We're raising our price target on Eli Lilly as the GLP-1 leader delivers a huge beat

February 4, 2026

TL;DR

Fourth-quarter revenue reached $19.3 billion, a 43% increase year-over-year, surpassing estimates of $17.96 billion.
Earnings per share (EPS) rose 42% year-over-year to $7.54, exceeding estimates of $6.67.
Combined sales for GLP-1 drugs Zepbound and Mounjaro exceeded $1 billion, with each experiencing triple-digit growth.
Zepbound captured nearly 70% of new U.S. GLP-1 prescriptions, while Mounjaro secured 55%.
The company expects significant future growth from GLP-1 drugs, which have potential to treat other conditions like sleep apnea and reduce stroke risk.
Eli Lilly's pipeline includes Alzheimer's treatments, such as the recently approved Kisunla.
An oral GLP-1 drug, orforglipron, is expected to launch in the second quarter and in 2027 internationally.
Manufacturing capacity is a strength, with the company exceeding its production goals for GLP-1 doses.
Full-year revenue guidance is projected at $80 to $83 billion, above the Street's estimate of $77.62 billion.
Guidance for earnings per share is $33.50 to $35, ahead of the expected $33.23.

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