Eli Lilly's (LLY) oral GLP-1 drug, orforglipron, met expectations in the phase 3 Achieve-1 trial for type 2 diabetes and reduced hemoglobin A1C with a weight loss of 16 pounds at the highest dose, Truist Securities said in a note on Thursday.
The firm said that the company plans to file for approval of the drug for obesity by year-end and for type two diabetes in 2026, with results of two major obesity focused trials expected in Q3.
Truist said that it does not expect Lilly to face the same supply constraints as current GLP-1 injectables when manufacturing orforglipron and global investments support the potential for a broad commercial launch.
The firm models peak global sales of orforglipron at about $14.7 billion, compared with a consensus estimate of $16.8 billion.
Truist reiterated its buy rating on Lilly's stock and kept the price target unchanged at $1,038.
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