Beijing May Prioritize Consumers in the Year of the Horse: Strategies to Consider.
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 15 2026
0mins
Source: Barron's
- Economic Outlook: As China enters the Year of the Fire Horse, there is an expectation of a lower official economic growth target from Beijing.
- Focus Shift: The Chinese government is anticipated to prioritize reviving consumer confidence and spending over previous economic strategies.
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Analyst Views on LLY
Wall Street analysts forecast LLY stock price to rise
20 Analyst Rating
18 Buy
2 Hold
0 Sell
Strong Buy
Current: 1041.650
Low
950.00
Averages
1192
High
1500
Current: 1041.650
Low
950.00
Averages
1192
High
1500
About LLY
Eli Lilly and Company is a medicine company, which discovers, develops, manufactures, and market products in a single business segment called human pharmaceutical products. The Company manufacture and distribute its products through facilities in the United States, including Puerto Rico, and in Europe and Asia. The Company’s products are sold in approximately 90 countries. Its Cardiometabolic Health products Basaglar; Humalog, Humalog Mix 75/25, Humalog U-100, Humalog U-200, Humalog Mix 50/50, insulin lispro, and others; Humulin, Humulin 70/30, and others; Jardiance; Mounjaro; Trulicity; Zepbound, and others. Its oncology products include Cyramza, Erbitux, Tyvyt, Verzenio, Retevmo, Jaypirca, and others. Its immunology products include Ebglyss, Olumiant, Omvoh, and Taltz. Its neuroscience products include Emgality and Kisunla. Its LillyDirect, a direct-to-patient digital health care platform, provides delivery of select Lilly medicines dispensed by third-party pharmacies to patients.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Positive Phase 1b Results for VERVE-102 in Cardiovascular Treatment
- Clinical Trial Results: In the Phase 1b Heart-2 trial, VERVE-102 demonstrated dose-dependent reductions in PCSK9 and LDL-C, with PCSK9 decreasing by 51% to 88% and LDL-C by 9% to 62%, indicating its potential efficacy in high-risk cardiovascular patients.
- Long-term Effectiveness: Among 35 participants, the LDL-C reduction from VERVE-102 was sustained for up to 18 months post-treatment, suggesting that the drug may offer durable cardiovascular protection, addressing the urgent need for new therapies.
- FDA Fast Track Designation: VERVE-102 has received Fast Track designation from the FDA, aimed at providing new treatment options for patients with hyperlipidemia and high cardiovascular risk, highlighting its potential market value and significance.
- Future Research Plans: Lilly plans to initiate the Phase 2 clinical study by the end of this year to further validate the safety and efficacy of VERVE-102, potentially transforming cardiovascular care from chronic management to a one-time treatment.
See More
Eli Lilly Becomes First Healthcare Company to Reach $1 Trillion Market Cap
- Gene Editing Breakthrough: Eli Lilly's release of Phase 1b trial data for Verve-102 shows a 62% reduction in LDL cholesterol at the highest dose among 35 participants, with effects lasting up to 18 months, marking a significant advancement in gene editing treatments for cardiovascular diseases and potentially transforming treatment paradigms while enhancing the company's competitive edge in this market.
- Obesity Drug Market Leadership: Lilly's Mounjaro has emerged as a standout in the rapidly growing GLP-1 drug category, with projected sales exceeding $100 billion in 2023, further solidifying the company's leadership position in obesity treatment and laying a strong foundation for future revenue growth.
- Analyst Ratings Optimistic: With a 'Strong Buy' consensus from 31 analysts and an average price target of $1,211, indicating approximately 13% upside from current levels, the market reflects strong confidence in the company's growth potential moving forward.
- Technical Analysis: Eli Lilly's stock is just 6.5% below its all-time high from November 2025 and has formed a golden cross, indicating strong upward momentum; despite a price-to-earnings ratio of 28, which is above the industry average, it remains a favored choice among investors, showcasing optimism about its future performance.
See More
Viking Therapeutics Faces Competitive Pressures
- Intensifying Market Competition: Viking Therapeutics' weight-loss candidate VK2735 showed promising results in clinical trials, but increasing competition from new product launches by Eli Lilly and Novo Nordisk may impact Viking's market share significantly.
- Dramatic Stock Price Decline: Viking's stock price has plummeted from nearly $100 to below $30, reflecting investor pessimism regarding its future prospects, particularly in light of stronger competitors entering the market.
- Cash Burn Risks: With approximately $603 million in cash on hand but burning through about $114 million per quarter, Viking may face dilution risks if it fails to raise additional funds soon, further undermining investor confidence.
