Analysts at Wells Fargo have named Eli Lilly as a top pick within the biotechnology sector, citing improved supply and tailwinds from key drug trials as growth drivers for the company. Despite a significant surge in its stock price this year, Wells Fargo believes that Eli Lilly still has room for growth, especially as key catalysts such as the Surpass-CVOT trial and pivotal readouts for Orforglipron/Retatrutide approach in 2025/26. The firm maintains an overweight rating on Eli Lilly and has set a price target of $1,000 per share, implying more than 8% upside from the previous day’s close at $921.81. Analyst Mohit Bansal emphasized that the company’s manufacturing capabilities and wealth of data will create a strong competitive advantage, making them less concerned about new competition in the longer term.
Meanwhile, Edward Jones initiated coverage of AMD with a buy rating, highlighting the chipmaker’s strong position in the market amidst growing demand for data centers. With no signs of data center demand slowing down, AMD is expected to continue its growth trajectory. The recent acquisition of semiconductor firm Xilinx is seen as a strategic move by AMD to expand its chip offerings and tap into new markets. Analyst Logan Purk mentioned that AMD is still in the early stages of cross-selling and integrating Xilinx and AMD products, indicating the potential for further growth. Additionally, the rise of AI-enabled PCs could drive a longer upgrade cycle, supporting higher growth for the PC market and benefiting companies like AMD.
Analysts are optimistic about the future prospects of both Eli Lilly and AMD. While Eli Lilly is positioned as a top pick with upcoming key catalysts, AMD is expected to benefit from the continued demand for data center technologies and strategic acquisitions. Investors looking for growth opportunities in the biotechnology and semiconductor sectors may find these companies attractive options to consider for their portfolios.