Pharmaceutical giant Eli Lilly (LLY) says that it expects the clinical trial results of its experimental weight-loss pill called Orforglipron to be released by the end of the current third quarter that runs until Sept. 30.
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The weight-loss pill is aimed at helping people lose weight and lower their blood sugar. Management at Eli Lilly says they aim to announce within the current quarter, the trial results for the drug that is being tested in overweight and obese people.
Eli Lilly says that it plans to submit the non-diabetes Phase 3 clinical trial data to global regulatory agencies by the end of the year, and seek approval to begin selling the medication on a commercial basis in the U.S. and other jurisdictions.
The U.S. Food and Drug Administration (FDA) typically makes new drug approval decisions 10 months after a pharmaceutical company makes a submission or application for regulatory approval.
Game-Changer?
Many analysts who follow LLY stock expect the approval of the weight-loss pill to be a game-changer for the company and the entire weight-loss industry. Currently, weight-loss medications are taken by injection that involves people administering needles to themselves.
A once per day pill is seen as a much more palatable way for people to take weight-loss drugs, say analysts. Wall Street investment bank Morgan Stanley (MS) recently forecast that the global market for weight-loss medications could reach $150 billion by 2035, with much of that growth coming from pill versions of the prescription drugs.
Is LLY Stock a Buy?
The stock of Eli Lilly has a consensus Strong Buy rating among 19 Wall Street analysts. That rating is based on 16 Buy, two Hold, and one Sell recommendations issued in the last 12 months. The average LLY price target of $1,006.80 implies 26.36% upside from current levels.
