Goldman Sachs Raises Eli Lilly Price Target
Investors are seeing higher price targets for Eli Lilly as demand for the company's diabetes and weight-loss drugs continues to climb.
Updated on Oct. 23, 2026 in Economic Indicators
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Goldman Sachs recently raised its 12-month price target for Eli Lilly to $1,413, citing strong market demand for the company's weight-loss and diabetes treatments. This adjustment reflects continued growth in prescriptions and revenue as access to products like Zepbound expands through Medicare.
Why it matters
As one of the largest pharmaceutical companies by market value, Eli Lilly's performance impacts broader health-sector portfolios and shifts in insurance coverage costs. The recent surge in patient access through Medicare programs and increased prescription volumes are driving the company's revenue growth.
Goldman Sachs lifted its 12-month price target for Eli Lilly to $1,413, an increase from the previous $1,371 mark. This comes as the company reports strong performance, including 535,000 U.S. prescriptions for Foundayo and a Medicare program reaching 1.1 million patients for Zepbound.
The players
Goldman Sachs
A major global investment bank that provides financial analysis and market research on publicly traded companies.
Eli Lilly
A pharmaceutical manufacturer that produces widely used diabetes and weight-loss medications like Zepbound and Mounjaro.
The details
The price target increase is based on a 28x forward earnings valuation and modeling of earnings per share between $32.77 and $51.68 for 2026 through 2028. This growth is propelled by robust consumer demand for products like Mounjaro, Zepbound, and Foundayo. The pharmaceutical giant recently moved to lower prices on Foundayo, a change that took effect in September, even as it scales manufacturing to meet expanding patient needs.
Timeline
Medicare coverage for Zepbound began on July 1.
Eli Lilly lowered Foundayo prices on September 1.
The company is scheduled to report earnings on October 29.
An investor event is planned for December 7.
Management will provide 2027 guidance in January.
Money Landscape
The pharmaceutical sector is currently experiencing a valuation shift driven by the mass adoption of new metabolic medications. This development follows the wider trend of increased utilization of weight-loss drugs within the public healthcare sector.
Readers monitoring their healthcare expenses should note that changing insurance coverage and manufacturer pricing can affect out-of-pocket costs for prescription medications. Discuss any changes to your medication coverage or pharmacy benefits with your healthcare provider or a licensed financial planner.
The takeaway
The upward revision for Eli Lilly reflects the significant scaling of the company's metabolic health portfolio. Keep an eye on the upcoming earnings report on October 29, which will offer the next major data point on how these prescription volumes are converting into actual corporate profit.
What happens next
Eli Lilly will report its quarterly earnings on October 29 and is expected to provide 2027 financial guidance during an investor call in January.
Further reading
For broader trends, see our coverage of Economic Indicators.
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