Eli Lilly Stock Skyrockets: Here’s the Explosive Reason Why
Pharma giant Eli Lilly just gave investors a reason to cheer—and the market responded with a rocket launch.
The catalyst? A blockbuster drug approval or clinical win? Nope. Just Wall Street doing what it does best: overreacting to whispers before breakfast.
Behind the surge: Some analyst probably upgraded their coffee order to 'venti' and decided Lilly was undervalued. Cue the algorithmic traders piling in like it's a Black Friday sale.
Reality check: Fundamentals haven't changed. But hey, when has that ever stopped a good old-fashioned hype cycle? Pharma stocks move on hope, hype, and the occasional actual breakthrough.
One thing's certain: somebody just made a fortune—and it wasn't you. *Sips tea in retail investor*
Image source: Getty Images.
Mounjaro goes to India
Let's start with the easy news: Eli Lilly has begun selling injector pens loaded with Mounjaro in India at a starting price of $160 for a 2.5 mg dose (rising through several tiers to about $315 for the largest permissible dose in India, 15 mg).
Reuters notes Lilly is chasing(NVO 2.35%) into the subcontinent, with Novo having begun injector pen sales in June. However, Novo's selling its GLP-1 weight loss drug, Wegovy, for anywhere from $200 to $300 for doses ranging from 0.25 to 2.4 mg.
Smaller doses of Wegovy yield weight loss similar to higher doses of Mounjaro, so comparisons between "mg" of Mounjaro and Wegovy aren't directly comparable. Still, Lilly's lower prices seem calculated to help win away market share from Novo.
What Cantor says about Lilly
Today's other big Lilly news comes from Cantor Fitzgerald by way of The Fly, which reports analyst Carter Gould has lowered his price target on Lilly stock to $825 -- but still thinks the stock is a buy.
Admitting Lilly's phase 3 data on its orforglipron GLP-1 weight loss pill was underwhelming, Gould calls Lilly stock a "show-me-story" now. The analyst advises we may not know whether orforglipron is a success before late 2026.
As for Lilly stock, at a forward P/E ratio of just 28, and with a 32% long-term projected earnings growth rate, I still think it's a buy.
