Although Eli Lilly And Co (LLY  ) reported its fourth-quarter revenues and earnings ahead of consensus estimates, backed by higher sales of Zepbound and Mounjaro, according to Scotiabank.

The Eli Lilly Analyst: Analyst Louise Chen maintained a Sector Outperform rating, while raising the price target from $1,165 to $1,300.

The Eli Lilly Thesis: The company reported sales and earnings of $19,292 million and $7.54 per share, topping consensus estimates of $17,944 million and $6.91 per share, respectively, Chen said in the note.

Zepbound sales came in at $4,261 million, higher than Street expectations of $3,880 million, while Mounjaro sales stood at $7,409 million, beating consensus of $6,820 million, she added.

Management guided to 2026 sales and earnings of $80-$83 billion and $33.50-$35.00 per share, higher than consensus estimates of $77.64 billion and $33.04 per share, the analyst stated.

"In 2026, LLY has the best growth profile in our coverage universe, ~20% top line and ~40% bottom line as well as a clear runway for growth into the next decade," she further wrote.

LLY Price Action: Shares of Eli Lilly had declined by 7.19% to $1,027.75 at the time of publication on Thursday.