With a 5-year dividend growth rate of 15.23%, Eli Lilly and Company (NYSE:LLY) is among the 10 Best Dividend Growth Stocks to Buy and Hold for 3 Years.
In a CNBC report published on May 21, Eli Lilly and Company (NYSE:LLY) said its experimental obesity drug, retatrutide, has passed a major late-stage clinical trial. The results brought the company closer to seeking regulatory approval for the treatment. The phase 3 trial showed that patients without diabetes who received the highest dose of the weekly injection lost an average of 28.3% of their body weight over 80 weeks. More than 45% of participants lost at least 30% of their weight. Analysts said those results were comparable to results often seen with bariatric surgery.
Retatrutide is considered a next-generation obesity treatment because it targets three hormones, GLP-1, GIP, and glucagon. Current medications like Wegovy and Zepbound target fewer pathways. The strong data from the trial raised expectations that retatrutide could become one of the most effective weight loss treatments on the market. The report also says that safety concerns seen in previous studies appeared to diminish in the latest trial. Patients still reported side effects such as nausea, diarrhea, vomiting and constipation, although most were gastrointestinal and considered manageable. Fewer participants experienced the abnormal skin sensations that had raised concerns in previous studies.
After the results were released, Lilly shares rose as investors viewed the data as another important step in strengthening the company’s position in the fast-growing obesity drug market. The company is expected to continue with additional studies and could potentially launch retatrutide following regulatory review.
Eli Lilly and Company (NYSE:LLY) develops, manufactures and markets medicines through a single business segment focused on human pharmaceuticals.
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