HSBC has downgraded Eli Lilly (LLY) stock to "reduced" from "hold" and cut its price target to $850 from $1,070, suggesting significant downside. The company, valued at $883 billion, has seen its obesity and diabetes franchise, Zepbound and Mounjaro, make it one of Wall Street's most talked-about stocks. Despite these gains, the stock is down 13% from all-time highs. HSBC highlighted concerns that expectations have run too high for the company, with the bank suggesting that pricing pressure is a significant issue. The launch of orforglipron, Lilly's oral obesity pill, expected as early as April, could pose a significant challenge for the launch of the drug. Despite this, Lilly CFO Lucas Montarce dismissed concerns about the drug's brand recognition and said the company feels good about its convenience advantage. Despite a low payout ratio and double-digit dividend growth rate, analysts predict that Lilly will continue raising its dividend despite investing aggressively in its pipeline.