Jim Cramer Advises Against Investing in This Tech Stock and Avoids Oil Companies
Jim Cramer's Take on Zoom: Jim Cramer stated that while Zoom Communications Inc. is a solid company, it currently lacks a catalyst for investment, advising to "take a pass" until after their Q3 financial results on Nov. 24.
ProFrac Holding Corp Outlook: Cramer expressed a negative stance on oil stocks, including ProFrac Holding Corp, stating he is "really anti the oils right now," and noted a recent downgrade in ProFrac's price target by Piper Sandler.
Viking Therapeutics Performance: Cramer recommended Eli Lilly over Viking Therapeutics, which reported a quarterly loss that exceeded analyst expectations, leading to a 3.8% drop in its share price.
Altria Group Earnings: Cramer refrained from recommending Altria Group but acknowledged its recent earnings report, which met expectations despite a decline in quarterly sales, resulting in a slight increase in its share price.
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Eli Lilly's Earnings Report Outlook for 2025
- Earnings Release Date: Eli Lilly is set to report its Q4 and full-year 2025 earnings on February 4, and while it has shown strong performance in recent years, earnings season can sometimes surprise investors, leading to stock price volatility.
- Historical Stock Reactions: The stock's response to recent earnings has been mixed; after strong Q3 results and positive guidance, the stock rose, yet it fell sharply after solid Q2 performance due to disappointing phase 3 clinical trial data, indicating uncertainty in market reactions.
- Market Expectations and Challenges: With a current P/E ratio of 32.5, significantly above the healthcare average of 18.6, Eli Lilly will need to deliver much better-than-expected revenue growth and strong guidance, particularly related to clinical data for its diabetes drug tirzepatide, to drive stock price increases.
- Long-term Investment Outlook: Although short-term stock movements are unpredictable, Eli Lilly remains a leader in the rapidly growing weight management market, planning to launch new products orforglipron and retatrutide in the next two years, and with a dividend yield of 0.6% and a doubled dividend over five years, it presents a compelling long-term investment opportunity.

EU Drug Regulator Rejects Mounjaro for Heart Failure Indication
- Indication Rejection: The European Medicines Agency (EMA) declined Eli Lilly's application to expand Mounjaro (tirzepatide) for heart failure, indicating challenges in market expansion for the drug in this therapeutic area.
- Current Use Confirmation: Mounjaro is currently utilized in the EU for weight management in obese or overweight individuals, combined with diet and exercise, demonstrating its effectiveness under existing indications.
- Label Update Approved: Despite the rejection for heart failure, the EMA agreed to update Mounjaro's label to include relevant data supporting the HFpEF indication application, potentially aiding future marketing efforts.
- Market Impact Assessment: This rejection may negatively affect Eli Lilly's market expectations, particularly as competition intensifies in the heart failure treatment space, potentially leading to decreased investor confidence in the company's future growth.






