2025, the FDA also approved its older diabetes drug, Rybelsus, to reduce the risk of major heart risks in diabetic patients.
Lilly's approval was based on results from a trial that showed Mounjaro outperformed Trulicity, Lilly's older diabetes drug, in reducing the risk of heart attack and stroke in a large, head-to-head study.
The trial showed Mounjaro reduced the risk of major adverse heart events by 8% more than Trulicity.
Sales of Mounjaro rose 91% to $9.94 billion during the second quarter as strong demand lifted sales volumes across global markets.
Lilly in April also said its oral obesity pill Foundayo was not inferior to a widely used long-acting insulin at lowering the risk of major heart problems in patients with type 2 diabetes and obesity.
The company is also conducting two separate late-stage studies: one on Foundayo's cardiovascular benefits and another on its next-generation obesity drug retatrutide's effects on cardiovascular events and kidney disease progression.
, /PRNewswire/ -- Former Attorney General of Louisiana Charles C. Foti, Jr., Esq. and the law firm of Kahn Swick & Foti, LLC ("KSF") are investigating the proposed sale of AtaiBeckley Inc. (NasdaqGM: ATAI) to Eli Lilly and Company (NYSE: LLY). Under the terms of the proposed transaction, shareholders of AtaiBeckley will receive $6.75 per share in cash, plus up to $2.50 per share in the form of a Contingent Value Right entitling the holder to additional cash payments upon achievement of specified development and regulatory milestones related to the BPL-003 and VLS-01 programs. KSF is seeking to determine whether this consideration and the process that led to it are adequate, or whether the consideration undervalues the Company.
If you believe that this transaction undervalues the Company and/or if you would like to discuss your legal rights regarding the proposed sale, you may, without obligation or cost to you, e-mail or call KSF Managing Partner Lewis S. Kahn ([email protected]) toll free at any time at 833-538-3613, or visit https://www.ksfcounsel.com/cases/nasdaqgm-atai/ to learn more.
To learn more about KSF, whose partners include the Former Louisiana Attorney General, visit www.ksfcounsel.com.
Kahn Swick & Foti, LLC
1100 Poydras St., Suite 960
New Orleans, LA 70163
AtaiBeckley Investor Alert: Kahn Swick & Foti, LLC Investigates Adequacy of Price and Process in Proposed Sale of AtaiBeckley Inc. - ATAI PR Newswire
NEW YORK CITY and NEW ORLEANS, Aug. 28, 2026
, /PRNewswire/ -- Former Attorney General of Louisiana Charles C. Foti, Jr., Esq. and the law firm of Kahn Swick & Foti, LLC ("KSF") are investigating the proposed sale of AtaiBeckley Inc. (NasdaqGM: ATAI) to Eli Lilly and Company (NYSE: LLY). Under the terms of the proposed transaction, shareholders of AtaiBeckley will receive $6.75 per share in cash, plus up to $2.50 per share in the form of a Contingent Value Right entitling the holder to additional cash payments upon achievement of specified development and regulatory milestones related to the BPL-003 and VLS-01 programs. KSF is seeking to determine whether this consideration and the process that led to it are adequate, or whether the consideration undervalues the Company.
If you believe that this transaction undervalues the Company and/or if you would like to discuss your legal rights regarding the proposed sale, you may, without obligation or cost to you, e-mail or call KSF Managing Partner Lewis S. Kahn ([email protected]) toll free at any time at 833-538-3613, or visit https://www.ksfcounsel.com/cases/nasdaqgm-atai/ to learn more.
To learn more about KSF, whose partners include the Former Louisiana Attorney General, visit www.ksfcounsel.com.
Kahn Swick & Foti, LLC
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The pharmaceutical market is currently defined by a race to replace aging blockbusters with next-generation therapies. Deciding whether to buy AbbVie Inc (ABBV -1.03%) or Eli Lilly and Co (LLY -0.13%) requires weighing different growth engines.
Both companies operate in the same general space but offer distinct profiles. AbbVie relies on its deep roots in immunology and neuroscience, while Eli Lilly is experiencing massive growth driven by its metabolic and obesity platform.
The case for AbbVieAbbVie is a giant among pharmaceutical stocks, focusing on immunology, oncology, and neuroscience therapies. Revenue is highly concentrated, with Skyrizi and Rinvoq making up roughly 42% of sales in 2025. To diversify, the company recently announced it would acquire Apogee Therapeutics (APGE +0.01%) for approximately $10.9 billion.
In FY 2025, revenue reached nearly $61.2 billion, reflecting growth of roughly 8.7% over the previous year. Net income for the period was close to $4.3 billion. This performance shows the ability to maintain top-line growth even as older products face competitive pressure.
As of its December 2025 balance sheet, the company reported a debt-to-equity ratio of negative 21x, meaning total liabilities exceed shareholder equity. The so-called current ratio, which measures the ability to pay short-term obligations, is approximately 0.7x. Free cash flow reached nearly $17.8 billion, providing substantial capital for dividends and further acquisitions.
The case for Eli Lilly and CoEli Lilly focuses its efforts on high-growth areas like diabetes, obesity, and oncology. Its GLP-1 drugs, Mounjaro and Zepbound, are major drivers, accounting for roughly 56% of total revenue in 2025. The company maintains collaborations with partners like Incyte Corp (INCY -2.64%) and recently entered a new agreement with OmniAb Inc (OABI -3.04%).
