U.S. pharmaceutical giant Eli Lilly (LLY) says it is preparing for the approval and launch of its new weight loss pill following the results of a late-stage clinical trial.
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The Indianapolis, Indiana-based company says it’s planning to launch the weight loss pill around the world in summer 2026 following regulatory approvals in several jurisdictions, including from the U.S. Food and Drug Administration (FDA).
The weight loss pill is widely viewed as a game changer for Eli Lilly, whose current obesity medication called Zepbound is taken via an injection. The daily weight loss pill is expected to be much more appealing to consumers, many of whom don’t like injecting themselves with needles.
The weight loss medication market is forecast to be worth between $95 billion and $150 billion annually by 2030.
Trial Results
Eli Lilly is preparing for its weight loss pill to be approved by regulators after late-stage clinical trial results showed that the drug helped people lose weight and manage Type 2 diabetes. The pill led patients to lose 10.5% of their weight on average at 72 weeks, compared to 2% weight loss among people who took a placebo during the trial.
Eli Lilly’s pill also helped people who have diabetes. At the end of the trial, most patients no longer met the criteria for having Type 2 diabetes. The weight loss pill also does not come with dietary restrictions, which sets it apart from a similar pill that’s being created by Danish competitor Novo Nordisk (NVO).
Is LLY Stock a Buy?
The stock of Eli Lilly has a consensus Strong Buy rating among 22 Wall Street analysts. That rating is based on 17 Buy and five Hold recommendations issued in the last three months. The average LLY price target of $924.42 implies 30.22% upside from current levels.
