Jim Cramer Believes Eli Lilly’s “Weight Loss Pill Will Be a Blockbuster”

Eli Lilly and Company (NYSE:LLY) is among the stocks in focus, as Jim Cramer analyzed the broader market impact of the recent AI data center rally. Cramer highlighted the FDA approval of the company’s new weight loss pill and its acquisition of Centessa Pharmaceuticals, as he stated:

Today, we got big news from Eli Lilly. The Indianapolis colossus got approval for Foundayo, which is now the only GLP-1 weight loss pill that can be taken any time of day without food or water restrictions. It’s almost as strong as the injections. Starts at $25 per month of commercial coverage or between $149 and $349 per month if you’re paying out of pocket. When placed head-to-head against the competing pill from Novo Nordisk, I think Lilly’s got a winner… Ironically, though, the biggest news from Lilly may have been something that happened yesterday. That’s the acquisition of Centessa Pharmaceuticals, a biotech company, for $7.8 billion.

Centessa is trying to combat narcolepsy and other neurological disorders. They’re working on a neuropeptide called orexin, which is apparently something that people with narcolepsy are missing or don’t have a lot of. It’s possible that orexin can be used for much more than narcopsy… I like what Lilly’s doing here. It’s tackling some of the hardest to treat illnesses, ones that have often baffled and befuddled those drug companies that have attempted to beat mental illness. The path towards successful neurological treatment is littered with failures. The money that Lilly gets from its weight loss drug is being used wisely to come up with breakthrough drugs… Most importantly, though, let’s own the stock because I think this weight loss pill will be a blockbuster. And that’s why we’ve stuck with Eli Lilly for the Charitable Trust.

Stock market data. Photo by Burak The Weekender on Pexels

Eli Lilly and Company (NYSE:LLY) develops and markets medicines for diabetes, obesity, oncology, immunology, neuroscience, and other chronic conditions.

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