- Slow Clinical Progress: Although VK2735 remains in clinical trials, competitors are advancing in drug development, potentially placing Viking at a disadvantage in the market and affecting its long-term growth potential.
See More
Eli Lilly's Strong Performance in the Intensifying GLP-1 Drug Competition
- Market Share Competition: Eli Lilly's Mounjaro and Zepbound achieved impressive sales growth of 125% and 80% respectively in Q1 2026, demonstrating strong performance in the GLP-1 market, even as Novo Nordisk introduced its oral GLP-1 drug, with Eli Lilly maintaining its lead.
- Indian Market Dynamics: Despite Novo Nordisk's Wegovy losing patent protection in India, leading to an influx of low-cost generics, Eli Lilly's Mounjaro still saw a 10% sales increase in that market, indicating its product remains attractive amidst competition.
- International Market Advantage: Morgan Stanley estimates that Eli Lilly controls over 50% of the international market, driven by Mounjaro's superior weight-loss results, suggesting continued growth potential as consumers seek effective weight-loss solutions.
- Valuation Considerations: While Eli Lilly's price-to-earnings ratio stands at approximately 38x, down from a five-year average of 56x, it may not attract value investors; however, aggressive growth investors might reconsider its long-term international opportunities, particularly in the Indian market.
See More
Viking Therapeutics Stock Plummets, Future Uncertain
- Significant Stock Decline: Viking Therapeutics' stock has plummeted from nearly $100 to below $30, indicating a sharp decline in investor confidence, particularly as competitors like Novo Nordisk and Eli Lilly continue to launch new drugs.
- Disappointing Clinical Trial Results: Although VK2735 showed promising results in early trials, subsequent data revealed worse-than-expected side effects, leading to a negative shift in public perception and investor sentiment.
- Increasing Cash Burn: With approximately $603 million in cash on hand but burning through about $114 million per quarter, Viking may face the risk of share dilution if it fails to raise additional funds soon, further undermining shareholder confidence.
- Intensifying Market Competition: As Viking strives to bring its weight-loss drug to market, larger competitors like Novo Nordisk and Eli Lilly are developing more potent new treatments, making the future market landscape increasingly challenging for Viking and casting doubt on its prospects.
See More
Eli Lilly Reports Strong Results for GLP-1 Drugs Amidst Competition
- Significant Sales Growth: In Q1 2026, Eli Lilly's Mounjaro and Zepbound saw sales increase by 125% and 80% respectively, demonstrating robust performance in the GLP-1 market and reinforcing its leadership position.
- International Market Advantage: Despite the influx of low-cost generics in India, Mounjaro's sales grew by 10%, indicating sustained consumer appeal and potentially laying the groundwork for future international expansion.
- Market Share Increase: Morgan Stanley estimates that Eli Lilly controls over 50% of the international market, driven by Mounjaro's superior weight-loss results, suggesting strong growth potential globally.
- Valuation Considerations: While Eli Lilly's price-to-earnings ratio stands at approximately 38x, down from a five-year average of 56x, it may not attract value investors; however, aggressive growth investors might reassess its long-term opportunities in the international market.
See More
Positive Phase 1b Results for VERVE-102 in Cardiovascular Treatment
- Clinical Trial Results: In the Phase 1b Heart-2 trial, VERVE-102 demonstrated dose-dependent reductions in PCSK9 and LDL-C, with PCSK9 decreasing by 51% to 88% and LDL-C by 9% to 62%, indicating its potential efficacy in high-risk cardiovascular patients.
- Long-term Effectiveness: Among 35 participants, the LDL-C reduction from VERVE-102 was sustained for up to 18 months post-treatment, suggesting that the drug may offer durable cardiovascular protection, addressing the urgent need for new therapies.
- FDA Fast Track Designation: VERVE-102 has received Fast Track designation from the FDA, aimed at providing new treatment options for patients with hyperlipidemia and high cardiovascular risk, highlighting its potential market value and significance.
- Future Research Plans: Lilly plans to initiate the Phase 2 clinical study by the end of this year to further validate the safety and efficacy of VERVE-102, potentially transforming cardiovascular care from chronic management to a one-time treatment.
See More
Eli Lilly Becomes First Healthcare Company to Reach $1 Trillion Market Cap
- Gene Editing Breakthrough: Eli Lilly's release of Phase 1b trial data for Verve-102 shows a 62% reduction in LDL cholesterol at the highest dose among 35 participants, with effects lasting up to 18 months, marking a significant advancement in gene editing treatments for cardiovascular diseases and potentially transforming treatment paradigms while enhancing the company's competitive edge in this market.
