Latest news with #Lilly
Yahoo
a day ago
- Business
- Yahoo
BMO downgrades Verve Therapeutics saying Lilly buyout deal caps upside
-- BMO Capital Markets downgraded Verve Therapeutics to Market perform, saying Eli Lilly's agreement to buy the gene-editing specialist leaves limited room for the stock to rise before the transaction is expected to close in the third quarter of 2025. Lilly said on June 17 it would pay $10.50 in cash for each Verve share and up to another $3 through a contingent value right tied to a future Phase III trial of Verve's PCSK9-targeting therapy, valuing the deal at as much as $1.3 billion. BMO set its price target at $13.50, matching the total potential payout, and said it sees about a 70% chance that investors will receive the extra payment once the late-stage study begins, which the brokerage projects could happen by 2028. The brokerage said its downgrade reflects 'the definitive agreement to acquire VERV,' noting that Lilly's tender offer expires on July 23 and U.S. antitrust review is slated to end two days later. 'We expect a smooth deal closure by 3Q25 given LLY/VERV extensive relationship/partnership,' the analysts wrote. BMO said it will watch for 0.7 mg/kg dose data from an ongoing Phase Ib test of lead drug VERVE-102, where it models a 61–65% reduction in LDL cholesterol. Still, with Verve's trading at $11.25 in Friday premarket trading, already above Lilly's upfront offer, the brokerage sees little near-term upside. Verve's stock has more than doubled since Lilly announced the takeover, while Lilly's shares have dipped slightly. BMO added that the value of the CVR 'captures sufficient' risk around whether Verve can advance multiple late-stage trials and that the deal provides investors with a clearer timetable for any additional returns beyond the cash component. Related articles BMO downgrades Verve Therapeutics saying Lilly buyout deal caps upside Piper makes Meta its top large-cap pick, lifts price view on AI-driven ad gains BofA cuts Molson Coors rating as U.S. beer slide deepens
Arab News
2 days ago
- Health
- Arab News
Saudi Ministry of Health launches nationwide campaign to tackle obesity
RIYADH: The Saudi Ministry of Health launched on Thursday its 'A Nation Without Obesity' campaign in Riyadh, an initiative aimed at raising awareness and combating obesity across the Kingdom. In its initial phase, the campaign aims to target 1 million beneficiaries, bringing together several governmental, private, and non-profit entities. 'A Nation Without Obesity' was launched in response to multiple calls from Shura Council members and aligns with the Kingdom's health transformation efforts, which have recorded notable progress toward the targets set out in Saudi Arabia's Vision 2030. Mustafa Abdul Rahman, general manager of Lilly in Saudi Arabia, emphasized that obesity is not a personal choice or a lifestyle issue, but a chronic disease that demands long-term management grounded in science, innovation, treatment, and prevention. He highlighted the urgent need to shift societal perceptions and eliminate the stigma surrounding obesity, which often discourages individuals from seeking the help and treatment they need. 'The company supports the 'A Nation Without Obesity' campaign, which aims to raise awareness, remove psychological and social barriers, and empower individuals to access the support and treatment they need,' Abdul Rahman added. Real transformation, he noted, starts with formal policies that back sustainable solutions and with strong partnerships between the public and private sectors. Obesity impacts not only physical health, but also leads to a decline in mental well-being and social stability, often intensifying social isolation and reducing overall quality of life. Eliminating the stigma surrounding individuals living with obesity is therefore essential, Abdul Rahman explained. The economic toll of obesity is equally pressing, with escalating healthcare costs linked to associated diseases and a notable decline in productivity driven by its complications — factors that cannot be ignored. For this reason, Lilly places economic impact at the core of its comprehensive strategy to combat obesity, Abdul Rahman said. Mohammed Alghasham, CEO of Qalb Health Association, praised the campaign's remarkable spirit of collaboration, emphasizing the strategic partnership with the Quality of Life Program and the engagement of Kayl Association for Combating Obesity as key contributors to a unified awareness effort. 'The association is committed to driving forward innovative social, awareness, and pharmaceutical initiatives while continuing to conduct studies and research aimed at enhancing existing solutions to the complex challenge of obesity, and supporting healthcare providers with insights that strengthen decision-making,' Alghasham said.
