Eli Lilly forecasts 2017 earnings and revenue above analysts' estimates, soothing investor concerns after the recent failure of its Alzheimer's drug. Bobbi Rebell reports.
Demand is strong for Eli Lilly's new treatments for psoriasis, lung cancer, and diabetes. That has the pharma giant raising its 2017 earnings and revenue outlook to above analysts' estimates. The news sent Lilly's shares up on Thursday. Credit Suisse analysts say Lilly's forecast is good news that should attract investors back to the stock after the recent selloff following the failed trial results. Eli Lilly's positive outlook comes just a month after a major setback to its Alzheimer's program with the failed late-stage trial of a drug for the disease. Lilly is taking a $150 million charge in the fourth quarter for it. Lilly still expects annual revenue growth of at least five percent between 2015 and 2020.