- Obesity Drug Market Leadership: Lilly's Mounjaro has emerged as a standout in the rapidly growing GLP-1 drug category, with projected sales exceeding $100 billion in 2023, further solidifying the company's leadership position in obesity treatment and laying a strong foundation for future revenue growth.
- Analyst Ratings Optimistic: With a 'Strong Buy' consensus from 31 analysts and an average price target of $1,211, indicating approximately 13% upside from current levels, the market reflects strong confidence in the company's growth potential moving forward.
- Technical Analysis: Eli Lilly's stock is just 6.5% below its all-time high from November 2025 and has formed a golden cross, indicating strong upward momentum; despite a price-to-earnings ratio of 28, which is above the industry average, it remains a favored choice among investors, showcasing optimism about its future performance.
See More
Viking Therapeutics Faces Competitive Pressures
- Intensifying Market Competition: Viking Therapeutics' weight-loss candidate VK2735 showed promising results in clinical trials, but increasing competition from new product launches by Eli Lilly and Novo Nordisk may impact Viking's market share significantly.
- Dramatic Stock Price Decline: Viking's stock price has plummeted from nearly $100 to below $30, reflecting investor pessimism regarding its future prospects, particularly in light of stronger competitors entering the market.
- Cash Burn Risks: With approximately $603 million in cash on hand but burning through about $114 million per quarter, Viking may face dilution risks if it fails to raise additional funds soon, further undermining investor confidence.
- Slow Clinical Progress: Although VK2735 remains in clinical trials, competitors are advancing in drug development, potentially placing Viking at a disadvantage in the market and affecting its long-term growth potential.
See More
Eli Lilly's Strong Performance in the Intensifying GLP-1 Drug Competition
- Market Share Competition: Eli Lilly's Mounjaro and Zepbound achieved impressive sales growth of 125% and 80% respectively in Q1 2026, demonstrating strong performance in the GLP-1 market, even as Novo Nordisk introduced its oral GLP-1 drug, with Eli Lilly maintaining its lead.
- Indian Market Dynamics: Despite Novo Nordisk's Wegovy losing patent protection in India, leading to an influx of low-cost generics, Eli Lilly's Mounjaro still saw a 10% sales increase in that market, indicating its product remains attractive amidst competition.
- International Market Advantage: Morgan Stanley estimates that Eli Lilly controls over 50% of the international market, driven by Mounjaro's superior weight-loss results, suggesting continued growth potential as consumers seek effective weight-loss solutions.
- Valuation Considerations: While Eli Lilly's price-to-earnings ratio stands at approximately 38x, down from a five-year average of 56x, it may not attract value investors; however, aggressive growth investors might reconsider its long-term international opportunities, particularly in the Indian market.
See More
Viking Therapeutics Stock Plummets, Future Uncertain
- Significant Stock Decline: Viking Therapeutics' stock has plummeted from nearly $100 to below $30, indicating a sharp decline in investor confidence, particularly as competitors like Novo Nordisk and Eli Lilly continue to launch new drugs.
- Disappointing Clinical Trial Results: Although VK2735 showed promising results in early trials, subsequent data revealed worse-than-expected side effects, leading to a negative shift in public perception and investor sentiment.
- Increasing Cash Burn: With approximately $603 million in cash on hand but burning through about $114 million per quarter, Viking may face the risk of share dilution if it fails to raise additional funds soon, further undermining shareholder confidence.
- Intensifying Market Competition: As Viking strives to bring its weight-loss drug to market, larger competitors like Novo Nordisk and Eli Lilly are developing more potent new treatments, making the future market landscape increasingly challenging for Viking and casting doubt on its prospects.
See More
Eli Lilly Reports Strong Results for GLP-1 Drugs Amidst Competition
- Significant Sales Growth: In Q1 2026, Eli Lilly's Mounjaro and Zepbound saw sales increase by 125% and 80% respectively, demonstrating robust performance in the GLP-1 market and reinforcing its leadership position.
- International Market Advantage: Despite the influx of low-cost generics in India, Mounjaro's sales grew by 10%, indicating sustained consumer appeal and potentially laying the groundwork for future international expansion.
- Market Share Increase: Morgan Stanley estimates that Eli Lilly controls over 50% of the international market, driven by Mounjaro's superior weight-loss results, suggesting strong growth potential globally.
- Valuation Considerations: While Eli Lilly's price-to-earnings ratio stands at approximately 38x, down from a five-year average of 56x, it may not attract value investors; however, aggressive growth investors might reassess its long-term opportunities in the international market.
See More
