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Here's How LLY's Non-GLP-1 Portfolio Is Poised Ahead of Q2 Earnings
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Key Takeaways
Eli Lilly's Q2 oncology sales are expected to be $2.61 billion, led by Verzenio demand.
LLY's Retevmo and Jaypirca may boost growth, while Alimta and Cyramza face competitive pressure.
Eli Lilly investors will watch Inluriyo, Omvoh, Ebglyss and Kisunla for continued sales growth.
Eli Lilly (LLY - Free Report) is a leader in the GLP-1 market, driven by strong demand for its blockbuster tirzepatide injections, Mounjaro (diabetes) and Zepbound (obesity). In April, Lilly expanded its obesity portfolio with the launch of its oral GLP-1 pill, Foundayo (orforglipron). Investors will be closely watching second-quarter results for sales numbers of Mounjaro and Zepbound, along with early sales trends and management's commentary on Foundayo’s launch uptake.
However, Lilly also generates a meaningful portion of revenues from its oncology franchise. The Zacks Consensus Estimate for Eli Lilly’s overall oncology portfolio sales in the second quarter of 2026 is pegged at $2.61 billion. A significant portion of these revenues is likely to be generated from sales of the company’s blockbuster breast cancer drug, Verzenio. Sales of this drug are expected to have been driven by higher volumes due to increased demand in ex-U.S. and U.S. markets.
Sales of RET inhibitor Retevmo and the newer lymphoma drug Jaypirca are also expected to have contributed positively to top-line growth during the quarter. However, these gains are likely to have been partially offset by lower sales of older cancer drugs like Alimta and Cyramza, which are being impacted by competition from immuno-oncology agents in the United States.
Eli Lilly secured FDA approval for its new breast cancer drug, Inluriyo (imlunestrant), in late 2025 and subsequently launched it in the United States. Investors are expecting sales of the drug to rise sequentially in the second quarter.
Additionally, investors will also be watching sales of Lilly's newer growth products across immunology, dermatology and neuroscience. Drugs such as Omvoh for inflammatory bowel disease, Ebglyss for atopic dermatitis and Kisunla for early Alzheimer's disease have been posting strong growth. These newer medicines are gradually becoming meaningful contributors to revenues.
While another strong quarter from Lilly's GLP-1 franchise is widely expected, investors will also closely monitor sales of its oncology portfolio and other newer medicines. Sustained growth across these businesses would reinforce confidence that Lilly's long-term earnings outlook is increasingly supported by a diversified portfolio rather than being solely dependent on obesity and diabetes treatments ahead of its second-quarter results on Aug. 5.
AstraZeneca generated 48% of its total second-quarter 2026 revenues from oncology drugs, with sales in the segment rising 15% year over year. AZN’s strong oncology performance was driven by medicines such as Tagrisso, Lynparza, Imfinzi, Calquence and Enhertu (in partnership with Daiichi Sankyo).
Merck’s oncology sales grew around 12% in the first quarter of 2026, driven by key oncology medicines, such as PD-L1 inhibitor Keytruda and PARP inhibitor Lynparza, which it markets in partnership with AstraZeneca. MRK’s Keytruda, approved for several types of cancer, alone accounted for about 49% of Merck’s total first-quarter revenues. Pfizer’s first-quarter 2026 oncology revenues grew 9% on a reported basis, driven by drugs like Ibrance, Xtandi, Lorbrena, the Braftovi-Mektovi combination and Padcev. The segment now accounts for about 26% of Pfizer’s overall sales.
Both Merck and Pfizer are expected to report second-quarter results next week.
LLY’s Stock Price, Valuation and Estimates
Shares of Eli Lilly have gained 11.4% year to date compared with the industry’s 12.7% growth. But during the same time frame, the company has outperformed the sector and the S&P 500, as seen in the chart below.
LLY Stock Price Movement
Image Source: Zacks Investment Research
From a valuation standpoint, LLY stock is expensive. Going by the price/earnings ratio, the company’s shares currently trade at 29.40 forward earnings, higher than 19.07 for the industry. However, the stock is trading below its five-year mean of 34.56.
LLY Stock Valuation
Image Source: Zacks Investment Research
Estimates for Eli Lilly’s 2026 earnings have deteriorated from $36.58 to $35.03 per share in the past 60 days, and estimates for 2027 earnings have improved from $44.45 to $44.98 per share over the same time frame.
