Eli Lilly shares surged 5.13% during intraday trading on Thursday, extending a rally sparked by the company's better-than-expected second-quarter financial results and a wave of bullish analyst price target increases.

The pharmaceutical giant reported Q2 revenue of approximately $23 billion, a 48% jump from the same period last year, driven by blockbuster GLP-1 drugs Mounjaro and Zepbound. The company's gross margin reached an impressive 86%, underscoring the profitability of its obesity and diabetes franchise. Following the results, several Wall Street firms raised their price targets, with Jefferies lifting its target to $1,440, Morgan Stanley to $1,419, and Cantor Fitzgerald to $1,410, all citing confidence in Lilly's leadership in the fast-growing weight-loss drug market.

Additional positive sentiment came from news that Amazon Pharmacy will offer Eli Lilly's Zepbound KwikPen and Foundayo pill to eligible Medicare beneficiaries for $50 a month through a new federal bridge program, potentially expanding patient access to the popular treatments.