Jim Cramer Says Cybersecurity Contact Sees Eli Lilly at $2 Trillion

Mad Money host Jim Cramer said Monday that an unnamed cybersecurity contact picked Eli Lilly as a stock to own and projected a $2 trillion valuation, about two-thirds above its current level.

Cramer said he was with three cybersecurity contacts over the weekend when one named Lilly as a stock to own and predicted a $2 trillion market value. One named Lilly, he recalled, but Cramer did not identify the person. The $2 trillion figure was the contact’s view of Lilly’s eventual market capitalization.

Lilly was valued at about $1.2 trillion. Reaching $2 trillion would add roughly $800 billion to that value, an increase of about 67%. The company’s shares closed above $1,306 on Oct. 22, setting a record, before edging lower.

The shares were up 10.5% month to date and had climbed 15% from a mid-September low. The month-to-date gain outpaced the Dow’s 2.8% rise and the S&P 500’s 0.3% increase; the Nasdaq was down 2.4% over the same period.

Health care has ranked among the strongest-performing sectors this quarter, while technology has been among the weakest. Investors have been looking beyond artificial intelligence for growth, and Lilly has stood out as market leadership shifted.

Enthusiasm for Lilly’s weight-loss treatments has helped support the stock. Its portfolio includes Zepbound, an injectable drug, and Foundayo, a daily pill. Cramer has described Lilly as a leading player in GLP-1 treatments.

Cramer also recalled that billionaire investor Ken Langone urged him to watch Lilly and predicted several years ago that its market value would top $1 trillion. Lilly passed that milestone nearly a year ago and now stands at about $1.2 trillion.

Lilly is scheduled to report third-quarter results Thursday. Investors will be watching for further growth in its weight-loss drug business, including signs of traction for Foundayo.