Time of India
2 days ago
- Business
- Time of India
Eli Lilly to roll out diabetes medicine in prefilled pen
Eli Lilly will soon launch Mounjaro KwikPen in India. This follows regulatory approval for the diabetes and obesity drug. The KwikPen offers a convenient, once-weekly administration. It contains four fixed doses. This launch intensifies competition with Novo Nordisk's Wegovy. Mounjaro's dual mechanism may offer superior efficacy. The availability of all six dosage options will support personalized treatment. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads US pharmaceutical major Eli Lilly on Thursday announced its plan to launch blockbuster diabetes drug tirzepatide ) in KwikPen , a prefilled pen designed for once-a-week administration for single patients in the Indian market, two days after its rival Danish drug maker Novo Nordisk launched the weight loss drug Wegovy as a weekly injection in the country, intensifying competition in the booming obesity Lilly said it received the approval of the Indian drug regulatory authority but did not comment on the launch timeline. The expected price of the pen device was also not disclosed. Once launched, the company said each pen will deliver four fixed doses of 0.6 ml and has been approved in six dose strengths including 2.5 mg, 5 mg, 7.5 mg, 10 mg, 12.5 mg, and 15 launched earlier this week, is expected to be in the pharmacies by the end of this month. The delivery device will contain four doses of 0.25 mg, 0.5 mg and 1 mg priced at '17,345 a month. This translates into a weekly cost of '4,366. The 1.7 mg dose will be priced at '24,280 per month, and 2.4 mg dose will be priced at '26, Misra, chairman of Fortis C-DOC, Centre of Excellence for diabetes, metabolic diseases and endocrinology said Mounjaro's dual mechanism may offer superior efficacy, however "wider adoption" will depend on the "price" of the Tucker, president and general manager of Eli Lilly India, said the approval of Mounjaro KwikPen marks a step forward in the care of people living with type 2 diabetes and obesity, offering a convenient way for patients to take their medication. Mounjaro reduces body weight and decreases fat mass by regulating appetite."With this approval, all six dosage options for Mounjaro will soon be available in India, supporting a more personalised approach to treatment and allowing healthcare professionals to tailor care based on individual patient needs and clinical goals," he is the first and only dual GIP (glucose- dependent insulinotropic polypeptide) and GLP-1 (glucagon-like peptide-1) receptor agonist, indicated as an adjunct to diet and exercise for the treatment of Type 2 diabetes and chronic weight management in adults with obesity or overweight, with one weight-related comorbidity.
Yahoo
2 days ago
- Business
- Yahoo
Can LLY's Next-Generation Obesity Pipeline Fuel Further Growth?
Eli Lilly LLY has experienced significant growth in the past few years, particularly driven by the success of its popular tirzepatide injections, Mounjaro for type II diabetes (T2D) and Zepbound for obesity. Despite being on the market for less than three years, GLP-1 medicines, Mounjaro and Zepbound, became key top-line drivers for Lilly, with demand rising rapidly. However, to maintain its prowess in the lucrative obesity market, especially in the United States, Lilly is investing heavily in obesity and has several new molecules currently in clinical development. This includes two late-stage candidates, orforglipron, an oral GLP-1 small molecule, and retatrutide, a triple-acting incretin and some mid-stage candidates, bimagrumab, eloralintide and mazdutide. Earlier this year, Lilly announced data from the first of the seven phase III studies on orforglipron in T2D and obesity. In the study, orforglipron lowered A1C by an average of 1.3-1.6% across doses and also reduced weight by an average of 16lb (7.9%) at the highest dose. Lilly expects to report additional results from the phase III ACHIEVE clinical program, as well as data from the phase III ATTAIN clinical program evaluating orforglipron for obesity, later this year. It plans to file regulatory applications for obesity by the end of this year and for T2D in the first half of 2026. Eli Lilly's GLP-1 drugs face strong competition from Novo Nordisk's NVO semaglutide products, Wegovy (obesity) and Ozempic (T2D). Like LLY, NVO is also evaluating several next-generation weight loss candidates. The notable ones include CagriSema, a fixed-dose combination of a long-acting amylin analogue and Wegovy, for which regulatory submission for the weight loss indication is planned in 2026. Novo Nordisk is also developing an early-stage candidate, amycretin, a unimolecular GLP-1 and amylin receptor agonist, which had outperformed Wegovy in a phase I study. NVO has also filed a regulatory application for an oral version of Wegovy. Several other companies, like Viking Therapeutics VKTX, are also making rapid progress in the development of GLP-1-based candidates in their clinical pipeline. Viking Therapeutics' dual GIPR/GLP-1 receptor agonist, VK2735, is being developed both as oral and subcutaneous formulations for the treatment of obesity. Recently, Viking Therapeutics initiated