In FY 2025, revenue reached nearly $65.2 billion, which is a significant 45% increase compared to the prior year. Net income for the same period was approximately $20.6 billion. The sharp rise in both metrics highlights the rapid market adoption of its new metabolic therapies.
As of its December 2025 balance sheet, the debt-to-equity ratio was roughly 1.6x. The current ratio is approximately 1.6x, indicating a solid position to meet short-term liabilities. Free cash flow for the year was close to $9.0 billion, which supports its ongoing research and development initiatives.
Risk profile comparisonAbbVie faces significant pressure from patent expirations and the rise of biosimilar competition for its primary immunology drugs. Government-mandated price reductions through the Inflation Reduction Act also threaten revenue for key products like Vraylar and Botox. This concentration in a few major therapies makes the business vulnerable to any regulatory or safety shifts.
Eli Lilly also deals with heavy revenue concentration, as a majority of its sales come from just a few cardiometabolic drugs. It faces intense competition from rivals like GSK plc (GSK +1.09%) in certain therapeutic areas. Furthermore, the complexity of manufacturing biologics creates risks for the supply chain, where any disruption could lead to significant revenue losses.
Valuation comparisonEli Lilly and carries a higher Forward P/E and P/S ratio than AbbVie, reflecting higher future earnings estimates.
MetricAbbVieEli Lilly and CoForward P/E18.4x32.4xP/S ratio7.1x3.2xValuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
AbbVie is buying itself growth with its recent deal to acquire Apogee Therapeutics. Its two relatively new immunology products, Skyrizi and Rinvoq, have proven to be true growth drivers for the business, and investors are hopeful that an FDA decision on a Parkinson's treatment later this year will bode well for the company. AbbVie is expected to see screaming growth in net income this year, from $4.2 billion to $14.6 billion. Sales should grow to $67.2 billion.
AbbVie has a drug pipeline that some on Wall Street believe could include blockbusters (more than $1 billion in lifetime revenue) for treating schizophrenia, Parkinson's disease, psychosis from Alzheimer's, and certain solid tumors.
Eli Lilly is riding a wave of success with its GLP-1 drugs Zepbound for weight loss and Mounjaro, which is the same drug for diabetes control. There is still plenty of growth left in the treatment, and that is expected to power revenue up as high as 30% in 2026, to $85.2 billion, with close to $31 billion in net income. Its next weight-loss drug, Retatrutide, is hotly anticipated for its triple-agonist approach, which is expected to exceed the weight-loss results of Zepbound. The company is also targeting less affluent customers with a lower-cost GLP pill called Foundayo, which it sells directly to consumers.
Besides GLP-1s, Lilly is working on a small interfering RNA therapeutic targeting lipoprotein(a) for the prevention of atherosclerotic cardiovascular disease in patients with elevated lipoprotein(a) levels. Analysts believe it will be a blockbuster ($1 billion or more lifetime revenue) if approved.
These are both good healthcare businesses, but Lilly's franchise in GLP-1s is too strong to ignore, especially given that most patients who start the treatment will stay on it for the rest of their lives to continue to keep their weight off. Long-term investors should pick Eli Lilly & Co over AbbVie in this case.
Merida Biosciences Merida's antibody-engineering platform is designed to enable precise, durable removal of disease-causing antibodies, while preserving normal immune function
Initial Phase 1 data show MER511 achieved robust reductions in pathogenic thyroid-stimulating antibodies with a favorable initial safety profile
Acquisition strengthens Lilly's immunology capabilities and its opportunity to elevate the standard of care for immune-mediated conditions with high unmet need
, /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) and Merida Biosciences, Inc. (Merida), a biotechnology company advancing a new class of precision therapeutics for serious autoimmune and allergic diseases, today announced a definitive agreement for Lilly to acquire Merida.
Merida is developing biologics engineered to selectively degrade pathogenic autoantibodies, the disease-causing agents behind a range of immune-mediated conditions. The precision degradation approach is intended to address the biological cause of these diseases, rather than broadly suppressing the immune system, as many current therapies do.
Merida's lead program, MER511, is in Phase 1 development for Graves' disease and thyroid eye disease (TED), conditions driven by thyroid-stimulating immunoglobulins, which are autoantibodies that activate the thyroid-stimulating hormone receptor. Graves' disease affects approximately 3 million people in the U.S., and patients face elevated cardiovascular risk and mortality. Roughly 25 to 40 percent of people with Graves' disease go on to develop TED, which can cause pain, disfigurement, and in severe cases, vision loss. While there are approved treatments for both conditions, none directly target the autoantibodies that cause them. Because pathogenic autoantibodies drive a wide range of serious diseases, Merida's platform has potential application well beyond its lead program. The company's pipeline also includes MER769, a preclinical program focused on food allergy, asthma, chronic spontaneous urticaria and other diseases driven by the antibody responsible for triggering allergic reactions, along with earlier-stage programs in kidney diseases such as membranous nephropathy and other immune-mediated conditions.
"We're building our pipeline around therapies that meaningfully change the course of disease, not just its downstream effects. Merida's lead program is designed to do exactly that: selectively and directly eliminating the autoantibodies causing Graves' disease and thyroid eye disease, while preserving normal immune function, with initial Phase 1 data already pointing to the potential for improved efficacy and safety," said Francisco Ramírez-Valle, M.D., Ph.D., senior vice president, Lilly immunology research and early clinical development. "We see potential to apply this precision approach across a broad range of antibody-driven diseases, and we look forward to advancing this novel technology working with the Merida team."
