Eli Lilly Strengthens Position in $150B Obesity Drug Competition Amid Novo and Pfizer Rivalry — Potential Benefits for ETFs
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 30 2025
0mins
Should l Buy PFE?
Source: Benzinga
Healthcare ETFs Capitalizing on Obesity Drug Boom: Healthcare ETFs are benefiting from the $150 billion obesity-drug market, with major players like Eli Lilly, Novo Nordisk, and Pfizer competing for market share, leading to increased investor interest in diversified ETFs.
Eli Lilly's Strong Performance: Eli Lilly's stock rose nearly 5% following impressive third-quarter earnings, prompting a raised profit forecast, while its significant presence in major healthcare ETFs like XLV and IHE highlights its dominance in the sector.
Novo Nordisk's Strategic Moves: Novo Nordisk is making headlines with a $6.5 billion counterbid for biotech Metsera, which is developing innovative weight-loss treatments, intensifying competition in the GLP-1 market against Pfizer's earlier bid.
Emergence of Themed ETFs: The Roundhill GLP-1 & Weight Loss ETF offers a focused investment opportunity in companies leading the anti-obesity trend, reflecting the growing interest in specialized funds within the pharmaceutical landscape.
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Analyst Views on PFE
Wall Street analysts forecast PFE stock price to rise
16 Analyst Rating
5 Buy
11 Hold
0 Sell
Moderate Buy
Current: 27.260
Low
24.00
Averages
28.56
High
35.00
Current: 27.260
Low
24.00
Averages
28.56
High
35.00
About PFE
Pfizer Inc. is a research-based, global biopharmaceutical company. The Company is engaged in the discovery, development, manufacture, marketing, sale and distribution of biopharmaceutical products worldwide. Its Biopharma segment includes the Pfizer U.S. Commercial Division, and the Pfizer International Commercial Division. Its product categories include oncology, primary care and specialty care. Its oncology products include Ibrance, Xtandi, Padcev, Adcetris, Inlyta, Lorbrena, Bosulif, Tukysa, Braftovi, Mektovi, Orgovyx, Elrexfio, Tivdak and Talzenna. Its primary care products include Eliquis, Nurtec ODT/Vydura, Zavzpret, the Prevnar family, Comirnaty, Abrysvo, FSME/IMMUN-TicoVac, Nimenrix, Trumenba, and Paxlovid. Its specialty care products include Xeljanz, Enbrel (outside the United States and Canada), Inflectra, Abrilada, Cibinqo, Litfulo, Eucrisa, Velsipity, the Vyndaqel family, Genotropin, BeneFIX, Xyntha, Somavert, Ngenla, Hympavzi, Sulperazon, Zavicefta, Octagam and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Reasons to Invest in Pfizer Stock
- Market Performance Analysis: Pfizer's market capitalization stands at $154 billion, and despite an average annual loss of 8.8% over the past three years, the stock has risen 10.4% year-to-date, indicating some market recovery potential.
- Dividend Attraction: With a dividend yield of 6.4%, Pfizer's steady payment of 349 consecutive dividends, despite a modest average annual growth of 3% over the past five years, underscores the company's financial stability.
- R&D Investment Outlook: Pfizer invested $10.4 billion in research and development in 2025, actively developing 102 drug candidates, with 32 in late-stage Phase 3, showcasing significant future growth potential.
- Operational Growth Situation: The company's recent fourth-quarter results showed a 3% year-over-year revenue decline, but operational growth reached 9% when excluding the impacts of COVID-19 vaccine and Paxlovid, indicating resilience in its core business.
See More
PFIZER CEO CLAIMS FDA CBER DIRECTOR IS IGNORING STAFF RECOMMENDATIONS - TD COWEN CONFERENCE
Pfizer CEO's Statement: The CEO of Pfizer has criticized the current director of the FDA, stating that he is not adhering to the recommendations provided by his staff.
Concerns Over FDA Leadership: This statement raises concerns about the leadership and decision-making processes within the FDA, particularly regarding drug approvals and public health policies.
See More
ParaZero Appoints New VP of Global Sales
- Executive Appointment: ParaZero Technologies has appointed Bat-Sheva Noy as the new Vice President of Global Sales, and with over 20 years of commercial and leadership experience, her addition is expected to drive the company's global expansion in the drone safety and aerospace sector.
- Extensive Industry Background: Noy's previous role as Business Unit Lead for Rare Diseases at Pfizer involved strategy development and overall business performance, which will provide crucial support for ParaZero's market access and team development efforts.
