Lilly Cuts Outlook After Obesity Drug Sales Post First Miss (4)

Eli Lilly & Co. lowered guidance Wednesday on lackluster sales of its weight-loss drug, which posted a shocking first miss that raised questions about the seemingly insatiable demand for the shots.

The company’s shares were down almost 8% at 1:21 pm in New York, paring earlier losses that had erased about $110 billion in market value. The stock had risen 55% this year through Tuesday’s close.

The biggest surprise in the quarter came from weight-loss drug Zepbound and diabetes drug Mounjaro, which together came in nearly $900 million below estimates.

Lilly’s success story “has been driven ...