"Merida was founded to fundamentally change how autoimmune and allergic diseases are treated, by targeting the antibodies driving them directly, rather than suppressing the immune system broadly. Under our CSO and founder Dario Gutierrez's scientific leadership, our team has advanced that idea from concept to clinical data, and what we've seen so far reinforces our conviction that this approach can make a meaningful difference for patients," said Adam Townsend, chief executive officer of Merida. "Today's announcement reflects the hard work of the entire Merida team, and joining Lilly gives our science the resources and commitment to realize its potential for patients with immune-mediated conditions."
Under the terms of the agreement, Lilly will acquire Merida and pay up to $2.875 billion in cash, inclusive of an upfront payment, and contingent milestone payments.
The transaction is subject to customary closing conditions, including regulatory approvals, and is expected to close in the fourth quarter of 2026. Lilly will determine the accounting treatment of this transaction in accordance with Generally Accepted Accounting Principles (GAAP) upon closing. This transaction will thereafter be reflected in Lilly's financial results and financial guidance.
Ropes & Gray LLP is acting as legal counsel to Lilly. Centerview Partners LLC is acting as an exclusive financial advisor, and Goodwin Procter LLP is acting as legal counsel to Merida.
About Lilly
Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for 150 years, and today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. F-LLY
About Merida Biosciences
Merida is advancing a precision immunology approach for antibody-driven diseases that selectively and durably eliminate their pathogenic drivers. This approach, enabled by advances in protein engineering and immunology, has the potential to address numerous autoimmune and allergic conditions that are inadequately treated today. Please visit www.meridabio.com to learn more.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements (as that term is defined in the Private Securities Litigation Reform Act of 1995) about the benefits of Lilly's acquisition of Merida and Merida's product candidates for immune-mediated diseases, and reflects Lilly's current beliefs and expectations. However, as with any such undertaking, there are substantial risks and uncertainties in closing and implementing the acquisition and in the process of drug research, development, and commercialization. Among other things, there can be no guarantee that Lilly will close the transaction or realize the expected benefits of the acquisition, that the acquisition will achieve the results discussed in this release, or that the acquisition will yield commercially successful products. For further discussion of these and other risks and uncertainties that could cause actual results to differ from Lilly's expectations, see Lilly's Form 10-K and Form 10-Q filings with the United States Securities and Exchange Commission. Except as required by law, Lilly undertakes no duty to update forward-looking statements to reflect events after the date of this release.
Eli Lilly (LLY.N) said on Monday it would acquire privately held Merida Biosciences for up to $2.88 billion in cash, as it seeks to expand its pipeline of potential treatments for immunity-related and allergic diseases.
Lilly has been on an acquisition spree, boosted by the booming demand for its obesity drugs. Its deal spending in 2026 has outpaced that in the prior years.
Merida is developing medicines to selectively target antibodies that cause a range of immunity-related conditions.
Its lead drug candidate, MER511, is in the early stage of development for autoimmune disorders such as Graves' disease and thyroid eye disease.
At Week 52, Taltz and Zepbound maintained or further improved psoriasis or psoriatic arthritis disease activity from Week 36, when statistically superior improvements versus Taltz alone were observed in the TOGETHER-PsO and TOGETHER-PsA trials
Systemic inflammation and metabolic outcomes continued to improve or were sustained at one year with Taltz and Zepbound compared to Taltz alone in pre-specified, exploratory endpoints
Data from first-of-their-kind studies contribute to the understanding of immunometabolic health
, /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) today announced 52-week results from TOGETHER-PsO and TOGETHER-PsA, two novel open-label Phase 3b clinical trials evaluating the concomitant use of Taltz (ixekizumab) and Zepbound (tirzepatide) compared to Taltz alone in adults with moderate-to-severe plaque psoriasis (PsO) or active psoriatic arthritis (PsA), respectively, and obesity or overweight with at least one additional weight-related comorbid condition. At the previously reported Week 36 primary endpoint, Taltz and Zepbound showed statistically superior improvements in disease activity and metabolic outcomes compared to Taltz alone in both trials. New data show these improvements were maintained or further improved through Week 52, with no new safety concerns identified.
"The primary results from these first-of-their-kind studies were already remarkable, showing that Taltz and Zepbound used together improved outcomes for patients with psoriatic disease and obesity. What's especially exciting now is seeing those improvements further deepened or sustained at one year, across disease activity, inflammation and metabolic outcomes," said Mark Genovese, M.D., senior vice president of Lilly Immunology development. "People living with the cumulative burden of psoriatic disease and obesity are too often treated with separate, disconnected approaches. These data showing durable results across multiple measures support a comprehensive approach that can potentially address immunometabolic health for patients living with these chronic diseases."
Psoriasis and psoriatic arthritis are immune-mediated diseases that are often linked with metabolic dysfunction, including obesity.1,2 In the U.S., approximately 61% of people with psoriasis and 65% of people with psoriatic arthritis also have obesity or overweight with at least one weight-related comorbidity,1,2 which is often associated with poorer treatment outcomes.3-5 At baseline, the mean body mass index (BMI) of participants was 39.2 in TOGETHER-PsO and 37.6 in TOGETHER-PsA.
