• Daiwa has set a price target of $700 for Eli Lilly (NYSE:LLY) but has downgraded its rating to Neutral due to disappointing results from the phase 3 study of orforglipron.
• The weight loss drug Zepbound significantly contributes to Eli Lilly’s revenue, but market preference is shifting towards oral pills versus injectables.
• Currently, LLY’s stock indicates a 2.45% increase, valuing the market capitalization around $663.68 billion.

Eli Lilly (NYSE:LLY) plays a crucial role in the pharmaceutical domain, recognized for its innovative health solutions. On August 17, 2025, Narumi Nakagiri at Daiwa established a price target of $700, with the stock trading at $701.23 at that moment, marginally above the target. However, Daiwa has adjusted its rating to Neutral from Outperform due to recent disappointing phase 3 results for orforglipron, which may affect market performance.

Eli Lilly faces substantial challenges, particularly regarding its investigational oral GLP-1 candidate orforglipron, which had disappointing phase 3 study results. This downturn paves the way for a competitive landscape where rivals like Novo Nordisk could seize a potential $10 billion opportunity.

Despite these setbacks, Eli Lilly’s weight loss solution, Zepbound, has yielded considerable revenue growth, shown by billion dollar quarterly sales. However, market preferences are gradually shifting towards oral pills instead of injectable options like Zepbound. Oral solutions often present less complexity in production and logistical management, changing the market landscape.

The current stock price of LLY stands at $701.23, marked by a 2.45% increase of $16.80. It has fluctuated between $685.80 and $706.79 on that day, while in the preceding year, it achieved highs of $972.53 and dipped to lows near $623.78. Eli Lilly currently has a market capitalization of approximately $663.68 billion and has experienced a trading volume of 8,116,656 shares on the NYSE.