Weight Loss: Lying Down or Exercise? Market Choice is $LLY!
One essential topic about weight loss is “exercise,” yet for many, it's difficult to insist.
Nowadays, “weight loss pills” that don't require exercise, dieting, or surgery are gaining unprecedented attention.
Due to the popularity of the weight loss drug Tirzepatide, $Eli Lilly(LLY)$ stock price surged over 75% in the past year, surpassing $Johnson & Johnson(JNJ)$ in market value.
Meanwhile, fitness equipment giant $Peloton Interactive, Inc.(PTON)$ is facing a significant challenge. Back in pandemic periods, its market value soared to nearly $50 billion, but now it has plummeted to less than $2 billion.
The market seems to have made a choice between "lying down" weight loss and "fitness" weight loss.
1. $Eli Lilly(LLY)$ Weight Loss Drugs Tirzepatide Continue to Drive Sales Up
Lilly is making rapid progress in the field of weight loss.
Tirzepatide is a dual-target (GIP/GLP-1) receptor agonist developed by Lilly. By suppressing patients' appetites and increasing energy expenditure, it effectively reduces patients' weight.
In the first half of this year, Tirzepatide's sales reached $1.55 billion, with second-quarter sales hitting $980 million, a 72% increase from the previous quarter. Lilly has also raised its annual sales projection for Tirzepatide to $4 billion.
With the anticipated effectiveness of this weight loss drug, Lilly has become the most valuable pharmaceutical company globally. Competitors such as $Novo-Nordisk A/S(NVO)$ , $Pfizer(PFE)$ , $AstraZeneca PLC(AZN)$ , and $Amgen(AMGN)$ are also vying in this arena. The global weight loss drug market is projected to reach a capacity of $150 billion by 2031.
This impressive financial report has shown investors a highly promising path in the weight loss field. However, whether the capital market is overly optimistic may be a concern for investors at this point.
2. Fitness Giant $Peloton Interactive, Inc.(PTON)$ Falls and Reports Wider Losses
While "miracle weight loss drugs" shine as a prominent investment theme, the once-thriving $Peloton Interactive, Inc.(PTON)$ has fallen.
Founded in 2012, Peloton focuses on home fitness and offers a proprietary interactive stationary bike as its core product. In 2020, the work-from-home trend pushed Peloton's market value to $50 billion.
However, with the end of the remote work era, Peloton's stock price plummeted.
Following the frenzy of 2020, Peloton's stock price experienced fluctuations and declines throughout 2021. The latest quote is $5.41 per share, a decrease of over 97% from its historical high of $171.09 per share.
In the latest earnings, the fitness company posted a wider loss than expected and led to a 22% drop in Peloton's shares.
EPS: -68 cents vs. -38 cents expected
Revenue: $642.1 mln vs. $639.9 mln expected
The company attributed the drop in new subscribers to the recall of its Bike seat post and seasonality.
At the same time, Peloton anticipates Q1 2024 revenue between $580 million and $600 million, below analysts' consensus of $647.8 million. The company also stated that due to the seasonal nature of hardware product sales, inventory payment times, and marketing expenses, positive free cash flow is no longer expected in the next two quarters.
How will you choose: "Lying down" weight loss pills or "exercise" - buy fitness equipment?
Which stock are you bullish on?
Leave your comments and repost to win tiger coins!
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however, I assume $Eli Lilly(LLY)$ would be a bullish, since human nature is a sloth one. why should they bother to take one hour workout every day if they can eat a pill to sum it all. well, in short, you can count on the lazy part of human to take control.
but yes, I'll pretend to do it the hard way of exercising health since the benefit, in my opinion, is far outweight the cost.
🌟🌟🌟In today's competitive world to look good, $Eli Lilly(LLY)$ Tirzepatide provides an quick and easy solution to lose weight in the fastest possible way. Exercising is a slow and much tougher process but a healthier one. No wonder Eli Lilly share price has jumped 51% year todate. Tirzepatide is winner!
Actually Tirzepatide, sold under the brand name Mounjaro is used for Type 2 Diabetes to improve blood sugar control but the the positive effect is weight loss. It is a very expensive drug costing USD 974 for 4 weekly dose.
From its humble beginnings in 1876 Eli Lilly's mission is to create medicines that make life better for people around the world. It ticks all the core fundamentals of a quality stock. It is profitable, has a solid balance sheet and an excellent management team.
I am bullish on Eli Lilly as it has a wide moat due to its proprietary medicines and has exponential growth ahead with new products to propel its growth.
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However, when I reach certain age, I think I no longer motivated to maintain these exercises due to body limitations. Then I would consider lying down method through the pills. I just worry about the longterm negative impacts of those pills on human health. Anyway I am still bullish with $Eli Lilly(LLY)$ for being so innovative and making a rapid progress in the field of weight loss. Bravo! More and more people care about their outlook and body weight, so I believe there's more upside for Lily. How do you think? Slim like a Miss World Miss Universe model or exercise like Usain Bolt?
@koolgal @rL @b1uesky @icycrystal @Universe宇宙 @Aqa @GoodLife99
busy schedule + laziness will win as always for the majority including me! [LOL], that's why $Eli Lilly(LLY)$ will be my choice interms of investment!
However，since & after pandemic, I have built up unhealthy pattern & just get back to better routine & realized how important of exercise is! Yet, $Peloton Interactive, Inc.(PTON)$ will not be my choice as there are plenty of outdoor activities which are more interesting then indoor which we had been restricted to stay at home enough for months/yrs?
Tigehow aborsut you? h
oose: "Lying down" weight loss pills or "exercise" - buy fitness equipment?
Which stock are you bullish on?
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Novo Nordisk has, in recent years, posted record profits, paid hefty dividends, and repurchased shares consistently. This has resulted in the share price rising to historic highs, with the stock having outperformed the S&P 500 by more than 3x in the past 3 years. NVO has, however, become significantly overvalued, and investors may be wondering whether its time to head for the exits. NVO's obesity drug Wegovy could be highly successful, given the prevalence of obesity in the US and globally and the favorable economics of producing and marketing the drug. The massive market opportunities alongside the ongoing market share gain should continue to drive meaningful growth. $Novo-Nordisk A/S(NVO)$