Why Eli Lilly Stock Surged Almost 6% Yesterday

Aditya Raghunath
Aditya Raghunath4 minute read
Reviewed by: Thomas Richmond
Last updated Aug 27, 2025
Why Eli Lilly Stock Surged Almost 6% Yesterday

@GreenApple78 from Getty Images via Canva

Key Stats for Eli Lilly Stock

  • Price Change for $LLY stock: 5.85%
  • Current Share Price: $736
  • 52-Week High: $969
  • $LLY Stock Price Target: $888

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What Happened?

Eli Lilly (LLY) stock surged close to 6% on Tuesday following the announcement of positive Phase 3 trial results for its experimental oral weight-loss pill, orforglipron.

The healthcare giant reported that its ATTAIN-2 trial met all primary and key secondary endpoints, with patients taking the highest dose (36 milligrams) losing an average of 22.9 pounds or 10.5% of their body weight over 72 weeks.

The oral GLP-1 treatment also delivered significant improvements in diabetes management, with A1C glucose levels declining by an average of 1.8%.

Additionally, 75% of participants taking the highest dose achieved an A1C level of 6.5% or below, meeting the American Diabetes Association’s threshold for diabetes.

The drug also showed benefits for cardiovascular risk factors, including cholesterol levels, blood pressure, and inflammatory markers.

Eli Lilly YTD Stock Price Chart (TIKR)

Lilly stated it now has the complete clinical data package needed to begin global regulatory submissions for orforglipron, positioning the company to potentially capture significant market share in the growing obesity treatment market with a more convenient oral alternative to injectable therapies.

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What the Market Is Telling Us About Eli Lilly Stock

The positive market reaction to LLY stock reflects investor enthusiasm for Lilly’s potential to expand access to GLP-1 therapies through an oral formulation, addressing a key limitation of current injectable treatments.

However, the weight loss results, while significant, were notably lower than those achieved by injectable GLP-1 medicines, such as Lilly’s own Zepbound and Novo Nordisk’s Wegovy.

The trial results also revealed concerning side effect profiles, with high rates of gastrointestinal issues, including nausea (36.4%), vomiting (23.1%), and diarrhea (27.4%) at the highest dose.

Moreover, discontinuation rates were similarly high between the active treatment and placebo groups, suggesting tolerability challenges that could impact real-world adoption.

Eli Lilly Stock Valuation Model (TIKR)

Despite these limitations, analysts view the oral formulation as a competitive advantage that could help Lilly maintain its leadership position in the rapidly growing incretin market.

The company’s strong Q2 performance, with 38% revenue growth driven by Mounjaro and Zepbound sales, provides a solid foundation for continued expansion.

Management has raised full-year guidance and expects to produce 1.8 times more incretin doses in the second half of 2025 compared to the prior year, addressing supply constraints that have limited market growth.

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Disclaimer:

Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!

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