"Psoriatic disease is often accompanied by obesity or overweight, which can make treatment goals related to the skin and joints harder to reach," said Joseph F. Merola, M.D. MMSc, a Dermatologist, Rheumatologist, President of the Psoriasis and Psoriatic Arthritis Clinics Multicenter Advancement Network (PPACMAN), co-president of the Group for Research and Assessment of Psoriasis and Psoriatic Arthritis (GRAPPA), and President of the Rheumatology-Dermatology Society. "In psoriatic arthritis, the greater improvements in disease activity seen with Taltz and Zepbound in the first month, before clinically meaningful weight loss occurred, continued through one year. In psoriasis, the durability of complete skin clearance at one year represents real, lasting progress for patients. Paired with continued metabolic improvements, these findings show what may be possible when treating psoriatic disease and obesity concurrently."
At Week 52, the following were observed:*
Primary outcome: The primary multi-component outcome continued to improve through Week 52 in each trial. In TOGETHER-PsO, the primary outcome was Psoriasis Area Severity Index (PASI) 100 plus at least 10% weight loss (achieved by 30.6% of patients with Taltz plus Zepbound at Week 52 vs. 4.4% for Taltz alone). In TOGETHER-PsA, the primary outcome was an at least 50% reduction in PsA disease activity based on American College of Rheumatology 50 (ACR50) plus at least 10% weight loss (achieved by 39.2% of patients with Taltz and Zepbound at Week 52 vs. 1.7% for monotherapy). PsO disease activity key secondary outcome: In TOGETHER-PsO, the percentage of patients receiving Taltz and Zepbound who achieved the highest bar of complete skin clearance (PASI 100) was maintained (40.5% at Week 52 vs. 29.1% for Taltz monotherapy). PsA disease activity key secondary outcome: In TOGETHER-PsA, the proportion of patients achieving ACR50 with Taltz and Zepbound further increased (43.7% at Week 52 vs.15.7% for Taltz monotherapy). This builds on the ACR50 improvements with Taltz and Zepbound compared to Taltz alone seen as early as Week 4, before clinically meaningful weight loss was observed. Systemic inflammation: Treatment with Taltz and Zepbound also led to deeper improvements in systemic inflammation over time in both trials, as measured by high-sensitivity C-reactive protein (hsCRP). Metabolic outcomes: Improvements in BMI, blood pressure, glucose, HbA1c, triglycerides, and total cholesterol with Taltz and Zepbound compared to Taltz monotherapy were sustained or further improved. *Week 52 analyses are pre-specified, exploratory objectives without multiplicity control. Comparisons between timepoints are descriptive and not tested or controlled for multiplicity.
Adverse events in participants treated with Taltz and Zepbound together were generally mild to moderate, and the types of adverse events were consistent with the known safety profile of each medicine. In the concomitant treatment arm in both trials, the adverse events reported in ≥5% of participants were nausea, diarrhea, constipation, injection site reactions, vomiting, dizziness and headache.
Taltz is a monoclonal antibody that selectively binds with interleukin 17A (IL-17A) cytokine and inhibits its interaction with the IL-17 receptor. Taltz is the only biologic with data supporting a potential comprehensive treatment approach alongside an incretin therapy for people with psoriasis or psoriatic arthritis who also have obesity or overweight. Zepbound is the only FDA-approved dual GIP (glucose-dependent insulinotropic polypeptide) and GLP-1 (glucagon-like peptide-1) receptor agonist obesity management medication.
Detailed 52-week results from TOGETHER-PsO and TOGETHER-PsA will be presented at future medical meetings and published in peer-reviewed journals.
About the TOGETHER-PsO and TOGETHER-PsA Trials
TOGETHER-PsO (NCT06588283) and TOGETHER-PsA (NCT06588296) are 52-week Phase 3b, randomized, multicenter, assessor-blinded, open-label studies assessing the efficacy and safety of concomitant administration of Taltz and Zepbound compared with Taltz alone in adults with psoriatic disease and obesity or overweight with at least one additional weight-related comorbid condition. TOGETHER-PsO enrolled 274 adults with moderate-to-severe plaque psoriasis, and TOGETHER-PsA enrolled 271 adults with active psoriatic arthritis. Participants were randomized 1:1 to receive either Taltz alone or concomitantly with Zepbound, both administered subcutaneously, and received counseling on a reduced-calorie diet and increased physical activity. The primary objectives at Week 36 are the proportion of participants achieving both PASI 100 and ≥10% weight reduction in TOGETHER-PsO and both ACR50 and ≥10% weight reduction in TOGETHER-PsA. Participants were required to have a BMI ≥30 kg/m², or ≥27 to <30 kg/m² with at least one weight-related comorbidity.
About Taltz (ixekizumab)6
Taltz is a monoclonal antibody that selectively binds with interleukin 17A (IL-17A) cytokine and inhibits its interaction with the IL-17 receptor. IL-17A is a naturally occurring cytokine that is involved in normal inflammatory and immune responses. Taltz inhibits the release of pro-inflammatory cytokines and chemokines. Taltz is approved to treat adults with active psoriatic arthritis and adults and children 6 years and older with moderate-to-severe plaque psoriasis who are candidates for systemic therapy or phototherapy. Additionally, Taltz is approved for adults with active ankylosing spondylitis, and adults with active non-radiographic axial spondyloarthritis with objective signs of inflammation.
About Zepbound (tirzepatide) injection7
Zepbound (tirzepatide) is the first and only dual GIP (glucose-dependent insulinotropic polypeptide) and GLP-1 (glucagon-like peptide-1) receptor agonist obesity medication. Zepbound tackles an underlying cause of excess weight. It reduces appetite and how much you eat. Zepbound is indicated for adults with obesity, or some adults who are overweight and also have at least one weight-related medical problem, to lose weight and keep it off. Additionally, Zepbound is FDA-approved to treat adults with moderate-to-severe obstructive sleep apnea and obesity. Zepbound should be used with a reduced calorie diet and increased physical activity.
