Street View: Next-generation drugs bolster Lilly's growth outlook

Eli Lilly and

Today 10:12

** Eli Lilly LLY.N raised annual revenue forecast by $5 billion and beat Wall Street estimates for third-quarter profit on Thursday, helped by robust demand for its weight-loss treatments
** Median PT of 33 brokerages covering the stock is $1,410 - LSEG data
     
NEW PIPELINE CATALYSTS
** Jefferies ("buy", PT: $1,610) says LLY's GLP-1 and obesity franchise could continue to exceed expectations through 2026 and beyond, driven by pricing and volume growth, with international obesity opportunities and the Medicare Bridge Program providing additional upside
** Truist Securities ("buy", PT: $1,612) says company's expanding diabetes and obesity drug portfolio, including pipeline treatments such as retatrutide and EloraTZP (next-generation obesity drug), should help sustain its market leadership, while advances in neuroscience, immunology and oncology support growth
** J.P.Morgan ("overweight", PT: $1,650) says LLY remains its top pick, expecting earnings upside as it extends its lead in the incretin market and delivers key pipeline milestones across several non-obesity opportunities
** Morningstar (fair value: $980) says pipeline candidates EloraTZP and retatrutide are expected to be key growth drivers for LLY, as company continues to raise the bar on treatment efficacy and tolerability

(Reporting by Kanishka Ajmera in Bengaluru)
((Kanishka.Ajmera@thomsonreuters.com))