JIANG_LIM
08-08
$Eli Lilly(LLY)$  

Eli Lilly lost over $100 billion in one day.

The reason? Their new obesity pill only helped people lose about 11 percent of their weight, which was far below what the market expected. The stock dropped 14 percent, but here’s the crazy part: it is still trading at over 50 times earnings.

This is not just a bad day. It could be a shift in how investors value the company.

Lilly was priced like every drug would be a blockbuster. But now one of their biggest launches underdelivered. That breaks the story.

Yes, the company is solid. But the stock was priced for perfection, and that just got proven wrong. If investors start revaluing based on actual results, this may not be the bottom yet.

Eli Lilly's oral weight loss drug Orforglipron clinical trial data missed expectations, causing stock price to plummet
Eli Lilly announced that the clinical trial data of the oral weight loss drug Orforglipron failed to meet market expectations, and the stock price fell nearly 14%. Shares of rival Novo Nordisk rose 6% as the market focused on competition in the GLP-1 obesity drug market.
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Comments

  • Porter Harry
    08-08
    Porter Harry
    Spot on on $LLY — a harsh reality check for a stock priced to perfection.
  • Enid Bertha
    08-10
    Enid Bertha
    the treat has lost all confidence in lly ability to continue it ridiculous business model! the model is a joke nd i predicted that more the 8 months go

  • Merle Ted
    08-10
    Merle Ted
    the valuation lly traded at was egregiously stupid! anyone who bought at those level may need to wit 25 yers if ever to break even

  • BertScott
    08-08
    BertScott
    Sounds like the market finally woke up
  • Reg Ford
    08-09
    Reg Ford
    Solid company, but hype’s gone. Maybe a buy after more dip?
  • Frosty4ever
    08-10
    Frosty4ever
    interesting.
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