TALTZ INDICATIONS AND SAFETY SUMMARY
Taltz® (tȯl-ts) is an injectable medicine used to treat:
People 6 years of age and older with moderate to severe plaque psoriasis who may benefit from taking injections or pills (systemic therapy) or treatment using ultraviolet or UV light (phototherapy). Adults with active psoriatic arthritis. Adults with active ankylosing spondylitis. Adults with active non-radiographic axial spondyloarthritis with objective signs of inflammation. It is not known if Taltz is safe and effective in children for conditions other than plaque psoriasis or in children under 6 years of age.
Warnings - Taltz affects the immune system. It may increase your risk of infections, some people have had serious infections, including tuberculosis (TB), and infections caused by bacteria, fungi, or viruses that can spread throughout the body. Some people have been hospitalized from these infections. Do not use Taltz if you have any symptoms of infection, unless your doctor tells you to. If you have a symptom after starting Taltz, call your doctor right away.
Your doctor should check you for TB before you start Taltz, and watch you closely for signs of TB during and after treatment with Taltz. If you have TB, or had it in the past, your doctor may treat you for it before you start Taltz.
Do not use Taltz if you have had a serious allergic reaction to ixekizumab or any other ingredient in Taltz, such as: swelling of your eyelids, lips, mouth, tongue or throat, trouble breathing, feeling faint, throat or chest tightness, or skin rash. Get emergency help right away if you have any of these reactions. See the Medication Guide that comes with Taltz for a list of ingredients.
Severe skin reactions that look like eczema can happen during treatment with Taltz from days to months after your first dose and can sometimes lead to hospitalization. Your doctor may temporarily stop treatment with Taltz if you develop severe skin reactions. Tell your doctor if you have any of the following: redness or rash, itching, patches, your skin is dry or feels like leather, blisters or abrasions that ooze or become crusty, small bumps or plaques with scale or crusting.
Crohn's disease or ulcerative colitis (inflammatory bowel disease) can start or get worse with Taltz use. Tell your doctor if you have any of these symptoms or if they get worse: stomach pain, diarrhea, and weight loss.
You should not get live vaccines while taking Taltz. You should get the vaccines you need before you start Taltz.
Common side effects
The most common side effects of Taltz include:
Injection site reactions Nausea Upper respiratory infections Fungal skin infections Tell your doctor if you have any side effects. You can report side effects at 1-800-FDA-1088 or www.fda.gov/medwatch.
Before using
Before you use Taltz, review these questions with your doctor:
Are you being treated for an infection? Do you have an infection that does not go away or keeps coming back? Do you have TB or have you been in close contact with someone with TB? Do you have possible symptoms of an infection such as fever, cough, sores, diarrhea, or other symptoms? Ask your doctor about other possible symptoms. Do you have Crohn's disease or ulcerative colitis? Tell your doctor if:
You need any vaccines or have had one recently. You take prescription or over-the-counter medicines, vitamins, or herbal supplements. You are pregnant or planning to become pregnant. It is not known if Taltz can harm an unborn baby. Pregnancy Exposure Registry: There is a pregnancy registry to collect information about women who are exposed to Taltz during pregnancy. The purpose of this registry is to collect information about the health of you and your baby. If you become pregnant while taking Taltz, you are encouraged to enroll in the pregnancy registry by calling 1-800-284-1695 or by visiting online at http://www.pregnancyregistry.lilly.com. You are breastfeeding or planning to breastfeed. It is not known if Taltz passes into breastmilk. How to take
See the instructions for use that come with Taltz. There you will find information about how to store, prepare, and inject Taltz. Adults may self-inject after receiving training from a healthcare provider.
For children 6 to 17 years of age:
If your child's healthcare provider decides that you may give Taltz injections at home, you should receive training on the right way to prepare and inject Taltz. Do not try to give Taltz to your child until you have been shown how to inject Taltz. Children should not inject themselves with Taltz. You or an adult caregiver should prepare and give Taltz injections to your child. Learn more
Taltz is a prescription medicine available as a 80 mg/mL, 40 mg/0.5mL, 20 mg/0.25mL injection. For more information, call 1-800-545-5979 or go to taltz.lilly.com.
This summary provides basic information about Taltz but does not include all information known about this medicine. Read the information that comes with your prescription each time your prescription is filled. This information does not take the place of talking with your doctor. Be sure to talk to your doctor or other healthcare provider about Taltz and how to take it. Your doctor is the best person to help you decide if Taltz is right for you.
IX CON BS 20AUG2024
ZEPBOUND INDICATIONS AND SAFETY SUMMARY WITH WARNINGS
Zepbound® (ZEHP-bownd) is an injectable prescription medicine used with a reduced-calorie diet and increased physical activity to help adults with:
obesity, or some adults with overweight who also have weight-related medical problems, to lose excess body weight and keep the weight off. moderate-to-severe obstructive sleep apnea (OSA) and obesity to improve their OSA. Zepbound contains tirzepatide and should not be used with other tirzepatide-containing products or any GLP-1 receptor agonist medicines. It is not known if Zepbound is safe and effective for use in children.
Warnings - Zepbound may cause tumors in the thyroid, including thyroid cancer. Watch for possible symptoms, such as a lump or swelling in the neck, hoarseness, trouble swallowing, or shortness of breath. If you have any of these symptoms, tell your healthcare provider.
