Lilly extends China innovation push in $3.35B Innocare deal

Eli Lilly (LLY) gained FDA approval for Onswik, a weekly basal insulin for type 2 diabetes, driving a 2.68% 1-day share price increase. The company's 1-year total return is 66.44%, with a 5-year return of 4.4x. Analysts debate its valuation, with some arguing it's undervalued at $1,181.89, citing growth prospects, while others highlight risks like debt and pricing pressures.

A California jury ruled Eli Lilly breached a co-development agreement with Nektar Therapeutics for the drug Rezpeg, awarding Nektar $90 million. The verdict found Lilly violated the implied covenant of good faith and fair dealing.

Novo Nordisk will cut U.S. list prices for Ozempic and Wegovy by 34% and 50% respectively, starting in 2027. Eli Lilly's new GLP-1 pill, Foundayo, was approved by the FDA. Prices vary by insurance coverage. Some employers, like PepsiCo and Cigna, are ending weight loss drug coverage. New drugs from Lilly, Novo Nordisk, and Amgen are in development.

The FDA approved Eli Lilly's once-weekly basal insulin drug, Efsitora, for adults with type 2 diabetes. The drug is designed to reduce injections by over 300 per year. Efsitora will be available in prefilled pens with two concentrations. The approval was supported by phase 3 clinical trials showing noninferiority to once-daily insulin. Efsitora is the second long-acting, once-weekly insulin approved by the FDA, following Novo Nordisk's Awiqli.

Starbucks (SBUX) plans to close 250 underperforming North American cafes, expecting $300M in restructuring charges and lowering its fiscal 2026 net new store opening forecast. Analysts view the move positively. Eli Lilly (LLY) gained FDA approval for its weekly insulin Onswik, though its impact on sales is expected to be minimal. Lilly shares rose 3%. Costco (COST) reports earnings after the bell, with focus on membership metrics and margins.

The FDA approved Eli Lilly's Onswik, a once-weekly basal insulin, for adults with type 2 diabetes. The approval is based on four phase 3 studies showing its efficacy in controlling glucose levels. Onswik is the second such insulin approved by the FDA, following Novo Nordisk's Awiqli. Lilly plans to launch the Onswik KwikPen in the U.S. in the coming months.