CA - Eli Lilly: Great Time To Divest Before It Potentially Crashes
2024-05-04 11:30:00 ET
Summary
- Eli Lilly and Company delivered robust Q1 earnings, leading to an initial post-earnings surge in LLY stock.
- However, LLY has lost buying momentum, as selling intensity has overtaken Lilly's earnings euphoria.
- Eli Lilly is still well-positioned to capture the market for weight loss drugs. However, its valuation bifurcation to Novo Nordisk stock is hard to justify.
- With LLY stock suffering from a post-earnings hangover, as sellers take profit, it's time to get out quickly.
Eli Lilly Raised Guidance Downplayed Fears
Eli Lilly and Company ( LLY ) investors have continued to jump onto the bandwagon as the leading biopharma company delivered its recent earnings. Accordingly, LLY surpassed Wall Street estimates at Eli Lilly's first-quarter earnings release. Eli Lilly management raised guidance for 2024, alleviating fears about extended supply constraints impacting the company's near-term revenue recognition....
Eli Lilly: Great Time To Divest Before It Potentially Crashes