Do not use Zepbound if you or any of your family have ever had a type of thyroid cancer called medullary thyroid carcinoma (MTC). Do not use Zepbound if you have Multiple Endocrine Neoplasia syndrome type 2 (MEN 2). Do not use Zepbound if you have had a serious allergic reaction to tirzepatide or any of the ingredients in Zepbound. KwikPen®: Do not share your KwikPen with other people, even if the pen needle has been changed. You may give other people a serious infection or get a serious infection from them.
Zepbound may cause serious side effects, including:
Severe stomach problems. Stomach problems, sometimes severe, have been reported in people who use Zepbound. Tell your healthcare provider if you have stomach problems that are severe or will not go away.
Dehydration leading to kidney problems. Diarrhea, nausea, and vomiting may cause a loss of fluids (dehydration), which may cause kidney problems. It is important for you to drink fluids to help reduce your chance of dehydration. Tell your healthcare provider right away if you have nausea, vomiting, or diarrhea that does not go away.
Gallbladder problems. Gallbladder problems have happened in some people who use Zepbound. Tell your healthcare provider right away if you get symptoms of gallbladder problems, which may include pain in your upper stomach (abdomen), fever, yellowing of skin or eyes (jaundice), or clay-colored stools.
Inflammation of the pancreas (pancreatitis). Stop using Zepbound and call your healthcare provider right away if you have severe pain in your stomach area (abdomen) that will not go away, with or without nausea or vomiting. You may feel the pain from your abdomen to your back.
Serious allergic reactions. Stop using Zepbound and get medical help right away if you have any symptoms of a serious allergic reaction, including swelling of your face, lips, tongue or throat, problems breathing or swallowing, severe rash or itching, fainting or feeling dizzy, or very rapid heartbeat.
Low blood sugar (hypoglycemia). Your risk for getting low blood sugar may be higher if you use Zepbound with medicines that can cause low blood sugar, such as a sulfonylurea or insulin. Signs and symptoms of low blood sugar may include dizziness or light-headedness, sweating, confusion or drowsiness, headache, blurred vision, slurred speech, shakiness, fast heartbeat, anxiety, irritability, mood changes, hunger, weakness or feeling jittery.
Changes in vision in patients with type 2 diabetes. Tell your healthcare provider if you have changes in vision during treatment with Zepbound.
Food or liquid getting into the lungs during surgery or other procedures that use anesthesia or deep sleepiness (deep sedation). Zepbound may increase the chance of food getting into your lungs during surgery or other procedures. Tell all your healthcare providers that you are taking Zepbound before you are scheduled to have surgery or other procedures.
Common side effects
The most common side effects of Zepbound include nausea, diarrhea, vomiting, constipation, stomach (abdominal) pain, indigestion, injection site reactions, feeling tired, allergic reactions, belching, hair loss, and heartburn. These are not all the possible side effects of Zepbound. Talk to your healthcare provider about any side effect that bothers you or doesn't go away.
Tell your doctor if you have any side effects. You can report side effects at 1-800-FDA-1088 or www.fda.gov/medwatch.
Before using Zepbound
Your healthcare provider should show you how to use Zepbound before you use it for the first time. Talk to your healthcare provider about low blood sugar and how to manage it. Tell your healthcare provider if you are taking medicines to treat diabetes including an insulin or sulfonylurea. If you take birth control pills by mouth, talk to your healthcare provider before you use Zepbound. Birth control pills may not work as well while using Zepbound. Your healthcare provider may recommend another type of birth control for 4 weeks after you start Zepbound and for 4 weeks after each increase in your dose of Zepbound. Review these questions with your healthcare provider:
❑ Do you have other medical conditions, including problems with your pancreas, or severe problems with your stomach, such as slowed emptying of your stomach (gastroparesis) or problems digesting food?
❑ Do you take diabetes medicines, such as insulin or sulfonylureas?
❑ Do you have a history of diabetic retinopathy?
❑ Are you scheduled to have surgery or other procedures that use anesthesia or deep sleepiness (deep sedation)?
❑ Do you take any other prescription medicines or over-the-counter drugs, vitamins, or herbal supplements?
❑ Are you pregnant, plan to become pregnant, breastfeeding, or plan to breastfeed? Zepbound may harm your unborn baby. Tell your healthcare provider if you become pregnant while using Zepbound. Zepbound may pass into your breast milk. You should talk with your healthcare provider about the best way to feed your baby while using Zepbound.
Pregnancy Exposure Registry: There will be a pregnancy exposure registry for women who have taken Zepbound during pregnancy. The purpose of this registry is to collect information about the health of you and your baby. Talk to your healthcare provider about how you can take part in this registry, or you may contact Lilly at 1-800-LillyRx (1-800-545-5979). How to take
Read the Instructions for Use that come with Zepbound. Use Zepbound exactly as your healthcare provider says. Use Zepbound with a reduced-calorie diet and increased physical activity. Inject Zepbound under the skin (subcutaneously) of your stomach (abdomen), thigh, or
have another person inject in the back of the upper arm. Do not inject ZEPBOUND into a muscle (intramuscularly) or vein (intravenously). Use Zepbound 1 time each week, at any time of the day. Change (rotate) your injection site with each weekly injection. Do not use the same site for each injection. If you take too much Zepbound, call your healthcare provider, call the Poison Help line at 1-800-222-1222 or go to the nearest hospital emergency room right away.