- Educational and Military Experience: Noy holds an LL.B. in Law and a B.Sc. in Chemistry and Biology, and her service as an optical systems instructor in the Israel Defense Forces adds a solid foundation to her leadership capabilities and technical understanding.
- Company Vision: ParaZero aims to redefine the boundaries of aerial operations with intelligent, mission-ready systems, and Noy's appointment is expected to enhance the company's competitiveness in the rapidly evolving drone market.
See More
FDA Faces Criticism Amid Innovation Challenges
- Regulatory Standards Controversy: Congressman Jake Auchincloss criticized FDA Commissioner Marty Makary for replacing standards of safety and efficacy with fear and favoritism, undermining patient confidence in new therapies and impacting the market launch of innovative drugs.
- Staffing Losses: The FDA has experienced significant staff reductions in its Center for Drug Evaluation and Research, with oncology review staff dropping from about 100 to below 60, which may lead to approval delays and incomplete response letters.
- Decline in Accelerated Approvals: In 2024, the FDA approved 20 drugs through the accelerated approval process, down from 9 the previous year, indicating a direct impact on drug approval efficiency due to the loss of experienced reviewers.
- New Therapy Approval Pathways: The FDA proposed a new system for approving personalized drugs aimed at rare diseases, intending to provide more flexible approval pathways, but this change has sparked widespread controversy, affecting the agency's core mission.
See More
Eli Lilly Faces Challenges Amid GLP-1 Drug Success
- Sales Growth Dependency: Eli Lilly's Mounjaro and Zepbound drugs achieved impressive sales growth of 99% and 175% in 2025, respectively, yet these two drugs account for nearly 45% of the company's total sales, raising concerns about the sustainability of such growth.
- Overvaluation Concerns: Despite the strong performance of Eli Lilly's drugs, its stock price has surged to a price-to-earnings ratio of 44, with a meager dividend yield of 0.6%, indicating that the market's expectations for future growth may be overly optimistic.
- Competitors' Opportunities: GLP-1 competitors Novo Nordisk and Pfizer offer more attractive investment profiles with dividend yields of 4.57% and 6.31%, respectively, and price-to-earnings ratios of 10 and 20, especially as Eli Lilly faces risks from patent expirations.
- Intensifying Industry Competition: While Eli Lilly's success in the GLP-1 space is notable, it may overshadow the risks it faces; as competition intensifies, the strong historical performance of Novo Nordisk and Pfizer could enable them to rebound in the market, presenting new opportunities for investors.
See More
Eli Lilly's GLP-1 Drug Sales Surge
- Significant Sales Growth: Eli Lilly's Mounjaro and Zepbound drugs achieved sales increases of 99% and 175% respectively in 2025; however, such growth may not be sustainable, introducing uncertainty into the company's future performance.
- Market Share Risk: These two GLP-1 drugs account for 56% of Eli Lilly's total revenue, and with patent protections set to expire, the company may face a substantial revenue gap that could impact its long-term financial health.
- Competitor Dynamics: While Novo Nordisk and Pfizer lag in the GLP-1 market, Novo Nordisk recently launched an oral GLP-1 medication, and its dividend yield stands at 4.9%, indicating its ongoing competitiveness in the market.
- Investor Sentiment Analysis: Despite Eli Lilly's stock price surging due to market enthusiasm, resulting in a high P/E ratio of 44 and a meager dividend yield of 0.6%, analysts suggest that investors consider competitors like Novo Nordisk and Pfizer for potentially better returns.
See More
Reasons to Invest in Pfizer Stock
- Market Performance Analysis: Pfizer's market capitalization stands at $154 billion, and despite an average annual loss of 8.8% over the past three years, the stock has risen 10.4% year-to-date, indicating some market recovery potential.
- Dividend Attraction: With a dividend yield of 6.4%, Pfizer's steady payment of 349 consecutive dividends, despite a modest average annual growth of 3% over the past five years, underscores the company's financial stability.
- R&D Investment Outlook: Pfizer invested $10.4 billion in research and development in 2025, actively developing 102 drug candidates, with 32 in late-stage Phase 3, showcasing significant future growth potential.
- Operational Growth Situation: The company's recent fourth-quarter results showed a 3% year-over-year revenue decline, but operational growth reached 9% when excluding the impacts of COVID-19 vaccine and Paxlovid, indicating resilience in its core business.
