Has Lilly’s Obesity Drug Boom Pushed Its 2025 Valuation Too Far?
The article evaluates Eli Lilly's stock valuation amidst its significant growth, driven by obesity and diabetes treatments. Despite a 32.1% year-to-date increase, a valuation framework scores it 1/6, indicating it's expensive by traditional metrics. A DCF analysis suggests it's undervalued by 19.4%, while a PE ratio analysis finds it overvalued. The article introduces "Narratives" for a holistic valuation approach, linking company stories to financial forecasts.
