Eli Lilly (NYSE:LLY) is an Indianapolis-based company that discovers, develops, and markets human pharmaceuticals around the world. The company has climbed to new heights on the back of its success in the GLP-1 – or weight-loss drugs – space. Shares of Eli Lilly have climbed 36% in 2024 at the time of this writing. Meanwhile, the stock is up 89% year over year.
This week, the drugmaker said that it would make a new $5.3 billion commitment in a bid to bolster manufacturing capacity for its weight-loss drug Zepbound and diabetes treatment Mounjaro. That brings the company’s total spending on its site to $9 billion – The largest manufacturing investment in Eli Lilly’s history.
Eli Lilly unveiled its first quarter (Q1) fiscal 2024 earnings on April 30, 2024. The company reported revenue growth of 26%, bolstered by Zepbound, Mounjaro, and Jardiance, an antidiabetic medication that is used to improve glucose control in individuals with type 2 diabetes.
On the financial front, Eli Lilly reported Q1 2024 earnings per share (EPS) growth of 66% to $2.48 on a reported basis and 59% EPS growth on a non-GAAP basis to $2.58. In the report, the company also increased its full-year revenue guidance by $2.0 billion and raised its EPS guidance to $13.05 to $13.55.
Eli Lilly possess a high price-to-earnings ratio at the time of this writing. However, its strong earnings growth combined with the huge potential for the GLP-1 drug class continues to hold promise going forward.
