Lilly, Pfizer Score FDA Wins; UNH Under DOJ Scrutiny

Eli Lilly ($LLY) received full FDA approval for selpercatinib (Retevmo) for a wider group of adult and pediatric patients with RET fusion solid tumors, shifting the drug from accelerated to traditional approval. The decision broadens Retevmo's labeled use across multiple tumor types and reinforces Lilly's position in oncology, opening new commercial and clinical avenues. $LLY shares declined in trading despite the regulatory milestone. Pfizer ($PFE) won FDA approval for a platinum-free Padcev-Keytruda regimen in muscle-invasive bladder cancer, marking the first such treatment option approved as both neoadjuvant and adjuvant therapy for adult patients regardless of cisplatin eligibility. The combination expands across a broader bladder cancer population, adding a development to Pfizer's oncology portfolio. AbbVie ($ABBV) has delivered a 151.6% return over the past five years, though valuation perspectives remain split between discounted cash flow models and earnings-based multiples.

Intuitive Surgical ($ISRG) is scheduled to report Q2 results Thursday afternoon, with investors watching for updates on the medical technology company's robotic surgery platform performance. Medical device stocks tumbled following HCA Healthcare's decision to trim its full-year earnings outlook, citing a drop in surgeries that signals potential headwinds for procedure-dependent equipment makers. Goldman Sachs issued analysis on the medical robotics sector, though specific recommendations were not disclosed in available reports. The surgical volume decline noted by HCA raises questions about near-term demand trends across the medtech space.

UnitedHealth Group ($UNH) faces an expanded Department of Justice antitrust investigation that now includes the company's Claritev unit, adding regulatory scrutiny beyond routine oversight. The DOJ probe is part of broader examination of healthcare industry practices and market competition across the managed care sector. $UNH is scheduled to report Q2 earnings Thursday before market open, with investors monitoring results from one of the largest managed care and healthcare services companies spanning insurance, care delivery, and data-driven health platforms. The expanded antitrust review introduces an additional layer of regulatory uncertainty for the company alongside its quarterly financial disclosure.

Thursday will bring quarterly results from two healthcare sector giants: UnitedHealth Group ($UNH) before market open and Intuitive Surgical ($ISRG) in the afternoon session. $UNH results will provide insight into managed care trends amid the expanded DOJ antitrust probe, while $ISRG faces investor scrutiny following industry concerns about surgical volumes. The earnings reports arrive as Big Pharma celebrates oncology approval milestones that could drive revenue growth in coming quarters. Regulatory developments around drug pricing and antitrust enforcement remain key variables for sector performance through the second half of 2026.