Eli Lilly and Company (NYSE:LLY) is included among the The 14 Best GARP Stocks to Buy According to Analysts.
On February 25, RBC Capital initiated coverage of Eli Lilly and Company (NYSE:LLY) with an Outperform rating and a $1,250 price target. The firm said Lilly’s obesity franchise is positioned to dominate the market through 2030. The analyst noted that investor sentiment remains generally positive. At the same time, “there remains some nervousness about elevated expectations” as the company approaches a market value of $1 trillion. RBC added that current consensus estimates “materially undervalue” Lilly’s future growth potential, particularly given what it described as “transformative catalysts on the horizon.”
A recent Reuters report said Lilly’s experimental weight-loss pill, orforglipron, showed greater effectiveness but also more side effects compared to Novo Nordisk’s oral semaglutide, Rybelsus, in a comparative diabetes trial. Approximately 58% of patients taking the 36 mg dose of orforglipron reported mild to moderate side effects. This compares to 45% of patients taking the 14 mg dose of Rybelsus. About 10% of patients taking orforglipron stopped treatment due to side effects, compared with 5% of those treated with Rybelsus. The drug was also associated with an increase in pulse rate.
Despite this, orforglipron produced stronger results in blood sugar control and weight loss. It reduced blood sugar levels by 2.2%, compared to 1.4% for Rybelsus. Patients taking orforglipron lost an average of 8.9 kg, while those taking Rybelsus lost about 5 kg. Both treatments work by mimicking the hormone GLP-1, which helps regulate appetite and blood sugar levels. Lilly said patients may accept a higher rate of side effects because of greater improvements in blood sugar control and weight loss.
Eli Lilly and Company (NYSE:LLY) is a pharmaceutical company focused on the discovery, development, manufacturing and commercialization of medicines for human health.
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