ELI LILLY & CO (LLY.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:LLY - US5324571083 - Common Stock
944.8 EUR
-6.3 (-0.66%)
Taking everything into account, LLY scores 6 out of 10 in our fundamental rating. LLY was compared to 55 industry peers in the Pharmaceuticals industry. LLY has an excellent profitability rating, but there are some minor concerns on its financial health. LLY is valued quite expensive, but it does show an excellent growth. These ratings could make LLY a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year LLY was profitable.
In the past year LLY had a positive cash flow from operations.
In the past 5 years LLY has always been profitable.
Each year in the past 5 years LLY had a positive operating cash flow.
1.2 Ratios
LLY has a Return On Assets of 16.02%. This is amongst the best in the industry. LLY outperforms 89.09% of its industry peers.
The Return On Equity of LLY (77.38%) is better than 96.36% of its industry peers.
The Return On Invested Capital of LLY (28.84%) is better than 94.55% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for LLY is significantly above the industry average of 14.90%.
The 3 year average ROIC (21.71%) for LLY is below the current ROIC(28.84%), indicating increased profibility in the last year.
| 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
With an excellent Profit Margin value of 30.99%, LLY belongs to the best of the industry, outperforming 96.36% of the companies in the same industry.
LLY's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 44.41%, LLY belongs to the best of the industry, outperforming 96.36% of the companies in the same industry.
In the last couple of years the Operating Margin of LLY has grown nicely.
LLY has a Gross Margin of 83.03%. This is amongst the best in the industry. LLY outperforms 85.45% of its industry peers.
In the last couple of years the Gross Margin of LLY has remained more or less at the same level.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so LLY is creating value.
The number of shares outstanding for LLY remains at a similar level compared to 1 year ago.
The number of shares outstanding for LLY has been reduced compared to 5 years ago.
LLY has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 8.64 indicates that LLY is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 8.64, LLY belongs to the top of the industry, outperforming 96.36% of the companies in the same industry.
LLY has a debt to FCF ratio of 6.60. This is a slightly negative value and a sign of low solvency as LLY would need 6.60 years to pay back of all of its debts.
LLY has a Debt to FCF ratio of 6.60. This is in the lower half of the industry: LLY underperforms 63.64% of its industry peers.
A Debt/Equity ratio of 1.72 is on the high side and indicates that LLY has dependencies on debt financing.
LLY has a Debt to Equity ratio of 1.72. This is in the lower half of the industry: LLY underperforms 76.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 6.6 | ||
| Altman-Z | 8.64 |
ROIC/WACC3.29
WACC8.76%
2.3 Liquidity
LLY has a Current Ratio of 1.55. This is a normal value and indicates that LLY is financially healthy and should not expect problems in meeting its short term obligations.
LLY has a Current ratio of 1.55. This is in the better half of the industry: LLY outperforms 61.82% of its industry peers.
LLY has a Quick Ratio of 1.24. This is a normal value and indicates that LLY is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.24, LLY is in the better half of the industry, outperforming 69.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 116.22% over the past year.
The Earnings Per Share has been growing by 16.57% on average over the past years. This is quite good.
LLY shows a strong growth in Revenue. In the last year, the Revenue has grown by 45.41%.
LLY 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
Based on estimates for the next years, LLY will show a very strong growth in Earnings Per Share. The EPS will grow by 30.75% on average per year.
LLY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.43% yearly.
EPS Next Y80.9%
EPS Next 2Y54.64%
EPS Next 3Y42.29%
EPS Next 5Y30.75%
Revenue Next Year38.67%
Revenue Next 2Y28.28%
Revenue Next 3Y23.95%
Revenue Next 5Y18.43%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 49.75, which means the current valuation is very expensive for LLY.
63.64% of the companies in the same industry are cheaper than LLY, based on the Price/Earnings ratio.
LLY's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.15.
LLY is valuated quite expensively with a Price/Forward Earnings ratio of 35.18.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LLY indicates a slightly more expensive valuation: LLY is more expensive than 65.45% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.12. LLY is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.75 | ||
| Fwd PE | 35.18 |
4.2 Price Multiples
70.91% of the companies in the same industry are cheaper than LLY, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LLY indicates a slightly more expensive valuation: LLY is more expensive than 69.09% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 160.84 | ||
| EV/EBITDA | 37.99 |
4.3 Compensation for Growth
LLY'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 LLY may justify a higher PE ratio.
A more expensive valuation may be justified as LLY's earnings are expected to grow with 42.29% in the coming years.
PEG (NY)0.61
PEG (5Y)3
EPS Next 2Y54.64%
EPS Next 3Y42.29%
5. Dividend
5.1 Amount
With a yearly dividend of 0.58%, LLY is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.00, LLY has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, LLY's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
5.2 History
On average, the dividend of LLY grows each year by 15.59%, which is quite nice.
Dividend Growth(5Y)15.59%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
28.28% of the earnings are spent on dividend by LLY. This is a low number and sustainable payout ratio.
