Stock Markets April 30, 2026 04:19 PM

Lilly’s Robust Q1 Performance Raises GLP-1 Market Prospects, Barclays Says

Strong Mounjaro and Zepbound demand lifts guidance and underscores rapid global incretin expansion, with potential implications for Novo Nordisk

By Hana Yamamoto LLY NVO
Lilly’s Robust Q1 Performance Raises GLP-1 Market Prospects, Barclays Says
LLY NVO

Eli Lilly reported first-quarter 2026 results that outperformed expectations on the strength of obesity-focused products Mounjaro and Zepbound. The company raised fiscal 2026 revenue and EPS guidance after Mounjaro and Zepbound beat consensus, with notable international uptake of Mounjaro. Markets for injectable and oral incretin therapies expanded sharply in the quarter, and Lilly discloses early uptake details for its oral GLP-1, Foundayo. Barclays interprets the results as neutral to positive for Novo Nordisk as the GLP-1 market grows amid competitive dynamics.

Key Points

  • Lilly raised fiscal 2026 guidance by $2 billion on revenue and $2.00 on EPS to $82 billion-$85 billion and $35.50-$37.00, citing stronger-than-expected demand for Mounjaro and Zepbound; impacts pharmaceutical and healthcare sector earnings expectations.
  • Mounjaro sales exceeded Bloomberg consensus by 20% and Zepbound by 3%, with Mounjaro showing significant international contribution and leadership outside the U.S.; this affects global incretin market share dynamics.
  • Foundayo oral GLP-1 reached about 20,000 patients with broad retail availability beginning April 9, substantial telehealth distribution (roughly 35% of early volume), and plans for full direct-to-consumer promotion in Q3; this influences retail pharmacy, telehealth and distribution channels.

Eli Lilly and Company posted first-quarter 2026 results that Barclays says highlight continued expansion of the GLP-1 class and carry neutral-to-positive implications for Novo Nordisk. Lilly cited strong demand for its obesity therapies Mounjaro and Zepbound as drivers of an outperformance that prompted management to raise full-year guidance.

The company increased its fiscal 2026 revenue outlook by $2 billion and lifted expected earnings per share by $2.00, taking revenue guidance to $82 billion to $85 billion and EPS guidance to $35.50 to $37.00. Management attributed the revision to stronger-than-forecast uptake of Mounjaro and Zepbound.

Sales dynamics in the period showed Mounjaro delivering results roughly 20% above Bloomberg consensus and Zepbound about 3% above estimates. Lilly reported that Mounjaro’s performance was supported by a sizable contribution from international markets.

Market-share figures disclosed by Lilly indicate its U.S. share of the incretin class reached 60.1%, compared with Novo Nordisk’s 39.4%, while the total U.S. incretin market grew by roughly 30% during the period. Outside the United States, international incretin markets expanded 77% year-over-year, with Lilly taking 53.2% share versus Novo Nordisk’s 46.8% share. Company management said Mounjaro has established market leadership outside the U.S., noting rapid uptake in more than 55 countries and citing about 60% share in select markets such as Brazil and Korea.

Lilly provided details on its oral GLP-1, Foundayo, reporting approximately 20,000 patients on therapy. Broad retail availability for Foundayo began April 9, and the product is offered through more than a dozen telehealth platforms that account for roughly 35% of early volume. The company said over 80% of prescriptions for Foundayo are new-to-incretin patients and that about 45% of early volume has flowed through Lilly Direct. Lilly plans to begin full direct-to-consumer promotion in the third quarter.

On coverage access, Lilly noted a Medicare GLP-1 bridge program that starts July 1 and runs through the end of 2027, carrying an estimated out-of-pocket cost of about $50 per month for beneficiaries. Management expects this program to support patient activation into 2027.

Beyond GLP-1s, Lilly has advanced development programs for eloralintide, a selective amylin receptor agonist, initiating multiple phase 3 studies across indications including obesity, incretin add-on obesity, osteoarthritis knee pain and obstructive sleep apnea.

The company also reported growth in other franchises. Ebglyss generated $145 million in sales, up 141% year-over-year, with U.S. new patient starts increasing by roughly 90%. Pediatric phase 3 data for Ebglyss showed an EASI-75 response rate of 62.6% compared with 21.6% for placebo, and Lilly plans regulatory submissions for the program in 2026.

Barclays frames Lilly’s quarter as evidence that the GLP-1 market is continuing to expand rapidly even as competition intensifies, and notes that these dynamics present neutral-to-positive implications for Novo Nordisk. Novo Nordisk is scheduled to release its first-quarter 2026 results on Wednesday, May 6.


Contextual note - The results disclosed include management commentary on international market shares, patient volumes, and program starts as summarized above. The company’s guidance and clinical program timelines are those provided by Lilly in its first-quarter update.

Risks

  • Competitive dynamics within the GLP-1 class - market expansion is occurring despite competition, which may influence pricing, share shifts and adoption patterns across pharmaceutical competitors and the broader healthcare sector.
  • Regulatory and commercialization uncertainty - Lilly has regulatory submissions planned in 2026 for programs such as pediatric Ebglyss and has initiated multiple phase 3 programs for eloralintide, creating execution and approval risks for the biopharma sector.
  • Time-limited coverage features - Medicare GLP-1 bridge access runs from July 1 through the end of 2027 with about $50 monthly out-of-pocket costs; the limited window may affect patient activation and payer dynamics in the near term.

More from Stock Markets

Asia Stocks Slip as Strait of Hormuz Tensions and RBA Rate Expectations Weigh May 4, 2026 Westpac's H1 profit falls short, cites Middle East conflict and higher credit charges May 4, 2026 Dominican Republic President Orders Halt to GoldQuest Romero Project After Mass Protests May 4, 2026 U.S. Futures Largely Flat as Hormuz Clashes and Oil Spike Temper Appetite May 4, 2026 Regis and Vault agree all-share merger to form A$10.7 billion gold producer May 4, 2026