Citi maintains Eli Lilly stock rating with $1,190 price target

Published 25/06/2025, 10:58
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Investing.com - Citi has reiterated its Buy rating on Eli Lilly (NYSE:LLY) with a price target of $1,190.00, citing strong potential for the company’s obesity treatment pipeline. According to InvestingPro data, Eli Lilly currently shows strong financial health with a robust 42% return on equity and impressive revenue growth of 28% year-over-year.

The research firm highlighted how Eli Lilly and Novo have successfully repositioned obesity as a treatable medical condition rather than merely a lifestyle issue. Citi projects that Lilly’s oral obesity treatment orforglipron, expected to launch in 2026, could generate over $40 billion in sales by 2030, significantly higher than the Bloomberg consensus estimate of approximately $25 billion. The company’s strong market position is reflected in its impressive gross profit margin of 77% and operating margin of 29%, according to recent financial data.

Citi believes the obesity treatment market will evolve from injectable medications to more convenient oral options like orforglipron, potentially creating a consumer-centric market. The firm specifically noted that Lilly’s direct-to-consumer platform, LillyDirect, is well-positioned to connect consumers with orforglipron while addressing global access challenges.

The analysis identifies a potential $15 billion opportunity through the consumer platform, which Citi says is not currently factored into its financial models. The research firm suggested Lilly could accelerate international access by implementing a centralized out-of-pocket payment model instead of traditional country-by-country launches.

Citi maintains its bullish outlook on Eli Lilly and orforglipron following the American Diabetes Association conference, reaffirming both its Buy rating and $1,190 price target. Want deeper insights into Eli Lilly’s financial health and growth prospects? InvestingPro subscribers have access to over 30 additional financial metrics and exclusive analyst insights.

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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