Eli Lilly stock rating reiterated ahead of key diabetes meeting

Published 13/06/2025, 15:04
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Bernstein SocGen Group has reiterated an Outperform rating and $1,100.00 price target on Eli Lilly (NYSE:LLY) ahead of the American Diabetes Association’s 85th Annual meeting. Currently trading at $821.53, the pharmaceutical giant commands a market capitalization of $735.69 billion and maintains a strong buy consensus among analysts. According to InvestingPro analysis, the stock appears overvalued at current levels. The conference will take place from June 20 to June 23, 2025, at Chicago’s McCormick (NYSE:MKC) Place Convention Center.

The firm highlighted several important data presentations expected from Eli Lilly at the upcoming meeting. Among these is the detailed presentation of the ACHIEVE-1 study, the first phase 3 trial from orforglipron’s late-stage clinical program. The company’s robust financial performance, with revenue growth of 36.38% and an impressive gross profit margin of 81.7%, underscores its strong position in pharmaceutical development. While topline data is already available, the firm is particularly interested in seeing more details on the adverse event profile and discontinuation rates.

Eli Lilly will also present data on bimagrumab, its muscle wasting treatment. This will mark the first clinical data shared for an anti-muscle wasting agent used in combination with a GLP-1 receptor agonist, potentially indicating future applications when combined with tirzepatide.

The pharmaceutical company is additionally scheduled to present phase 1 proof-of-concept data for Eloralintide, its long-acting amylin analog currently in phase 2 development with a Proof of Concept Date in June 2025. This represents Eli Lilly’s first amylin data to be presented publicly.

Bernstein SocGen Group noted that Eli Lilly and Amgen (NASDAQ:AMGN) are the only companies in their coverage with key data releases at this year’s ADA meeting. The firm views Eloralintide as a potential additional tool to boost weight loss when combined with tirzepatide or possibly as a long-acting monotherapy option. InvestingPro analysis reveals the company maintains a GREAT financial health score, with strong profitability metrics and 55 consecutive years of dividend payments. For deeper insights into Eli Lilly’s financial performance and growth prospects, investors can access the comprehensive Pro Research Report available on InvestingPro.

In other recent news, Eli Lilly has seen several developments that investors should note. UBS has maintained its Buy rating and a $1,050 price target for Eli Lilly, citing the company’s pricing strategy for its weight loss drug, Zepbound, and the potential impact of upcoming trial results. The focus is on the Phase 3 SURPASS-CVOT trial, which compares Mounjaro to Trulicity for type 2 diabetes treatment, with results expected by June 2025. UBS believes there is a strong probability that Mounjaro will demonstrate superiority, potentially affecting pricing dynamics positively. Meanwhile, TD Cowen has lowered its price target for Eli Lilly to $960, though it maintains a Buy rating, reflecting investor skepticism despite optimistic expectations from key opinion leaders regarding the trial outcomes. Erste Group has downgraded Eli Lilly’s stock from Buy to Hold, citing concerns over revised earnings projections. The company’s earnings per share forecast for 2025 has been adjusted to a range of $20.2 to $21.7, influencing Erste Group’s cautious outlook. These developments highlight the varied perspectives on Eli Lilly’s future performance amid ongoing market dynamics.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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