Bank of America has reiterated its “Buy” rating on Eli Lilly’s shares, with an increased price target of $1,000 from $800, which is currently the highest price target on Wall Street. The bank predicts that shares of Eli Lilly could surge another 29% from their current levels as its GLP-1 weight loss drug sees a sales boom.
Eli Lilly’s GLP-1 drugs have already experienced a swift uptake in sales, which help patients lose weight faster with fewer side effects than competing FDA-approved drugs. However, the opportunity for Eli Lilly is to expand its approved indications for the drug beyond obesity, which could lead to increased insurance coverage for the drug. GLP-1 drugs can also help in heart disease, obstructive sleep apnea, and liver disease. According to Bank of America analyst Geoff Meacham, these additional opportunities are vastly underappreciated.
Bank of America expects sales of Eli Lilly’s GLP-1 drugs to continue seeing strength for years to come, with the potential for sales to top $60 billion by 2030. For perspective, Eli Lilly generated $34 billion in revenue last year. The bank’s forecasts are still considered conservative as it assumes that fewer than 7% of US adults will be on a GLP-1 for obesity (including competitors) by 2030.
Next-generation weight loss drugs from Eli Lilly, if approved, could add $20 billion to the company’s revenue by 2030, bringing its total weight-loss class of drugs to more than $80 billion of sales. The company is developing an oral version of its GLP-1 drugs, as opposed to the current injection form of the drug, as well as a GGG agonist, which has shown promise in helping patients lose weight without significant muscle loss.
Meacham noted that Eli Lilly has a portfolio and pipeline of drugs aside from its weight-loss franchise that, while much smaller than the projected growth of Mounjaro and Zepbound, should help add diversification to its business. He also mentioned that Eli Lilly’s neuroscience, oncology, and I&I segments seem less impactful but diversification and optionality are essential. Bank of America sees an impressive +16% 5-year CAGR for oncology/I&I. I&I refers to Eli Lilly’s immunology and inflammation drugs.
Eli Lilly Long (Buy)
Enter At: 786.44
T.P_1: 806.22
T.P_2: 838.61
T.P_3: 861.35
T.P_4: 879.44
T.P_5: 902.47
T.P_6: 928.79
T.P_7: 960.04
T.P_8: 1000
S.L: 722
Disclaimer
All information on this website is of a general nature. The information is not adapted to conditions that are specific to your person or entity. The information provided can not be considered as personal, professional or legal advice or investment advice to the user.
This website and all information is intended for educational purposes only and does not give financial advice. Signal Mastermind Signals is not a service to provide legal and financial advice; any information provided here is only the personal opinion of the author (not advice or financial advice in any sense, and in the sense of any act, ordinance or law of any country) and must not be used for financial activities. Signal Mastermind Signals does not offer, operate or provide financial, brokerage, commercial or investment services and is not a financial advisor. Rather, Signal Mastermind Signals is an educational site and a platform for exchanging Forex information. Whenever information is disclosed, whether express or implied, about profit or revenue, it is not a guarantee. No method or trading system ensures that it will generate a profit, so always remember that trade can lead to a loss. Trading responsibility, whether resulting in profits or losses, is yours and you must agree not to hold Signal Mastermind Signals or other information providers that are responsible in any way whatsoever. The use of the system means that the user accepts Disclaimer and Terms of Use.
Signal Mastermind Signals is not represented as a registered investment consultant or brokerage dealer nor offers to buy or sell any of the financial instruments mentioned in the service offered.
While Signal Mastermind Signals believes that the content provided is accurate, there are no explicit or implied warranties of accuracy. The information provided is believed to be reliable; Signal Mastermind Signals does not guarantee the accuracy or completeness of the information provided. Third parties refer to Signal Mastermind Signals to provide technology and information if a third party fails, and then there is a risk that the information may be delayed or not delivered at all.
All information and comments contained on this website, including but not limited to, opinions, analyzes, news, prices, research, and general, do not constitute investment advice or an invitation to buy or sell any type of instrument. Signal Mastermind Signals assumes no responsibility for any loss or damage that may result, directly or indirectly, from the use or dependence on such information.
All information contained on this web site is a personal opinion or belief of the author. None of these data is a recommendation or financial advice in any sense, also within the meaning of any commercial act or law. Writers, publishers and affiliates of Signal Mastermind Signals are not responsible for your trading in any way.
The information and opinions contained in the site are provided for information only and for educational reasons, should never be considered as direct or indirect advice to open a trading account and / or invest money in Forex trading with any Forex company . Signal Mastermind Signals assumes no responsibility for any decisions taken by the user to create a merchant account with any of the brokers listed on this website. Anyone who decides to set up a trading account or use the services, free of charge or paid, to any of the Broker companies mentioned on this website, bears full responsibility for their actions.
Any institution that offers a service and is listed on this website, including forex brokers, financial companies and other institutions, is present only for informational purposes. All ratings, ratings, banners, reviews, or other information found for any of the above-mentioned institutions are provided in a strictly objective manner and according to the best possible reflection of the materials on the official website of the company.
Forex/CFD trading is potentially high risk and may not be suitable for all investors. The high level of leverage can work both for and against traders. Before each Forex/CFD investment, you should carefully consider your goals, past experience and risk level. The opinions and data contained on this site should not be considered as suggestions or advice for the sale or purchase of currency or other instruments. Past results do not show or guarantee future results.
Neither Signal Mastermind Signals nor its affiliates ensure the accuracy of the content provided on this Site. You explicitly agree that viewing, visiting or using this website is at your own risk.