The corporate’s inventory has zoomed this yr, pushed by the explosive progress of the weight-loss drug market.
Printed On 21 Nov 2025
Eli Lilly has hit $1 trillion in market worth, making it the primary drugmaker to enter the unique membership dominated by tech giants and underscoring its rise as a weight-loss powerhouse.
A greater than 35 p.c rally within the firm’s inventory this yr has largely been pushed by the explosive progress of the weight-loss drug market and noticed it be part of the $1 trillion membership on Friday.
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As soon as seen as a distinct segment class, weight problems remedies are actually one of the crucial profitable segments in healthcare, with steadily rising demand.
Novo Nordisk had the early lead within the area, however Lilly’s medication – Mounjaro and Zepbound – have surged in reputation and helped eclipse its rival in prescriptions.
The corporate’s shares had been up 1.3 p.c at a file excessive of $1,057.70.
Lilly now trades at one of many richest valuations in massive pharma, at about 50 instances its anticipated earnings over the following 12 months, in response to LSEG knowledge, reflecting traders’ perception that demand for weight problems medication will stay sturdy.
Shares have additionally far outpaced the broader United States fairness market. For the reason that launch of Zepbound in late 2023, Lilly has gained greater than 75 p.c, in contrast with a greater than 50 p.c rise within the S&P 500 over the identical interval.
Within the newest reported quarter, Lilly posted mixed income of greater than $10.09bn from its weight problems and diabetes portfolio, accounting for greater than half of its whole income of $17.6bn.
“They’re doing so many issues exterior of weight problems, however to recommend something is driving share worth past weight problems at this level, I don’t know if that will be a factual assertion,” mentioned Kevin Gade, chief working officer at Lilly shareholder Bahl and Gaynor, upfront of the milestone.
‘Gross sales phenomenon’
Wall Avenue estimates the weight-loss drug market to be value $150bn by 2030, with Lilly and Novo collectively controlling nearly all of projected international gross sales.
Traders are actually centered on Lilly’s oral weight problems drug, orforglipron, which is anticipated to be permitted early subsequent yr.
In a be aware final week, Citi analysts mentioned the most recent era of GLP-1 medication have already been a “gross sales phenomenon”, and orforglipron is poised to profit from the “inroads made by its injectable predecessors”.
Lilly’s current take care of the White Home to chop costs for its weight-loss medication, in addition to deliberate investments to increase drug manufacturing, augur effectively for its progress.
Lilly is beginning to resemble the “Magnificent Seven” once more, mentioned James Shin, director of Biopharma Fairness Analysis at Deutsche Financial institution, referring to the seven tech heavyweights, together with Nvidia and Microsoft, which have powered a lot of the market’s returns this yr.
At one level, traders considered it as a part of that elite group, however after some disappointing headlines and earnings, it slipped out of favour.
Now, nevertheless, it appears poised to rejoin that circle, presumably even in its place for traders, particularly given current issues and weak spot in some AI shares, he added.
Nonetheless, analysts and traders are watching whether or not Lilly can maintain its present progress as costs of Mounjaro and Zepbound come beneath strain, and whether or not its scale-up plans, together with its diversified pipeline and dealmaking, will offset margin strain.
