Eli Lilly and Company (NYSE:
LLY) is one of the
best stocks for a 20-year long-term stock portfolio. Eli Lilly has substantially underperformed this year with YTD decline of over 5%. On August 8, its shares touched $625-$626, levels last seen in 2024. However, it has since appreciated by nearly 17% as investor sentiment improved.
August 27, HSBC analyst Rajesh Kumar upgraded Eli Lilly and Company (NYSE:LLY) to Hold from Sell and lifted his price target to $700 from $675, citing progress on the company’s oral weight-loss drug. HSBC, previously bearish on the stock, acknowledged that the bear case has now played out following positive late-stage trial results.
Photo by Myriam Zilles on Unsplash
The trial showed meaningful weight loss in patients with obesity and type 2 diabetes, coming in ahead of expectations and performing better than a rival’s oral treatment. This result strengthens Eli Lilly’s position in both U.S. and overseas markets. FDA approval is expected in 2026 and street forecasts suggest the drug could generate $15.5 billion in annual sales by 2032.
With that upgrade, the majority of analysts now have a Buy or equivalent rating on Eli Lilly and Company (NYSE:LLY), with no Sell ratings. The consensus 1-year median price target of $900 indicates a 23% potential upside.
Eli Lilly and Company (NYSE:LLY) is a global pharmaceutical company focused on the development, manufacture, and marketing of medicines for diabetes, oncology, immunology, and neuroscience.
While we acknowledge the potential of LLY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the
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Disclosure: None. This article is originally published at
Insider Monkey.
