Indianapolis, Indiana – Eli Lilly stock, with the ticker symbol LLY, has been named Wednesday’s IBD Stock Of The Day as the competition intensifies for Lilly’s weight-loss drug, Zepbound. Shares of Eli Lilly are currently forming a flat base pattern amid these developments.
This week, Viking Therapeutics, with the ticker symbol VKTX, announced promising test results for its experimental weight-loss pill, which showed patients losing up to 5.3% of their body weight, outperforming the placebo group by 3.3%. The drug works similarly to Lilly’s Zepbound by blocking hormones to aid in weight loss.
Analysts, however, suggest that these results are unlikely to deter leaders like Eli Lilly and Novo Nordisk, which are already in the market selling weight-loss injections and working on developing pills. The competition in the GLP-1 space is expected to increase, but the immediate impacts on Eli Lilly and Novo Nordisk are projected to be limited.
Eli Lilly stock continues to perform well, clearing resistance levels and presenting an early entry opportunity above the 21-day line. The shares are approaching a buy point in an emerging flat base pattern at 800.78.
Despite the competition in the weight-loss drug market, expectations remain high for Zepbound and Wegovy, with analysts forecasting significant sales growth over the coming years. The industry is also looking towards the development of daily pills as the next big shift in weight-loss treatments.
Viking’s drug, VK2735, is positioned as a strong competitor against Novo’s oral semaglutide and its next-generation pill, amycretin. Eli Lilly’s own pill, orforglipron, is also in development, focusing on targeting specific hormones for weight loss. Analysts expect that combining multiple hormones in weight-loss drugs could lead to more effective results in the future.
Eli Lilly stock has maintained strong performance indicators, including staying above its 50-day moving average, having a high Relative Strength Rating of 95, and a promising Composite Rating of 93. This indicates the stock’s strong performance compared to other stocks in the market.
As the competition in the weight-loss drug market heats up, investors will be closely watching the developments at Eli Lilly and other key players in the industry to see how they navigate the changing landscape and continue to innovate in this space.