Analyst Tim Anderson from Bank of America Securities maintained a Buy rating on Eli Lilly & Co (LLY – Research Report) and keeping the price target at $1,000.00.
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Tim Anderson’s rating is based on several compelling factors that highlight Eli Lilly & Co’s strong market position and growth potential. Despite recent market volatility and competitive pressures, particularly in the obesity drug market, Anderson maintains a positive outlook on Eli Lilly’s prospects. The company’s strategic decision to not engage in direct formulary battles with competitors like Novo Nordisk demonstrates confidence in the superiority of its product, Zepbound, which is expected to capture significant market share.
Furthermore, Eli Lilly’s financial performance in the first quarter was robust, with total revenues exceeding expectations due to a one-time benefit from Jardiance. Even without this benefit, key products like Mounjaro performed well, supporting the company’s growth narrative. Anderson emphasizes that the recent stock price dip should be viewed as a temporary fluctuation rather than a sign of underlying issues, reinforcing the recommendation to buy and hold Eli Lilly as a core investment in anticipation of its durable growth trajectory.
In another report released yesterday, TD Cowen also maintained a Buy rating on the stock with a $1,050.00 price target.
LLY’s price has also changed slightly for the past six months – from $818.930 to $794.100, which is a -3.03% drop .