ELI LILLY & CO (1LLY.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1LLY • US5324571083
870.9 EUR
+9.5 (+1.1%)
Last: Jan 30, 2026, 07:00 PM
1LLY gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 55 industry peers in the Pharmaceuticals industry. While 1LLY belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. 1LLY is valued quite expensively, but it does show have an excellent growth rating. With these ratings, 1LLY could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
- In the past year 1LLY was profitable.
- 1LLY had a positive operating cash flow in the past year.
- In the past 5 years 1LLY has always been profitable.
- 1LLY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of 1LLY (16.02%) is better than 90.91% of its industry peers.
- 1LLY has a better Return On Equity (77.38%) than 98.18% of its industry peers.
- 1LLY has a Return On Invested Capital of 28.84%. This is amongst the best in the industry. 1LLY outperforms 96.36% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1LLY is significantly above the industry average of 14.23%.
- The last Return On Invested Capital (28.84%) for 1LLY is above the 3 year average (21.71%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.02% | ||
| ROE | 77.38% | ||
| ROIC | 28.84% |
ROA(3y)11.42%
ROA(5y)11.8%
ROE(3y)60.64%
ROE(5y)70.77%
ROIC(3y)21.71%
ROIC(5y)19.96%
1.3 Margins
- 1LLY's Profit Margin of 30.99% is amongst the best of the industry. 1LLY outperforms 98.18% of its industry peers.
- 1LLY's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 44.41%, 1LLY belongs to the top of the industry, outperforming 98.18% of the companies in the same industry.
- 1LLY's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 83.03%, 1LLY belongs to the best of the industry, outperforming 85.45% of the companies in the same industry.
- 1LLY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.41% | ||
| PM (TTM) | 30.99% | ||
| GM | 83.03% |
OM growth 3Y12.38%
OM growth 5Y7.84%
PM growth 3Y6.05%
PM growth 5Y-8.8%
GM growth 3Y3.11%
GM growth 5Y0.62%
2. Health
2.1 Basic Checks
- 1LLY has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- The number of shares outstanding for 1LLY remains at a similar level compared to 1 year ago.
- The number of shares outstanding for 1LLY has been reduced compared to 5 years ago.
- 1LLY has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 8.23 indicates that 1LLY is not in any danger for bankruptcy at the moment.
- The Altman-Z score of 1LLY (8.23) is better than 90.91% of its industry peers.
- 1LLY has a debt to FCF ratio of 6.60. This is a slightly negative value and a sign of low solvency as 1LLY would need 6.60 years to pay back of all of its debts.
- 1LLY has a Debt to FCF ratio of 6.60. This is comparable to the rest of the industry: 1LLY outperforms 41.82% of its industry peers.
- A Debt/Equity ratio of 1.72 is on the high side and indicates that 1LLY has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 1.72, 1LLY is doing worse than 78.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 6.6 | ||
| Altman-Z | 8.23 |
ROIC/WACC3.07
WACC9.38%
2.3 Liquidity
- A Current Ratio of 1.55 indicates that 1LLY should not have too much problems paying its short term obligations.
- 1LLY has a better Current ratio (1.55) than 61.82% of its industry peers.
- A Quick Ratio of 1.24 indicates that 1LLY should not have too much problems paying its short term obligations.
- 1LLY has a Quick ratio of 1.24. This is in the better half of the industry: 1LLY outperforms 69.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
- 1LLY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 116.22%, which is quite impressive.
- Measured over the past years, 1LLY shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.57% on average per year.
- 1LLY shows a strong growth in Revenue. In the last year, the Revenue has grown by 45.41%.
- 1LLY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.08% yearly.
EPS 1Y (TTM)116.22%
EPS 3Y16.75%
EPS 5Y16.57%
EPS Q2Q%494.92%
Revenue 1Y (TTM)45.41%
Revenue growth 3Y16.73%
Revenue growth 5Y15.08%
Sales Q2Q%53.87%
3.2 Future
- 1LLY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 32.61% yearly.
- The Revenue is expected to grow by 19.64% on average over the next years. This is quite good.
EPS Next Y84.93%
EPS Next 2Y59.63%
EPS Next 3Y46.9%
EPS Next 5Y32.61%
Revenue Next Year41.38%
Revenue Next 2Y31.01%
Revenue Next 3Y26.06%
Revenue Next 5Y19.64%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 47.20 indicates a quite expensive valuation of 1LLY.
- Based on the Price/Earnings ratio, 1LLY is valued a bit more expensive than the industry average as 67.27% of the companies are valued more cheaply.
- 1LLY's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.32.
- 1LLY is valuated quite expensively with a Price/Forward Earnings ratio of 31.33.
- Based on the Price/Forward Earnings ratio, 1LLY is valued a bit more expensive than 69.09% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. 1LLY is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.2 | ||
| Fwd PE | 31.33 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 1LLY is valued a bit more expensive than the industry average as 67.27% of the companies are valued more cheaply.
- 1LLY's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. 1LLY is more expensive than 65.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 152.47 | ||
| EV/EBITDA | 35.84 |
4.3 Compensation for Growth
- 1LLY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The excellent profitability rating of 1LLY may justify a higher PE ratio.
- A more expensive valuation may be justified as 1LLY's earnings are expected to grow with 46.90% in the coming years.
PEG (NY)0.56
PEG (5Y)2.85
EPS Next 2Y59.63%
EPS Next 3Y46.9%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.68%, 1LLY is not a good candidate for dividend investing.
- 1LLY's Dividend Yield is comparable with the industry average which is at 1.95.
- Compared to an average S&P500 Dividend Yield of 1.83, 1LLY's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.68% |
5.2 History
- The dividend of 1LLY is nicely growing with an annual growth rate of 15.59%!
Dividend Growth(5Y)15.59%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 1LLY pays out 28.28% of its income as dividend. This is a sustainable payout ratio.
- 1LLY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP28.28%
EPS Next 2Y59.63%
EPS Next 3Y46.9%
ELI LILLY & CO / 1LLY.MI FAQ
What is the fundamental rating for 1LLY stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1LLY.MI.
What is the valuation status of ELI LILLY & CO (1LLY.MI) stock?
ChartMill assigns a valuation rating of 3 / 10 to ELI LILLY & CO (1LLY.MI). This can be considered as Overvalued.
Can you provide the profitability details for ELI LILLY & CO?
ELI LILLY & CO (1LLY.MI) has a profitability rating of 9 / 10.
What is the expected EPS growth for ELI LILLY & CO (1LLY.MI) stock?
The Earnings per Share (EPS) of ELI LILLY & CO (1LLY.MI) is expected to grow by 84.93% in the next year.
Is the dividend of ELI LILLY & CO sustainable?
The dividend rating of ELI LILLY & CO (1LLY.MI) is 4 / 10 and the dividend payout ratio is 28.28%.