In his report, Schott stated, “We are upgrading ELAN shares to OW from N into an attractive innovation cycle.” He noted that the launch of Credelio Quattro, a chewable tablet for dogs that offers broad parasite protection, is progressing better than anticipated. The product is gaining traction in various market segments and is starting to make a significant contribution to the company’s revenues.
Additionally, Schott pointed out that Experior, a feed supplement for beef cattle designed to reduce ammonia gas emissions, is also performing well—often overlooked by market analysts. He emphasized, “Between Credelio Quattro, Experior, and other recent and upcoming launches (such as Zenrelia exUS, Bovaer, and IL-31), we see revenue growth accelerating at ELAN in the coming years, which we expect will flow through the P&L supporting margins and EPS.”
Elanco shares have shown remarkable performance in 2025, surging by 70% in a year when the S&P 500 has advanced by over 14%. This growth has outpaced many of the mega-cap tech companies, showcasing Elanco’s strong market position. Despite this rally, Schott believes that Elanco remains an attractive investment. His price target for the stock has been raised from $18 to $24, indicating more than a 16% upside from Monday’s closing price.
In premarket trading on Tuesday, Elanco shares were up by more than 3%. Schott remarked, “While ELAN shares have had a strong run this year, we see a favorable setup from here as the company continues to execute, with estimates likely moving higher over time.”
Investors looking for insights into the best strategies for 2026 can learn from experts like Josh Brown and others at CNBC PRO Live. Tickets and additional information are available here.
