Shares of Eli Lilly (LLY) plummeted 5.03% in Tuesday's intraday trading session, as the pharmaceutical giant faced multiple headwinds. The stock's decline comes amid a broader selloff in the healthcare sector, triggered by President Donald Trump's announcement of impending pharmaceutical tariffs and concerns over potential drug pricing pressures.

Trump stated that he would unveil pharma tariffs within the next two weeks, reigniting worries about the impact of trade tensions on the pharmaceutical industry. The President also hinted at an upcoming announcement on drug costs for consumers, which could further squeeze drugmakers' bottom lines. These developments have left investors anxious about the potential implications for major players like Eli Lilly, Pfizer, and other pharma stocks.

Adding to Lilly's woes, CVS Health announced that its pharmacy benefit manager unit, Caremark, would make rival Novo Nordisk's weight loss drug Wegovy the preferred medication on its standard formularies, while dropping Lilly's Zepbound. This decision could potentially impact Lilly's market share in the highly competitive weight loss drug segment. However, Lilly's management noted that this change only affects a subset of CVS plans and not the entire CVS account.

Furthermore, Eli Lilly lowered its full-year profit outlook, primarily due to an upfront payment made to acquire Scorpion Therapeutics' STX-478 program for breast cancer treatment. While this adjustment is largely related to accounting practices and doesn't reflect operational issues, it has contributed to investor concerns. Despite these challenges, Lilly maintained its sales forecast for the year, projecting revenue between $58 billion and $61 billion.