This Healthcare Company Just Touched $1 Trillion in Market Cap. Should You Invest $1,000?

Core Insights - Eli Lilly has joined the exclusive trillionaire club, becoming the first healthcare company to reach a market capitalization of $1 trillion, driven by the success of its GLP-1 drug, tirzepatide [1][2] Company Performance - Eli Lilly's share price increased by 1.7% on November 21, briefly reaching a market cap of $1 trillion, before settling around $950 billion later that day. The company regained the $1 trillion cap in intra-day trading on the following Monday [2] - The company's shares have risen 38% in 2025 and 645% over the past five years, indicating strong growth potential [3] Market Dynamics - Tirzepatide, marketed as Mounjaro for type 2 diabetes and Zepbound for weight loss, has become the best-selling drug globally, surpassing Merck's Keytruda [5] - The GLP-1 medication market, valued at approximately $52 billion in 2024, is projected to grow to $187 billion by 2032, reflecting a compound annual growth rate of nearly 17% [6] Competitive Position - Eli Lilly holds a dominant 58% share of the GLP-1 drug market as of the third quarter [6] - The company is set to release a pill form of its best-selling drug, further enhancing its market position [9] Regulatory Developments - In early November, Eli Lilly and competitor Novo Nordisk reached an agreement with the Trump administration to significantly reduce prices for their anti-obesity drugs for Medicare and Medicaid patients, in exchange for a three-year grace period from tariffs [10] - The price of Zepbound for Medicare and Medicaid patients will decrease from $1,000 to $299 for a month's supply, providing greater access to a large patient base [11]