Key Highlights
- Eli Lilly becomes the first pharmaceutical company to reach a $1 trillion valuation, driven by skyrocketing demand for its obesity and diabetes drugs.
- Mounjaro and Zepbound outperform competitors, overtaking Merck’s Keytruda as the world’s best-selling drug.
- Lilly and Novo Nordisk are expected to dominate a projected $150 billion global weight-loss drug market by 2030.
Eli Lilly has officially joined the elite $1 trillion market value club, becoming the first-ever drugmaker to achieve this milestone. The sharp rise reflects the company’s dominance in the fast-growing weight-loss and metabolic health market, which is transforming global healthcare and investor sentiment.
Lilly’s stock has rallied more than 35% in 2025, fueled by surging demand for its blockbuster drugs Mounjaro (for type 2 diabetes) and Zepbound (for obesity).
These GLP-1 treatments have rapidly become some of the most influential products in modern medicine, helping the company surpass even long-time industry giants.
Mounjaro and Zepbound Outpace Competitors
Sales of tirzepatide, marketed as both Mounjaro and Zepbound, have overtaken Merck’s Keytruda, making it the world’s best-selling pharmaceutical product.
While Novo Nordisk initially led the obesity drug revolution with Wegovy, supply shortages and manufacturing delays slowed the company’s momentum.
Lilly capitalized quickly by scaling production, broadening distribution, and demonstrating stronger clinical results in trials. As a result, it now leads the prescription market for obesity treatments, a sector analysts expect to reach $150 billion by 2030.
Lilly’s shares recently traded at nearly $1,051, reflecting investor confidence. The company now trades at a premium valuation of almost 50x forward earnings, according to LSEG data, signaling strong expectations for long-term demand.
Revenue Surges and Investors Look Ahead to Oral Obesity Drug
In its latest quarter, Lilly posted $10.09 billion in revenue from its obesity and diabetes portfolio, accounting for more than half of its total $17.6 billion in sales. Analysts say the company’s valuation reflects confidence in its long-term metabolic health franchise.
Investor attention is now shifting to orforglipron, Lilly’s highly anticipated oral obesity drug, expected to receive approval early next year. Citi analysts say the latest generation of GLP-1 drugs has already been a “sales phenomenon,” and orforglipron is positioned to expand access.Upcoming shifts, including a pricing agreement with the U.S. government and major investments in U.S. manufacturing, may pressure margins but significantly widen the treatment pool, adding up to 40 million new potential patients.
