Skip to content

Eli Lilly (LLY) Stock Rallies Premarket On FDA Breakthrough Designation for Donanemab

Sam Boughedda
Sam Boughedda trader
Updated 24 Jun 2021

Practice Stock Trading Your Capitals Is At Risk
Eli Lilly Rigal Pharmaceuticals Deal

Shares of Eli Lilly (NYSE: LLY) are up over 8% premarket on Thursday after revealing that the FDA has granted Breakthrough Therapy designation for donanemab.

new-recommended-broker-banner

Donanemab is Eli’s investigational antibody therapy for Alzheimer’s disease.

Breakthrough Therapy designation is a process designed to expedite the development and review of drugs intended to treat a serious condition when evidence suggests that the drug may demonstrate substantial improvement on a clinically significant endpoint(s) over already available therapies that have received full FDA approval.

Eli Lilly’s Phase 2 trial, TRAILBLAZER-ALZ, studied the efficacy and safety of donanemab in patients with early, symptomatic Alzheimer’s disease.

The company said it intends to submit a biologics license application under the accelerated approval pathway later this year based on data from the TRAILBLAZER-ALZ trial. The safety, tolerability and efficacy of donanemab are also being evaluated in the ongoing Phase 3 study.

Eli Lily’s share price is trading 8.25% higher premarket at $235. So far this year, it is up 28.58%.

Should you invest in Eli Lilly shares?

If you’re a smart investor, you will know that having large-cap stocks in your portfolio is vital. They are more mature companies, considered safer investments, trade with less volatility, have greater analyst coverage, and in most cases, have a steady dividend stream. Due to the current market environment, we think now is the perfect time to add large-cap stocks to your portfolio. But which large-cap shares should you buy? Our stock analysts regularly review the market and share their picks for some of the best large-caps to invest in

Sam Boughedda
Sam is a trader and lead stock market writer at AskTraders. After starting his career in the forex market, Sam now focuses on stocks, specifically consumer staples.