See More
PFIZER CEO CLAIMS FDA CBER DIRECTOR IS IGNORING STAFF RECOMMENDATIONS - TD COWEN CONFERENCE
Pfizer CEO's Statement: The CEO of Pfizer has criticized the current director of the FDA, stating that he is not adhering to the recommendations provided by his staff.
Concerns Over FDA Leadership: This statement raises concerns about the leadership and decision-making processes within the FDA, particularly regarding drug approvals and public health policies.
See More
ParaZero Appoints New VP of Global Sales
- Executive Appointment: ParaZero Technologies has appointed Bat-Sheva Noy as the new Vice President of Global Sales, and with over 20 years of commercial and leadership experience, her addition is expected to drive the company's global expansion in the drone safety and aerospace sector.
- Extensive Industry Background: Noy's previous role as Business Unit Lead for Rare Diseases at Pfizer involved strategy development and overall business performance, which will provide crucial support for ParaZero's market access and team development efforts.
- Educational and Military Experience: Noy holds an LL.B. in Law and a B.Sc. in Chemistry and Biology, and her service as an optical systems instructor in the Israel Defense Forces adds a solid foundation to her leadership capabilities and technical understanding.
- Company Vision: ParaZero aims to redefine the boundaries of aerial operations with intelligent, mission-ready systems, and Noy's appointment is expected to enhance the company's competitiveness in the rapidly evolving drone market.
See More
FDA Faces Criticism Amid Innovation Challenges
- Regulatory Standards Controversy: Congressman Jake Auchincloss criticized FDA Commissioner Marty Makary for replacing standards of safety and efficacy with fear and favoritism, undermining patient confidence in new therapies and impacting the market launch of innovative drugs.
- Staffing Losses: The FDA has experienced significant staff reductions in its Center for Drug Evaluation and Research, with oncology review staff dropping from about 100 to below 60, which may lead to approval delays and incomplete response letters.
- Decline in Accelerated Approvals: In 2024, the FDA approved 20 drugs through the accelerated approval process, down from 9 the previous year, indicating a direct impact on drug approval efficiency due to the loss of experienced reviewers.
- New Therapy Approval Pathways: The FDA proposed a new system for approving personalized drugs aimed at rare diseases, intending to provide more flexible approval pathways, but this change has sparked widespread controversy, affecting the agency's core mission.
See More
Eli Lilly Faces Challenges Amid GLP-1 Drug Success
- Sales Growth Dependency: Eli Lilly's Mounjaro and Zepbound drugs achieved impressive sales growth of 99% and 175% in 2025, respectively, yet these two drugs account for nearly 45% of the company's total sales, raising concerns about the sustainability of such growth.
- Overvaluation Concerns: Despite the strong performance of Eli Lilly's drugs, its stock price has surged to a price-to-earnings ratio of 44, with a meager dividend yield of 0.6%, indicating that the market's expectations for future growth may be overly optimistic.
- Competitors' Opportunities: GLP-1 competitors Novo Nordisk and Pfizer offer more attractive investment profiles with dividend yields of 4.57% and 6.31%, respectively, and price-to-earnings ratios of 10 and 20, especially as Eli Lilly faces risks from patent expirations.
- Intensifying Industry Competition: While Eli Lilly's success in the GLP-1 space is notable, it may overshadow the risks it faces; as competition intensifies, the strong historical performance of Novo Nordisk and Pfizer could enable them to rebound in the market, presenting new opportunities for investors.
See More
Eli Lilly's GLP-1 Drug Sales Surge
- Significant Sales Growth: Eli Lilly's Mounjaro and Zepbound drugs achieved sales increases of 99% and 175% respectively in 2025; however, such growth may not be sustainable, introducing uncertainty into the company's future performance.
- Market Share Risk: These two GLP-1 drugs account for 56% of Eli Lilly's total revenue, and with patent protections set to expire, the company may face a substantial revenue gap that could impact its long-term financial health.
- Competitor Dynamics: While Novo Nordisk and Pfizer lag in the GLP-1 market, Novo Nordisk recently launched an oral GLP-1 medication, and its dividend yield stands at 4.9%, indicating its ongoing competitiveness in the market.
- Investor Sentiment Analysis: Despite Eli Lilly's stock price surging due to market enthusiasm, resulting in a high P/E ratio of 44 and a meager dividend yield of 0.6%, analysts suggest that investors consider competitors like Novo Nordisk and Pfizer for potentially better returns.
See More