a late-stage program (VANQUISH), comprising two phase III studies evaluating the subcutaneous version of VK2735 in obesity and T2D patients. VKTX had also initiated a mid-stage study (VENTURE) on the oral formulation of the candidate earlier this year. Shares of Eli Lilly have risen 2.6% so far this year against the industry's decline of 1.9%. The stock has outperformed the sector but underperformed the S&P 500 index during the same time frame, as seen in the chart below. Image Source: Zacks Investment Research From a valuation standpoint, Lilly's stock is expensive. Going by the price/earnings ratio, the company's shares currently trade at 30.14 forward earnings, higher than 14.92 for the industry. However, the stock is trading below its five-year mean of 34.54. Image Source: Zacks Investment Research Estimates for Eli Lilly's 2025 earnings have declined from $22.43 to $21.95 per share in the past 60 days, and estimates for 2026 earnings have declined from $31.15 to $30.91 over the same timeframe. Image Source: Zacks Investment Research Eli Lilly currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Novo Nordisk A/S (NVO) : Free Stock Analysis Report Eli Lilly and Company (LLY) : Free Stock Analysis Report Viking Therapeutics, Inc. (VKTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
2 days ago
- Business
- Yahoo
5 Revealing Analyst Questions From Eli Lilly's Q1 Earnings Call
Eli Lilly's first quarter saw rapid revenue growth, but the market responded negatively due to profit shortfalls and emerging competitive pressures. Management credited the surge in sales to the continued success of its diabetes and obesity medicines, particularly Mounjaro and Zepbound, which now account for a significant portion of total revenue. However, executives also acknowledged that higher marketing and R&D spending, as well as elevated costs tied to launching new products and acquiring late-stage assets, weighed on profitability. CEO Dave Ricks noted that the company is facing 'a lot of investor focus right now on tariffs and trade,' while CFO Lucas Montarce cited a '26% increase in marketing, selling and administrative expenses' as Lilly ramped up promotion for new launches. Is now the time to buy LLY? Find out in our full research report (it's free). Revenue: $12.73 billion vs analyst estimates of $12.62 billion (45.2% year-on-year growth, 0.9% beat) Adjusted EPS: $3.34 vs analyst expectations of $3.46 (3.4% miss) Adjusted EBITDA: $4.24 billion vs analyst estimates of $5.05 billion (33.3% margin, 16% miss) The company reconfirmed its revenue guidance for the full year of $59.5 billion at the midpoint Management lowered its full-year Adjusted EPS guidance to $21.53 at the midpoint, a 7.4% decrease Operating Margin: 29%, in line with the same quarter last year Market Capitalization: $711.3 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Asad Haider (Goldman Sachs) asked about the impact of the CVS formulary loss on Zepbound's market share and future PBM dynamics. CEO Dave Ricks replied that the affected segment is relatively small and emphasized a continued focus on broadening access rather than engaging in exclusive deals. Geoff Meacham (Citibank) questioned whether orforglipron could be developed for more indications beyond diabetes and obesity. Chief Scientific Officer Dr. Dan Skovronsky said oral convenience opens opportunities in broader indications, including primary care and combination therapies. Chris Schott (JPMorgan) sought clarity on the role of orforglipron in the obesity and diabetes markets relative to injectables. President of Cardiometabolic Health Patrik Jonsson noted that many patients prefer oral medications and that orforglipron could reach new populations with needle aversion. Tim Anderson (Bank of America) probed the likelihood and implications of more PBMs shifting to single-product formularies. Jonsson indicated such arrangements remain rare and that the company will continue to prioritize access over exclusivity. James Shin (Deutsche Bank) asked if the pricing headwind guidance remains intact after recent payer decisions. CFO Lucas Montarce confirmed that mid to high single-digit price headwinds are expected to persist and have been factored into the full-year outlook. In the coming quarters, the StockStory team will monitor (1) results from additional Phase 3 trials of orforglipron and their potential to reshape the diabetes and obesity markets; (2) trends in PBM and payer coverage, particularly any changes in employer opt-in rates or further formulary restrictions; and (3) the pace of manufacturing expansions and supply chain execution to meet rising demand. Progress on new product launches and updates on regulatory submissions will also serve as key markers of business momentum. Eli Lilly currently trades at $793, down from $896.02 just before the earnings. In the wake of this quarter, is it a buy or sell? See for yourself in our full research report (it's free). Market indices reached historic highs following Donald Trump's presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth. While this has caused many investors to adopt a "fearful" wait-and-see approach, we're leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
