1 Reason I'd Buy Eli Lilly Stock and Never Sell

Investing in pharmaceutical stocks can be tricky. Drugmakers put an enormous amount of time and money into research and development of new products. It takes more than 10 years to develop a new drug and costs, on average, $2.6 billion.Yet the vast majority of new drugs never make it to market. The success rate of new drug development, from conception to FDA approval, is about 8%. And while a drug patent is typically 20 years, much of that time is eaten up during the development period, before a drug goes to market. So effective market exclusivity is often just 10 to 12 years. Consider Pfizer, whose stock in 2000 shot from $33 to nearly $60 in a matter of months due to its rapid production of a COVID-19 vaccine. Since then, however, demand for that vaccine has waned and it's been bad news for the stock. After plummeting in 2023, the price has been moving sideways since early 2024. It now sits around $28, lower than its pre-COVID price.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool