Eli Lilly Lowers FY25 Earnings Outlook Despite Revenue Surge

Eli Lilly reported strong revenue growth, driven by robust sales of its diabetes and weight loss drugs Mounjaro and Zepbound, with first-quarter revenue reaching $12.73 billion and year-over-year growth of 45%. Despite beating some analyst expectations on revenue, the company lowered its full-year and 2025 earnings guidance due to certain charges but maintained its revenue outlook. The pharmaceutical giant remains optimistic about its future, particularly highlighting the growth potential of its oral incretin, Orforglipron, and continued pipeline successes. Analyst sentiment remains positive, with an 'Outperform' rating and average one-year price targets suggesting an 11% to 25% upside from current stock prices, according to multiple brokerage and valuation models.