LLY jumps after crushing Q1 estimates and raising 2026 outlook, powered by surging Mounjaro and Zepbound sales and strong global demand.
Eli Lilly's stock is powering higher on fresh signs of booming demand for its weight-loss drugs. Will it be enough to drive a recovery for the stock?
The Food and Drug Administration proposed excluding the active ingredients in Novo Nordisk and Eli Lilly's blockbuster obesity and diabetes medications from the list of drugs that outsourcing facilities can use for compounding. If that proposal is finalized, the exclusion would likely limit the mass compounding of those medicines unless they appear on the FDA's drug shortage list.
The headline numbers for Lilly (LLY) give insight into how the company performed in the quarter ended March 2026, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Eli Lilly (LLY) came out with quarterly earnings of $8.55 per share, beating the Zacks Consensus Estimate of $7.06 per share. This compares to earnings of $3.34 per share a year ago.
Consumer demand for blockbusters Mounjaro and Zepbound helped offset declining prices for the drugs.
Eli Lilly reported stronger-than-expected first-quarter earnings and revenue on Thursday, driven by robust demand for its blockbuster weight-loss and diabetes drugs, prompting the company to raise its full-year guidance. The pharmaceutical giant now expects 2026 revenue to range between $82 billion and $85 billion, up from its earlier forecast of $80 billion to $83 billion.
Revenue tied to Lilly's Zepbound and Mounjaro more than doubles from the same period last year.
Eli Lilly and Company has declined over 20% since January despite strong anticipated Q1 results and has not participated in the recent market rally. Options market positioning is extremely bearish with high implied volatility, but this may set up a bullish reversal post-earnings due to premium decay. Implied volatility is expected to drop sharply after earnings, potentially forcing market makers and put holders to unwind bearish positions, adding upward pressure to LLY shares.
Eli Lilly is scheduled to report its latest quarterly earnings ahead of the opening bell Thursday, with shares seen potentially falling to their lowest level in months following the report.
Eli Lilly And Co (NYSE:LLY) stock is down 0.3% to trade at $865.41 at last glance, pulling back alongside the broader market.
Lilly is set to acquire Ajax Therapeutics for up to $2.3B, gaining a novel JAK2 inhibitor as it ramps up oncology bets and targets unmet needs in MPN treatment.