Zepbound is approved as a 2.5 mg, 5 mg, 7.5 mg, 10 mg, 12.5 mg, and 15 mg injection.
Learn more
Zepbound is a prescription medicine. For more information, call 1-800-LillyRx (1-800-545-5979) [or go to www.zepbound.lilly.com].
This summary provides basic information about Zepbound but does not include all information known about this medicine. Read the information that comes with your prescription each time your prescription is filled. This information does not take the place of talking with your healthcare provider. Be sure to talk to your healthcare provider about Zepbound and how to take it. Your healthcare provider is the best person to help you decide if Zepbound is right for you.
ZP CON BS 25FEB2026
Zepbound®, its delivery device base and KwikPen® are registered trademarks owned or licensed by Eli Lilly and Company, its subsidiaries, or affiliates.
About Lilly
Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for 150 years, and today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. P-LLY
Trademarks and Trade Names
All trademarks or trade names referred to in this press release are the property of the company, or, to the extent trademarks or trade names belonging to other companies are references in this press release, the property of their respective owners. Solely for convenience, the trademarks and trade names in this press release are referred to without the ® and ™ symbols, but such references should not be construed as any indicator that the company or, to the extent applicable, their respective owners will not assert, to the fullest extent under applicable law, the company's or their rights thereto. We do not intend the use or display of other companies' trademarks and trade names to imply a relationship with, or endorsement or sponsorship of us by, any other companies.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements (as that term is defined in the Private Securities Litigation Reform Act of 1995) about Taltz (ixekizumab) as a treatment for moderate to severe plaque psoriasis and active psoriatic arthritis and Zepbound (tirzepatide) as a treatment for adults with obesity or overweight, and potential comprehensive treatment strategies for patients with psoriatic disease and obesity, and reflects Lilly's current beliefs and expectations. However, as with any pharmaceutical product, there are substantial risks and uncertainties in the process of drug research, development and commercialization. Among other things, there is no guarantee that future study results will be consistent with the results to date, or that Lilly will execute its strategies as planned. For further discussion of these and other risks and uncertainties that could cause actual results to differ from Lilly's expectations, see Lilly's Form 10-K and Form 10-Q filings with the United States Securities and Exchange Commission. Except as required by law, Lilly undertakes no duty to update forward-looking statements to reflect events after the date of this release.
References
1 Armstrong et al, Addressing the Obesity-Psoriasis Connection: Prevalence, Incidence, and Comorbidity Insights from a Large US Population of 19.9 Million (2018-2024). Presented at Maui Derm, 2026.
2 Estimated from a large real-world population of care-seeking adults in the US in 2024, Truveta (data on file). Comorbidities include atherosclerotic cardiovascular disease (ASCVD), type 2 diabetes mellitus (T2DM), dyslipidemia, hypertension, obstructive sleep apnea (OSA).
3 Enos, Clinton W. et al. Comorbid obesity and history of diabetes are independently associated with poorer treatment response to biologics at 6 months: A prospective analysis in Corrona Psoriasis Registry. Journal of the American Academy of Dermatology, Volume 86, Issue 1, 68 - 76.
4 Proft F, et al. Nat Rev Rheumatol. 2026 Feb;22(2):132-144.
5 di Minno MN, et al. Arthritis Care Res (Hoboken). 2013;65(1):141-147.
6 Taltz. Prescribing Information. Lilly USA, LLC.
7 Zepbound. Prescribing Information. Lilly USA, LLC.
Eli Lilly has agreed to pay up to $2.875 billion in cash for biotechnology company Merida Biosciences in a deal that bolsters the drugmaker's immunology portfolio.
Eli Lilly agrees to acquire Merida Biosciences, the developer of autoimmune drugs, marking the latest move to bolster its portfolio through strategic acquisitions.
The obesity-drug leader is retreating despite growth that remains extraordinary by mega-cap standards. Summary
Mounjaro and Zepbound generated nearly 65% of Lilly’s quarterly revenue.
Eli Lilly LLY, the pharmaceutical heavyweight behind Mounjaro and Zepbound, slipped to $1,245.40 Monday afternoon after charging toward its 52-week high. This was profit-taking, not panic. Investors trimmed a monster winner, but the obesity-drug engine underneath the stock is still roaring.
Second-quarter revenue exploded 48% to $23 billion. Mounjaro sales nearly doubled, rocketing 91% to $9.94 billion, while Zepbound jumped 46% to $4.93 billion. Lilly then raised its full-year revenue forecast to between $85 billion and $87 billion. Few pharmaceutical giants are growing this fast at this scale.
The price tag remains brutal. Mounjaro and Zepbound already generate nearly two-thirds of companywide sales, so any manufacturing bottleneck, reimbursement squeeze or clinical stumble would hit hard. Yet the stock trades 17.97% below its GF Value estimate of roughly $1,520. That gap signals potential upside, but Lilly must keep prescriptions surging and its drug pipeline firing to earn every dollar of that premium.
Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.
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Eli Lilly (NYSE:LLY | LLY Price Prediction) is trading at $1,255.40, and management has guided fiscal 2026 revenue between $85 billion and $87 billion. That puts the $100 billion revenue mark within reach.
Our 24/7 Wall St. price target for Lilly is $1,480.01, implying 17.89% upside over the next 12 months. Our recommendation is buy, with confidence level 90%.
Metric Value Current Price $1,255.40 24/7 Wall St. Price Target $1,480.01 Upside 17.89% Recommendation BUY Confidence Level 90% Why Lilly’s Stock Looks Different in August 2026 Lilly is up 6.38% over the past week, 8.1% over the past month, and 77.98% over the past year, trading just under its 52-week high of $1,292.65.
