LLY is a long-term buy due to GLP-1 market leadership, next-gen drug pipeline (retatrotide), and diversified healthcare portfolio.

Okay , now I'm going to move on to a completely different sector, which is the healthcare sector . I will talk about Eli Lilly. Again, this may not have been a name that many investors were following, unless you were following the healthcare and pharmaceutical sectors until the last couple of years, with the GLP-1 boom.

Bearing in mind that Eli Lilly is one of the oldest continuously operating pharmaceutical companies. Founded in 1876, Eli Lilly has been one of the world's largest pharmaceutical companies for 150 years, historically best known for producing insulin.

In fact, it was the first company to produce insulin commercially in the 1920s.

But of course, Eli Lilly’s growth, especially over the past two years, is due to its success with GLP -1 drugs, such as Mongaro for type 2 diabetes and Zippon for obesity.

I would like to emphasize that this company has diversified its activities in the healthcare sector, from oncology drugs to immunotherapy drugs, all the way to targeted drugs...

Eli Lilly has treated many neurological conditions for many years , and has remained a leader in these industries. This is part of its growth story, although the market and investors are particularly focused on the GLP-1 aspect.

Terziopatide , the key ingredient in Manjaro and Zipbound, emerged as the best choice in its category, outperforming Novo Nordisk's Ozembeek and Wegovi.

Eli Lilly has managed to capture a large market share and is now the leading company in this field, ahead of its competitors. In April of this year, Eli Lilly received approval for Zybound, an oral GLP-1 drug, which is very important .

Injectable drugs have limited uses, as some patients refuse to start or continue self-injection, no matter how effective it is, whereas the tablet completely removes this obstacle .

Zipbound, despite having been launched only a few months ago, is already enjoying widespread popularity. They represent approximately 30% of all new patients taking GLP-1 medication in the United States .

Therefore, they are rapidly gaining market share with these new launches.

One of the most important developments to watch with Eli Lilly is what happens next, because of course in this field, when you launch a new and successful drug, the market is watching what happens next.

What is your next-generation product? Well, for Eli Lilly, it's a drug called retarotide.

This drug primarily works by activating three different metabolic hormone receptors simultaneously, instead of just two in its two main drugs, Mongaro and Zippon, through five separate clinical trials in their final stages so far.

Ritatrotide has achieved the strongest efficacy data reported to date in this entire drug class . One trial showed a weight loss of approximately 27% after adjusting for the placebo.

This goes far beyond what current GLP-1 drugs offer, in addition to real improvements in blood sugar control, cardiovascular risk , and even joint pain in patients with other related conditions.

Therefore, Eli Lilly will be submitting an application for approval of retatrotide in the first quarter of 2027. I have seen Wall Street estimates that suggest retatrotide sales will reach nearly $4 billion annually by 2030. This is probably a conservative estimate.

In addition, Eli Lilly is rapidly expanding its product line of glucagon-like peptide-1 (GLP-1) receptor agonists . Mongaro has recently been added to the list of medicines covered by health insurance in China.

Mongaro's revenues outside the United States are now growing at a faster pace than its revenues in the United States, although Eli Lilly holds the largest share of all GLP-1 prescription drugs and medications taken by patients.

This business generated revenues of $23 billion in the last quarter alone, an increase of approximately 50% year-on-year . Approximately half of these revenues came from GLP-1 products.

As for Zippond, a GLP- 1 inducer that was approved this spring, it generated revenues of approximately $100 million in its first quarter on the market .

And yet...we are still at the beginning. So, as you know, there is tremendous success in the field of GLP -1 products, and very promising candidates for the next generation. This is a high-value stock compared to most healthcare companies.

Price-to- earnings multiples are much higher than what we typically see from competitors. But this actually comes down to what we've seen in terms of how the company's growth story has transformed.

I would like to reiterate that this is one of the oldest pharmaceutical companies in this field. They have a very profitable and attractive investment portfolio outside of GLP-1 products.

GLP-1's actions have certainly revalued the company and the stock. I think it's still a really great company to buy and hold for the long term. They have been distributing profits in one form or another for more than a century now.

Therefore, Eli Lilly stock is definitely an attractive stock to buy and hold in my opinion. I mean, when you look at it , you might think they're selling graphics processing units given the size of the business growth and the stock.

But yes, this is once again one of those names outside of an AI success story .

Of course, it is certainly helpful that one of your main competitors, Novo Nordisk, is not performing well. Isn't that so? In such a growth environment , the main competitor, which was previously a leader, did not perform well.

This helps Eli Lilly continue to perform and grow rapidly.

As I mentioned regarding SoFi, its price-to- earnings ratio is higher than the rest because it is the best in its category, and because it continues to grow. Free cash flow was expected to grow at a faster pace than revenue growth.

Therefore, it is constantly becoming more profitable. With this additional cash flow , it either invests in its next product or rewards investors with share buybacks or dividend distributions.

It is an excellently managed company, and it has made the most of this positive momentum .

Interestingly, as you know, Eli Lilly and Novo Nordisk, which recently rebranded as Novo, have been trading , from a share price perspective, fairly closely together . Then, of course, both of them... the two companies were very close in the GLP-1 race.

Their respective GLP-1 drugs interact with the body in different ways.

But we have seen, consistently, quarter after quarter, Eli Lilly's clear financial performance outperform Novo. The implementation strategies were completely different. Eli Lilly has spent billions of dollars building its domestic manufacturing infrastructure.

She has worked hard to protect her supply chain from the mistakes of external suppliers.

Eli Lilly was then able to gain market share very quickly, something Novo found extremely difficult to catch up with. From an effectiveness perspective, its results were generally better .

So, it's certainly a growth story for both companies, but I think if we look at this area, Eli Lilly is the more attractive competitor for growth.

The story is long-term. In summary, their investment portfolio is also much more diversified with a wide range of other growth-oriented products outside the scope of GLP-1.