Eli Lilly and logged a 5.0% change during today's afternoon session, and is now trading at a price of $763.08 per share.
Eli Lilly and returned losses of -17.9% last year, with its stock price reaching a high of $937.0 and a low of $623.78. Over the same period, the stock underperformed the S&P 500 index by -34.5%. AThe company's 50-day average price was $734.24. Eli Lilly and Company discovers, develops, and markets human pharmaceuticals in the United States, Europe, China, Japan, and internationally. Based in Indianapolis, IN, the Large-Cap Health Care company has 47,000 full time employees. Eli Lilly and has offered a 0.8% dividend yield over the last 12 months.
Strong Revenue Growth but an Average Current Ratio:
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|---|
| Revenue (M) | $22,320 | $24,540 | $28,318 | $28,541 | $34,124 | $45,043 |
| Operating Margins | 24% | 28% | 22% | 24% | 19% | 28% |
| Net Margins | 37% | 25% | 20% | 22% | 15% | 24% |
| Net Income (M) | $8,318 | $6,194 | $5,582 | $6,245 | $5,240 | $10,590 |
| Net Interest Expense (M) | $401 | $360 | $340 | $332 | $486 | $578 |
| Depreciation & Amort. (M) | $1,233 | $1,324 | $1,548 | $1,522 | $1,527 | $1,058 |
| Diluted Shares (M) | 936 | 913 | 912 | 905 | 903 | 904 |
| Earnings Per Share | $8.89 | $6.79 | $6.12 | $6.9 | $5.8 | $11.71 |
| EPS Growth | n/a | -23.62% | -9.87% | 12.75% | -15.94% | 101.9% |
| Avg. Price | $109.18 | $142.41 | $218.96 | $276.53 | $582.92 | $759.43 |
| P/E Ratio | 12.23 | 20.88 | 35.6 | 39.9 | 100.16 | 64.58 |
| Free Cash Flow (M) | $3,803 | $5,112 | $6,056 | $5,731 | $792 | $3,760 |
| CAPEX (M) | $1,034 | $1,388 | $1,310 | $1,854 | $3,448 | $5,058 |
| EV / EBITDA | 19.37 | 17.41 | 29.12 | 33.33 | 71.41 | 54.8 |
| Total Debt (M) | $15,138 | $16,357 | $18,280 | $16,316 | $26,009 | $34,591 |
| Net Debt / EBITDA | 1.97 | 1.48 | 1.88 | 1.71 | 2.87 | 2.28 |
| Current Ratio | 1.16 | 1.4 | 1.23 | 1.05 | 0.94 | 1.15 |
Eli Lilly and has rapidly growing revenues and increasing reinvestment in the business and strong operating margins with a stable trend. Additionally, the company's financial statements display positive EPS growth and healthy leverage levels. Furthermore, Eli Lilly and has positive cash flows and just enough current assets to cover current liabilities, as shown by its current ratio of 1.15.
Eli Lilly and's Valuation Is in Line With Its Sector Averages:
Eli Lilly and has a trailing twelve month P/E ratio of 47.9, compared to an average of 22.94 for the Health Care sector. Based on its EPS guidance of $22.66, the company has a forward P/E ratio of 32.4. Eli Lilly and's PEG ratio is 4.21 on the basis of the 11.4% weighted average of the company and the broader market's EPS compound average growth rates. This suggests that the company's shares are overvalued. Furthermore, Eli Lilly and is likely overvalued compared to the book value of its equity, since its P/B ratio of 37.45 is higher than the sector average of 3.19. The company's shares are currently trading 1086.6% below their Graham number. Ultimately, Eli Lilly and's strong cash flows, decent earnings multiple, and healthy debt levels factor towards it being fairly valued, its elevated P/B ratio notwithstanding.
There's an Analyst Consensus of Some Upside Potential for Eli Lilly and:
The 26 analysts following Eli Lilly and have set target prices ranging from $650.0 to $1190.0 per share, for an average of $884.31 with a buy rating. The company is trading -13.7% away from its average target price, indicating that there is an analyst consensus of some upside potential.
Eli Lilly and has a very low short interest because 0.9% of the company's shares are sold short. Institutions own 83.8% of the company's shares, and the insider ownership rate stands at 0.16%, suggesting a small amount of insider investors. The largest shareholder is Lilly Endowment, Inc, whose 10% stake in the company is worth $73,268,643,073.
