Eli Lilly and Company (LLY) Gains as Medicare Expansion of GLP-1 Weight Loss Drugs Eases Pricing Concerns
- Finance
ThePostMaster- 0
- 6 minutes read
Impax Asset Management’s “Impax US Sustainable Economy Fund” released its Q4 2025 investor letter. A copy of the letter can be downloaded here. The fund reported that equity markets remained volatile during the quarter amid concerns over elevated valuations and financing for large-scale data center investments, although the portfolio modestly outperformed the Russell 1000 benchmark on the back of sustainability tilts and stock-specific gains, particularly within Health Care and Financials. On an annual basis, the Fund’s Institutional Class delivered a total return of 16.00% in 2025, compared to 17.37% for the Russell 1000, reflecting the impact of sector allocation and company-level developments such as gains in pharmaceutical and payment processing holdings and weakness in certain Consumer Staples names. Management noted that performance was influenced more by changing market leadership than macroeconomic deterioration, while maintaining a cautiously optimistic outlook supported by falling interest rates, resilient corporate earnings, and continued investment in structurally advantaged businesses positioned to benefit from the transition toward a more sustainable economy. In addition, please check the Fund’s top five holdings to know its best picks in 2025.
In its fourth-quarter 2025 investor letter, Impax US Sustainable Economy Fund highlighted stocks like Eli Lilly and Company (NYSE:LLY). Eli Lilly and Company (NYSE:LLY) is a global pharmaceutical leader focused on innovative therapies in areas such as oncology, diabetes, and obesity, with strong growth driven by expanding demand for its GLP-1 based weight-loss and diabetes treatments. The one-month return of Eli Lilly and Company (NYSE:LLY) was -3.94% while its shares traded between $623.78 and $1113.95 over the last 52 weeks. On February 17, 2026, Eli Lilly and Company (NYSE:LLY) stock closed at approximately $1,036.05 per share, with a market capitalization of about $977.37 billion.
Impax US Sustainable Economy Fund stated the following regarding Eli Lilly and Company (NYSE:LLY) in its Q4 2025 investor letter:
“Eli Lilly and Company (NYSE:LLY) (Health Care, Pharmaceuticals) is included due to its strategic positioning with respect to sustainability opportunities, specifically in HealthCare Access and Innovation. Eli Lilly announced a significant agreement with the Trump administration aimed at improving patient access and reducing prices for select medications. A key development from this agreement is the extended coverage of GLP-1 weight loss drugs within Medicare and Medicaid programs. This announcement was well received by investors, as it alleviated ongoing concerns about stringent drug pricing and created a substantial new market opportunity for GLP-1s.”
