Akash Tewari, an analyst from Jefferies, maintained the Buy rating on Eli Lilly & Co (LLY – Research Report). The associated price target remains the same with $1,020.00.
Akash Tewari’s rating is based on several strategic moves by Eli Lilly & Co that are expected to enhance their market position and financial performance. The introduction of higher strength Zepbound vials through a self-pay program, along with a reduction in the price of existing vials, is seen as a strategic effort to capture market share from GLP-1 compounding, which represents a significant portion of the market. By offering competitive pricing and improving access, Eli Lilly aims to attract patients who currently use compounded GLP-1 products.
Furthermore, the Zepbound vial program is anticipated to lead to an increase in net pricing due to improved patient adherence and the absence of discounts and rebates associated with the self-pay model. Early transaction data from the LillyDirect/Zepbound vials is promising, indicating a potential for increased revenue. These factors combined suggest a positive outlook for Eli Lilly’s financial performance, justifying the Buy rating.
According to TipRanks, Tewari is a 4-star analyst with an average return of 10.2% and a 51.31% success rate. Tewari covers the Healthcare sector, focusing on stocks such as Eli Lilly & Co, Pfizer, and Bristol-Myers Squibb.