Eli Lilly is on track to close with a higher market cap than J&J for the first time since 1997 -Dlight News

Eli Lilly is on track to close with a higher market cap than J&J for the first time since 1997

Eli Lilly & Co. was on track to close with a larger market capitalization than Johnson & Johnson on Friday for the first time since October 1997, according to Dow Jones market data. The stock LLY, +0.25% has been rising since the release in early May of positive data from an Alzheimer’s disease treatment trial that showed significant cognitive and functional decline in patients with early symptomatic Alzheimer’s disease. About half, or 7% of participants, had no clinical progression at one year, compared with 29% on placebo. The drug, called donemab, slowed clinical decline by 35% compared with placebo and resulted in 40% less decline in the ability to perform activities of daily living, including managing finances, driving, engaging in hobbies and communicating about current events, the company said. . The company plans to move forward with global regulatory submissions as quickly as possible and expects to make a submission to the US Food and Drug Administration this quarter. For more, see: Eli Lilly’s stock jumped 5% after an Alzheimer’s treatment not only slowed disease progression in a key trial. In April, Eli Lilly released data on its new obesity drug tirzepetide that showed patients in the trial lost 15.7% of their body weight, or about 34.4 pounds. More than 80% of people taking tirzepetide lost at least 5% of their body weight, the company said, compared with about 30% of people taking a placebo. The degree of average weight loss seen in the trial “had not been previously achieved” in similar phase 3 trials, Dr. Jeff Amick, senior vice president for product development at Lilly, said in a statement. Source: FactSet, Dow Jones Market Data Co. is planning a regulatory submission for that drug later this year. Tirzepatide was approved by the FDA last year as Mounjaro, a type 2 diabetes treatment. Lilly has several other pipeline prospects, including labricizumab, a treatment for atopic dermatitis; Miricizumab for ulcerative colitis; empagliflozin, treatment of chronic kidney disease; and pirtobrutinib for relapsed/refractory mantle cell lymphoma. Lilly’s stock is up nearly 20% year to date and 50% over the past 12 months. Johnson & Johnson stock JNJ, -0.39% , meanwhile, is down 9% year-to-date and is down about the same over the past 12 months. The company posted a loss in the first quarter as it booked a multibillion-dollar charge to settle lawsuits stemming from its talc-containing powder. J&J booked a one-time litigation charge of $6.9 billion related to lawsuits filed by people alleging that the company’s talc-containing powder caused cancer, asbestos poisoning and other illnesses. The company has offered to pay at least $8.9 billion to settle the suit, removing the overhang on the stock. For more, see: J&J’s proposal to settle talc claims for $8.9 billion sends the stock the highest it’s been in a year

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