Why Eli Lilly Stock Flopped Today
Eli Lilly (NYSE: LLY) stock has had plenty of good trading sessions over the past year or so, but Monday's sure wasn't among them. The storied pharmaceutical company's shares lost nearly 5% of their value during the big market sell-off that day, and it wasn't only because of the general gloom. That drop compared rather unfavorably to the relatively light 2.7% swoon of the S&P 500 (SNPINDEX: ^GSPC).
That negative investor reaction was directed at companies involved in the white-hot weight loss drug segment of the market (Eli Lilly is the pharmaceutical giant behind a popular one, Zepbound).
That morning, Wegovy maker Novo Nordisk announced the latest clinical trial results for an advanced obesity drug it's developing, CagriSema. Participants treated with CagriSema achieved weight loss of 15.7% after the 68-week duration of the trial. The drug seemed to have demonstrated a safe, well-tolerated profile.
Source Fool.com
