Eli Lilly (LLY) Stumbles as Novo Nordisk Reclaims Crown of Europe’s Most Valuable Company
Big Pharma''s throne just got rocked—again.
Eli Lilly shares tank after Novo Nordisk muscles back into pole position as Europe''s top dog by market cap. The weight-loss drug wars aren''t just about waistlines—they''re reshaping entire markets.
Wall Street analysts scramble to adjust targets while retail investors get whiplash. Another day, another reminder that in pharma, today''s king is tomorrow''s footnote.
Funny how these ''stable'' blue chips move faster than your average meme coin.
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Novo Nordisk, the maker of the Ozempic weight-loss drug, had seen its share price steadily decline for the better part of a year, a situation that led to the firing of the company’s CEO in May of this year. However, NVO stock has rallied 20% in the past month, boosting its market capitalization to $367 billion and pushing it above German software giant SAP’s (SAP) $363 billion.
The last time the Danish pharmaceutical company was Europe’s biggest public company was in mid-March of this year. The current rally in NVO stock has LLY shares moving in the opposite direction. Novo Nordisk’s stock is rising due to several recent catalysts.
Market Moving News
NVO stock has gotten a lift from news that Novo Nordisk plans to fast-track its experimental weight-loss drug amycretin to late-stage clinical trials. The company is developing a highly-anticipated pill version of the amycretin drug. The speed with which Novo Nordisk is moving comes after studies showed Eli Lilly’s rival weight-loss drug Zepbound promotes greater weight loss in people.
Also, the departure of CEO Lars Fruergaard Jørgensen is seen as a positive development for Novo Nordisk and its shareholders. Former Novo Nordisk CEO Lars Sorensen has returned to the company to oversee the selection of a new permanent CEO for the European pharma giant. Analysts say the shifts at Novo Nordisk likely mean tougher competition ahead for Eli Lilly, pressuring the stock.
Is LLY Stock a Buy?
The stock of Eli Lilly has a consensus Strong Buy recommendation among 20 Wall Street analysts. That rating is based on 17 Buy, two Hold, and one Sell recommendations issued in the last 12 months. The average LLY price target of $997.60 implies 23.25% upside from current levels.