Q2 2026 drove the rerating: revenue of $22.97 billion grew 47.67% year over year and beat consensus by 11.06%. EPS of $8.38 beat by 27.27%. Mounjaro delivered $9.94 billion (+91%) and Zepbound another $4.93 billion. In May, Lilly became the first drugmaker to hit a $1 trillion market value, and it now sits above that at $1.12 trillion.
Why Bulls See a Breakout Ahead The bull case rests on three engines. First, the incretin franchise generated nearly $14.87 billion in a single quarter, with Mounjaro international sales growing 172%.
Second, orforglipron (Foundeo), the approved oral GLP-1, is rolling out globally in 2027, with prescriber adoption jumping from approximately 8,000 to 36,000.
Third, retatrutide, whose TRIUMPH-1 trial showed weight loss approaching bariatric surgery levels, is on track for a Q1 2027 BLA.
CEO David Ricks called “Lilly’s future, after 150 years, has never been brighter.” Our bull-case scenario points to $1,704.19, a 35.75% total return, consistent with 5 strong-buy and 17 buy consensus ratings.
What Could Go Wrong Realized U.S. prices fell roughly 9% ex-rebate, and Lilly took $2.78 billion in IPR&D charges from heavy M&A activity. Bulls counter that these charges reflect deliberate pipeline investment in Verve, Ataibeckley, and Kelonia, and that non-GAAP performance margin expanded to 54.8%.
Concentration is another risk: Mounjaro and Zepbound represent more than half of revenue, and Novo Nordisk’s Wegovy pill launch will contest the oral category. Our bear case implies $1,222.27, a -2.64% return.
How Lilly Compares to Novo Nordisk and Merck Novo Nordisk (NYSE:NVO) is the only true incretin peer, with Q1 2026 adjusted sales falling 4% at constant exchange rates as U.S. pricing eroded. Novo trades at a market cap of $156.4 billion, roughly one-seventh of Lilly’s, despite a comparable GLP-1 franchise. That valuation gap reflects the market’s premium for Lilly’s growth trajectory.
Merck (NYSE:MRK) provides the large-cap pharma valuation floor. Merck guides FY2026 non-GAAP EPS of $5.04 to $5.16 on revenue of $65.8 billion to $67 billion, roughly comparable to Lilly with a fraction of the growth.
Merck’s market cap of $376.4 billion versus Lilly’s $1.12 trillion reflects the growth premium. Against that field, Lilly’s forward P/E of 35 looks rich but defensible, and our 24/7 Wall St. price target of $1,480.01 reads as reasonable.
Eli Lilly Price Prediction 2026-2030 I’m sticking with the buy call and the 24/7 Wall St. price target of $1,480.01 at 90% confidence. The tipping factor is retatrutide readouts stacked against a raised revenue guide and margin expansion of nine percentage points.
I’d be a buyer if the Q1 2027 retatrutide BLA lands on schedule and Foundayo international launches track UAE uptake. I would stay on the sidelines if U.S. price erosion accelerates past management’s guided offset.
Here is where our model projects Lilly could trade, assuming current trajectories hold.
Year 24/7 Wall St. Price Target 2026 $1,324 2027 $1,480 2028 $1,673 2029 $1,823 2030 $1,988 These projections assume Lilly continues executing on its incretin franchise and pipeline. Meaningful upside or downside could result from retatrutide’s regulatory outcome, orforglipron’s international ramp, and U.S. GLP-1 pricing policy.
Contact [email protected] for any questions or corrections.
ToplineThe Food and Drug Administration has cleared a new blood test from Roche and Eli Lilly designed to help identify symptoms related to Alzheimer’s disease in patients over age 55, Roche said on Monday morning.
The FDA cleared the new blood test on Monday, Roche and Eli Lilly said in a statement.
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Key FactsThe FDA cleared the Elecsys Phospho-Tau (217P) Plasma blood test, which Roche and Lilly say is the single-biomarker blood test designed to test for the likelihood of amyloid pathology, a brain symptom linked with Alzheimer’s disease.
Doctors could previously diagnose amyloid pathology using PET imaging or cerebrospinal fluid testing—both expensive and invasive procedures.The test was designed to be “minimally invasive” and to work easily beside “existing laboratory workflows,” Roche and Lilly said, and won’t require labs to purchase additional equipment.
However, the test was not designed to be a standalone test for Alzheimer’s and should be interpreted for patients with other clinical information.
Both Labcorp and Quest Diagnostics, two large companies that offer blood testing services, said they planned to start offering the new test.
Key BackgroundThe FDA previously cleared the first blood test for Alzheimer’s last May. That test, developed by Japanese biotech firm Fujirebio, also tests for amyloid plaques in plasma and can be used to “reliably predict” amyloid pathology.
Big Number6.7 million. That’s how many older adults are living with diagnosed Alzheimer’s disease in the U.S., according to the Centers for Disease Control and Prevention. This makes it the most common form of dementia, making up between 60% to 80% of all cases. The CDC estimates this figure will double by 2060. However, researchers believe the number of undiagnosed cases of Alzheimer’s could be much higher. Research published by Alzheimer’s Disease International in 2021 found 55 million people across the world suffer from dementia, but about 75% of cases remain undiagnosed.
The once-daily pill was approved for patients with a body mass index of at least 30, or between 27 and 30 in the event of at least one weight-related health condition.
