The upgrade comes as Lilly starts submitting a marketing application for its medication “Donanemab”, a late-stage Alzheimer’s drug. The analyst called this drug “the biggest drug ever,” and the “highest potential late-stage Alzheimer’s asset”. Jacob also added:
LLY chart and analysis
Over the past month, LLY shares traded from $296.32 to $324.59, staying below moving averages. The long-term trend is neutral, but the short-term trend remains negative, despite the positive upgrades. Technical analysis shows a support line at $296.47 and a resistance zone ranging from $308.62 to $315.07. TipRanks analysts rate the shares a ‘strong buy,’ with the average price in the next 12 months reaching $368.63, 21.27% higher than the current trading price of $303.98. Notably, out of 9 market experts covering the stock, all gave LLY a buy rating. Currently, Eli Lilly shares are trading at roughly 32 times 2023 earnings consensus, giving them an appearance of a “pricey” stock; yet, UBS analysts’ decided to upgrade LLY, indicating that it deserves a high premium. Shareholders of the firm can be happy with the news as LLY is up 12.91% year-to-date (YTD), remaining a solid performer. Notably, back in June, Finbold said that Eli Lilly could be a recession-proof stock. On the other hand, investors looking to get in could sit on the sidelines to assess better entry positions if the markets take a turn for the worse. Buy stocks now with Interactive Brokers – the most advanced investment platform Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
