NEW YORK, December 31, 2025, 13:48 ET — Regular session
- Eli Lilly shares dipped in muted year-end trading, tracking a broader, slight slip on Wall Street.
- Fresh reports on drug price cuts in China and a planned U.S. list-price reset kept attention on pricing power going into 2026.
- A regulatory filing showed the company’s largest shareholder trimmed its stake by a small amount.
Eli Lilly shares edged lower on Wednesday as investors weighed new signals that blockbuster diabetes and obesity drugs are heading into 2026 with lower price tags in some markets. The stock was down 0.1% at $1,078.95 by 1:48 p.m. ET, after trading between $1,076.86 and $1,083.25.
The pricing debate matters for Lilly because its growth story is dominated by GLP-1 drugs, a class of diabetes and obesity treatments that mimic a gut hormone to curb appetite and lower blood sugar. Moves that broaden access can lift volumes, but price cuts can pressure revenue per dose.
The timing is awkward for drugmakers. Early January is the industry’s busiest window for annual U.S. price resets, and governments and insurers are pushing harder for lower costs as weight-loss medicines move from a niche therapy to mass-market demand.
In China, Novo Nordisk and Lilly are cutting prices on their top-selling obesity drugs, Wegovy and Mounjaro, according to the Danish drugmaker and Chinese suppliers. Novo said it cut Wegovy’s price by 48% in two provinces, while a listing on a Meituan platform showed a projected cost of about 445 yuan ($61) for a 10 mg Mounjaro pen, down from 2,180 yuan, and a Nanjing hospital’s WeChat account said Mounjaro prices would fall from Jan. 1 without giving details. 1
In the United States, data from healthcare research firm 3 Axis Advisors showed drugmakers plan to raise list prices — the sticker price before rebates and other discounts — on at least 350 branded medicines in 2026, even as the Trump administration presses for cuts. The same data showed planned list-price reductions on around nine drugs, including a more than 40% cut for Boehringer Ingelheim and Lilly’s diabetes drug Jardiance and related treatments tied to Medicare price negotiations. 2
Pressure on pricing is also showing up in how Lilly and rivals are trying to sell the next wave of obesity treatments. Industry executives and investors told Reuters the market is shifting toward direct-to-consumer channels and cash-pay options as Novo and Lilly push toward pill versions; Novo’s once-daily Wegovy pill is expected to launch in early January 2026, while Lilly’s oral drug orforglipron is under regulatory review and could reach the market within months. Lilly CEO Dave Ricks framed the strategy bluntly in a November podcast: “I can charge less and get it to more people at scale,” he said. 3
A separate catalyst landed on the U.S. regulatory tape. A Form 4 filing — the Securities and Exchange Commission’s disclosure of insider transactions — showed Lilly Endowment Inc, a director and more-than-10% holder, sold 3,593 shares on Dec. 29 at a weighted average price of $1,085.035, leaving it with 92,190,516 shares. 4
Lilly also appeared in regulatory headlines through a smaller partner program. Vanda Pharmaceuticals said the U.S. Food and Drug Administration approved its motion-induced vomiting drug Nereus (tradipitant), which Vanda licensed from Lilly in 2012, with a launch expected in the coming months. 5
The broader tape offered little help. Major U.S. indexes slipped in light year-end trading, with tech shares weighing even as Wall Street headed toward another year of double-digit gains, Reuters reported. 6
For Lilly investors, the near-term question is whether price moves aimed at widening access — in China and through U.S. list-price resets — can expand demand without eroding margins more than expected. Traders will also watch whether rivals accelerate discounting as China’s obesity market becomes more competitive.
The next read-through could come quickly. Lilly is scheduled to present at the 44th annual J.P. Morgan Healthcare Conference on Jan. 13, and its investor calendar lists a fourth-quarter earnings call on Feb. 4. 7
