JPMorgan elevated its price target for Eli Lilly (LLY) to $1,300.00 from $1,150.00 on Thursday while retaining an Overweight rating on the pharmaceutical company. The new target implies upside relative to the most recently referenced share price of $1,020.84, and analyst targets cited span from $830 to $1,500 according to InvestingPro data.
The bank's decision to raise its projection followed Eli Lilly's fourth-quarter results and its fiscal year 2026 guidance, which together prompted JPMorgan to increase its internal estimates for the company. JPMorgan framed its outlook around a "sustainable runway for significant growth" as Eli Lilly captures market share in what the firm characterized as a still very underpenetrated obesity and type 2 diabetes market.
Those comments track with the company's recent top-line performance: Eli Lilly posted 44.7% revenue growth over the last twelve months and is forecasting approximately 25% revenue growth for fiscal year 2026.
In its review of the quarter, JPMorgan said Eli Lilly beat expectations on both the Mounjaro diabetes franchise in U.S. and international markets and on Zepbound, its obesity treatment. The firm highlighted several elements it believes could sustain momentum into 2026 and beyond. Among those, JPMorgan noted Zepbound's "best-in-class profile" as a lever for further share gains and flagged stronger-than-expected international cash-pay demand for Mounjaro as a meaningful contributor.
Additional drivers called out by JPMorgan include potential expansion of obesity treatment access within Medicare programs and the forthcoming launch of orforglipron, a new asset in Eli Lilly's pipeline. The bank indicated these factors, combined with existing revenue strength, support its loftier valuation target.
Other research desks adjusted their outlooks following Lilly's quarterly report and 2026 guidance. BMO Capital increased its price target to $1,300 while keeping an Outperform rating, citing the company's leadership in the incretin category. TD Cowen reiterated a Buy rating with a $1,250 target, noting conviction in Eli Lilly's oral GLP-1 medicines. Truist Securities also raised its price target to $1,281 and emphasized the growth potential of the company's obesity and diabetes portfolio, including the anticipated U.S. launch of orforglipron in 2026.
The earnings update also included results that exceeded expectations from TD Cowen and consensus estimates on both revenue and earnings per share, and the 2026 guidance overall came in above analyst forecasts.
In related product news outside Eli Lilly, Hims & Hers introduced compounded semaglutide pills priced at $49 for the initial month and $99 for subsequent months. Following that product announcement, TD Cowen maintained a Hold rating on Hims & Hers with a $30 price target, while Leerink Partners reiterated a Market Perform rating and a $41 target. Analysts described the new offering as a logical addition to Hims & Hers' weight loss platform.
Contextual analysis
The sequence of analyst target increases reflects a cluster of favorable signals for Eli Lilly: rapid recent revenue growth, guidance that outpaced expectations, and early commercial traction for both injectable and oral incretin-class medicines. JPMorgan's emphasis on market-share gain opportunities in obesity and type 2 diabetes, plus specific mentions of Medicare access and orforglipron, outlines the bank's rationale for upgrading model assumptions and the price target.
While the headline move centers on a single large-cap healthcare name, the developments have broader implications across pharmaceutical equities, payor dynamics for obesity therapies, and competitors in the incretin space.