LLY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP28.28%
EPS Next 2Y54.64%
EPS Next 3Y42.29%
FRA:LLY (11/27/2025, 9:11:19 AM)
944.8
-6.3 (-0.66%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners83.75%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap894.22B
Revenue(TTM)59.42B
Net Income(TTM)18.41B
Analysts80
Price Target880.84 (-6.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.58% |
Yearly Dividend4.28
Dividend Growth(5Y)15.59%
DP28.28%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.28%
Min EPS beat(2)14.51%
Max EPS beat(2)22.05%
EPS beat(4)4
Avg EPS beat(4)13.1%
Min EPS beat(4)6.45%
Max EPS beat(4)22.05%
EPS beat(8)7
Avg EPS beat(8)12.06%
EPS beat(12)10
Avg EPS beat(12)23.73%
EPS beat(16)13
Avg EPS beat(16)17.41%
Revenue beat(2)2
Avg Revenue beat(2)6.77%
Min Revenue beat(2)4.72%
Max Revenue beat(2)8.81%
Revenue beat(4)2
Avg Revenue beat(4)2.95%
Min Revenue beat(4)-1.24%
Max Revenue beat(4)8.81%
Revenue beat(8)4
Avg Revenue beat(8)2.39%
Revenue beat(12)7
Avg Revenue beat(12)2.64%
Revenue beat(16)9
Avg Revenue beat(16)2.04%
PT rev (1m)14.66%
PT rev (3m)14.89%
EPS NQ rev (1m)1.97%
EPS NQ rev (3m)2.68%
EPS NY rev (1m)3.7%
EPS NY rev (3m)2.29%
Revenue NQ rev (1m)1.67%
Revenue NQ rev (3m)1.92%
Revenue NY rev (1m)1.44%
Revenue NY rev (3m)1.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.75 | ||
| Fwd PE | 35.18 | ||
| P/S | 17.42 | ||
| P/FCF | 160.84 | ||
| P/OCF | 64.45 | ||
| P/B | 43.51 | ||
| P/tB | 90.42 | ||
| EV/EBITDA | 37.99 |
EPS(TTM)18.99
EY2.01%
EPS(NY)26.85
Fwd EY2.84%
FCF(TTM)5.87
FCFY0.62%
OCF(TTM)14.66
OCFY1.55%
SpS54.23
BVpS21.71
TBVpS10.45
PEG (NY)0.61
PEG (5Y)3
Graham Number96.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.02% | ||
| ROE | 77.38% | ||
| ROCE | 35.28% | ||
| ROIC | 28.84% | ||
| ROICexc | 33.25% | ||
| ROICexgc | 41.06% | ||
| OM | 44.41% | ||
| PM (TTM) | 30.99% | ||
| GM | 83.03% | ||
| FCFM | 10.83% |
ROA(3y)11.42%
ROA(5y)11.8%
ROE(3y)60.64%
ROE(5y)70.77%
ROIC(3y)21.71%
ROIC(5y)19.96%
ROICexc(3y)23.23%
ROICexc(5y)21.74%
ROICexgc(3y)32.89%
ROICexgc(5y)32.31%
ROCE(3y)29.19%
ROCE(5y)26%
ROICexgc growth 3Y1.59%
ROICexgc growth 5Y4.02%
ROICexc growth 3Y9.55%
ROICexc growth 5Y8.82%
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%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 6.6 | ||
| Debt/EBITDA | 1.44 | ||
| Cap/Depr | 507.66% | ||
| Cap/Sales | 16.2% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 56.78% | ||
| Profit Quality | 34.96% | ||
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.24 | ||
| Altman-Z | 8.64 |
F-Score7
WACC8.76%
ROIC/WACC3.29
Cap/Depr(3y)385.26%
Cap/Depr(5y)286.02%
Cap/Sales(3y)16.93%
Cap/Sales(5y)13.13%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)116.22%
EPS 3Y16.75%
EPS 5Y16.57%
EPS Q2Q%494.92%
EPS Next Y80.9%
EPS Next 2Y54.64%
EPS Next 3Y42.29%
EPS Next 5Y30.75%
Revenue 1Y (TTM)45.41%
Revenue growth 3Y16.73%
Revenue growth 5Y15.08%
Sales Q2Q%53.87%
Revenue Next Year38.67%
Revenue Next 2Y28.28%
Revenue Next 3Y23.95%
Revenue Next 5Y18.43%
EBIT growth 1Y82.81%
EBIT growth 3Y31.18%
EBIT growth 5Y24.1%
EBIT Next Year93.86%
EBIT Next 3Y42.49%
EBIT Next 5Y30.03%
FCF growth 1Y4003.21%
FCF growth 3Y-57.48%
FCF growth 5Y-34.68%
OCF growth 1Y158.46%
OCF growth 3Y6.69%
OCF growth 5Y12.76%
ELI LILLY & CO / LLY.DE FAQ
What is the fundamental rating for LLY stock?
ChartMill assigns a fundamental rating of 6 / 10 to LLY.DE.
What is the valuation status for LLY stock?
ChartMill assigns a valuation rating of 3 / 10 to ELI LILLY & CO (LLY.DE). This can be considered as Overvalued.
What is the profitability of LLY stock?
ELI LILLY & CO (LLY.DE) has a profitability rating of 9 / 10.
What is the financial health of ELI LILLY & CO (LLY.DE) stock?
The financial health rating of ELI LILLY & CO (LLY.DE) is 5 / 10.
What is the expected EPS growth for ELI LILLY & CO (LLY.DE) stock?
The Earnings per Share (EPS) of ELI LILLY & CO (LLY.DE) is expected to grow by 80.9% in the next year.