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Here's How LLY's Non-GLP-1 Portfolio Is Poised Ahead of Q2 Earnings
Key Takeaways
Eli Lilly (LLY - Free Report) is a leader in the GLP-1 market, driven by strong demand for its blockbuster tirzepatide injections, Mounjaro (diabetes) and Zepbound (obesity). In April, Lilly expanded its obesity portfolio with the launch of its oral GLP-1 pill, Foundayo (orforglipron). Investors will be closely watching second-quarter results for sales numbers of Mounjaro and Zepbound, along with early sales trends and management's commentary on Foundayo’s launch uptake.
However, Lilly also generates a meaningful portion of revenues from its oncology franchise. The Zacks Consensus Estimate for Eli Lilly’s overall oncology portfolio sales in the second quarter of 2026 is pegged at $2.61 billion. A significant portion of these revenues is likely to be generated from sales of the company’s blockbuster breast cancer drug, Verzenio. Sales of this drug are expected to have been driven by higher volumes due to increased demand in ex-U.S. and U.S. markets.
Sales of RET inhibitor Retevmo and the newer lymphoma drug Jaypirca are also expected to have contributed positively to top-line growth during the quarter. However, these gains are likely to have been partially offset by lower sales of older cancer drugs like Alimta and Cyramza, which are being impacted by competition from immuno-oncology agents in the United States.
Eli Lilly secured FDA approval for its new breast cancer drug, Inluriyo (imlunestrant), in late 2025 and subsequently launched it in the United States. Investors are expecting sales of the drug to rise sequentially in the second quarter.
Additionally, investors will also be watching sales of Lilly's newer growth products across immunology, dermatology and neuroscience. Drugs such as Omvoh for inflammatory bowel disease, Ebglyss for atopic dermatitis and Kisunla for early Alzheimer's disease have been posting strong growth. These newer medicines are gradually becoming meaningful contributors to revenues.
While another strong quarter from Lilly's GLP-1 franchise is widely expected, investors will also closely monitor sales of its oncology portfolio and other newer medicines. Sustained growth across these businesses would reinforce confidence that Lilly's long-term earnings outlook is increasingly supported by a diversified portfolio rather than being solely dependent on obesity and diabetes treatments ahead of its second-quarter results on Aug. 5.
LLY’s Competition in the Oncology Space
Other bigger players in the oncology space include AstraZeneca (AZN - Free Report) , Merck (MRK - Free Report) and Pfizer (PFE - Free Report) .
AstraZeneca generated 48% of its total second-quarter 2026 revenues from oncology drugs, with sales in the segment rising 15% year over year. AZN’s strong oncology performance was driven by medicines such as Tagrisso, Lynparza, Imfinzi, Calquence and Enhertu (in partnership with Daiichi Sankyo).
Merck’s oncology sales grew around 12% in the first quarter of 2026, driven by key oncology medicines, such as PD-L1 inhibitor Keytruda and PARP inhibitor Lynparza, which it markets in partnership with AstraZeneca. MRK’s Keytruda, approved for several types of cancer, alone accounted for about 49% of Merck’s total first-quarter revenues. Pfizer’s first-quarter 2026 oncology revenues grew 9% on a reported basis, driven by drugs like Ibrance, Xtandi, Lorbrena, the Braftovi-Mektovi combination and Padcev. The segment now accounts for about 26% of Pfizer’s overall sales.
Both Merck and Pfizer are expected to report second-quarter results next week.
LLY’s Stock Price, Valuation and Estimates
Shares of Eli Lilly have gained 11.4% year to date compared with the industry’s 12.7% growth. But during the same time frame, the company has outperformed the sector and the S&P 500, as seen in the chart below.
LLY Stock Price Movement
From a valuation standpoint, LLY stock is expensive. Going by the price/earnings ratio, the company’s shares currently trade at 29.40 forward earnings, higher than 19.07 for the industry. However, the stock is trading below its five-year mean of 34.56.
LLY Stock Valuation
Estimates for Eli Lilly’s 2026 earnings have deteriorated from $36.58 to $35.03 per share in the past 60 days, and estimates for 2027 earnings have improved from $44.45 to $44.98 per share over the same time frame.
LLY Estimate Movement
Eli Lilly currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.