Is LLY a good stock to buy? We came across a bullish thesis on Eli Lilly and Company on Investomine’s Substack. In this article, we will summarize the bulls’ thesis on LLY. Eli Lilly and Company’s share was trading at $1,008.39 as of March 9th. LLY’s trailing and forward P/E were 43.15 and 28.90 respectively according to Yahoo Finance.
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Eli Lilly and Company discovers, develops, manufactures, and markets human pharmaceutical products in the United States and internationally. LLY delivered exceptional Q4 and full-year 2025 results, reinforcing its transformation into a high-growth pharmaceutical leader driven by the success of its tirzepatide franchise, which includes Mounjaro for diabetes and Zepbound for obesity.
The company reported Q4 revenue of $19.3 billion, up 43% year-over-year, with reported EPS of $7.39 and non-GAAP EPS of $7.54. For the full year, revenue reached $65.2 billion, representing 45% growth, while reported net income nearly doubled to $20.6 billion.
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Growth was largely volume-driven as demand for tirzepatide surged globally, offset slightly by pricing pressures as obesity treatment access expanded. Mounjaro generated $7.4 billion in Q4 revenue and $23.0 billion for the full year, while Zepbound delivered $4.3 billion in Q4 sales and $13.5 billion in its first full year, making it one of the fastest-growing drug launches in pharmaceutical history. While other products such as Verzenio continued to generate stable revenue, Lilly’s growth profile is now firmly centered on its obesity and cardiometabolic portfolio.
Despite aggressively increasing investments in manufacturing expansion, R&D, and commercial infrastructure, Lilly maintained elite profitability with gross margins above 82%. R&D spending rose sharply as the company advanced next-generation assets such as oral GLP-1 candidate orforglipron and triple agonist retatrutide, both of which could significantly extend its leadership in obesity treatment.
The company is also undertaking massive manufacturing expansions, including multi-billion-dollar facilities in the U.S. and Europe, to support long-term demand. Looking ahead, management expects 2026 revenue between $80 billion and $83 billion and non-GAAP EPS of up to $35.00. Overall, Eli Lilly appears well positioned for sustained growth, supported by strong demand for tirzepatide, a deep pipeline, and expanding manufacturing capacity.
Previously, we covered a bullish thesis on Eli Lilly and Company (LLY) by Kontra in May 2025, which highlighted the company’s leadership in obesity and diabetes therapies, strong Q1 revenue growth, high-margin tirzepatide sales, and a deep pipeline including orforglipron. LLY’s stock price has appreciated by approximately 26.98% since our coverage. Investomine shares a similar view but emphasizes full-year 2025 results, record tirzepatide revenue, and large-scale manufacturing expansion as key growth drivers.
Eli Lilly and Company is on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 137 hedge fund portfolios held LLY at the end of the fourth quarter which was 114 in the previous quarter. While we acknowledge the risk and potential of LLY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than LLY and that has 10,000% upside potential, check out our report about this cheapest AI stock.
Disclosure: None.
