ELI LILLY & CO (LLY.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:LLY - US5324571083 - Common Stock
914.2 EUR
+2.2 (+0.24%)
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.
LLY had a positive operating cash flow in the past year.
In the past 5 years LLY has always been profitable.
In the past 5 years LLY always reported a positive cash flow from operatings.
1.2 Ratios
LLY has a better Return On Assets (16.02%) than 91.07% of its industry peers.
The Return On Equity of LLY (77.38%) is better than 96.43% of its industry peers.
LLY has a Return On Invested Capital of 28.84%. This is amongst the best in the industry. LLY outperforms 94.64% of its industry peers.
LLY had an Average Return On Invested Capital over the past 3 years of 21.71%. This is significantly above the industry average of 14.51%.
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 96.43% of the companies in the same industry.
LLY's Profit Margin has declined in the last couple of years.
LLY has a Operating Margin of 44.41%. This is amongst the best in the industry. LLY outperforms 96.43% of its industry peers.
In the last couple of years the Operating Margin of LLY has grown nicely.
Looking at the Gross Margin, with a value of 83.03%, LLY belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
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.
Compared to 1 year ago, LLY has about the same amount of shares outstanding.
Compared to 5 years ago, LLY has less shares outstanding
Compared to 1 year ago, LLY has a worse debt to assets ratio.
2.2 Solvency
LLY has an Altman-Z score of 8.34. This indicates that LLY is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of LLY (8.34) is better than 96.43% of its industry peers.
The Debt to FCF ratio of LLY is 6.60, which is on the high side as it means it would take LLY, 6.60 years of fcf income to pay off 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 64.29% 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.
The Debt to Equity ratio of LLY (1.72) is worse than 80.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 6.6 | ||
| Altman-Z | 8.34 |
ROIC/WACC3.34
WACC8.64%
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's Current ratio of 1.55 is fine compared to the rest of the industry. LLY outperforms 60.71% of its industry peers.
A Quick Ratio of 1.24 indicates that LLY should not have too much problems paying its short term obligations.
LLY has a better Quick ratio (1.24) than 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
LLY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 116.22%, which is quite impressive.
LLY shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.57% yearly.
The Revenue has grown by 45.41% in the past year. This is a very strong growth!
Measured over the past years, LLY shows a quite strong growth in Revenue. The Revenue has been growing by 15.08% on average per year.
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
LLY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 30.75% yearly.
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 47.89, which means the current valuation is very expensive for LLY.
LLY's Price/Earnings ratio is a bit more expensive when compared to the industry. LLY is more expensive than 64.29% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.45. LLY is valued rather expensively when compared to this.
With a Price/Forward Earnings ratio of 33.88, LLY can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, LLY is valued a bit more expensive than the industry average as 67.86% of the companies are valued more cheaply.
The average S&P500 Price/Forward Earnings ratio is at 34.46. LLY is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.89 | ||
| Fwd PE | 33.88 |
4.2 Price Multiples
73.21% of the companies in the same industry are cheaper than LLY, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, LLY is valued a bit more expensive than 69.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 154.86 | ||
| EV/EBITDA | 36.39 |
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)0.59
PEG (5Y)2.89
EPS Next 2Y54.64%
EPS Next 3Y42.29%
5. Dividend
5.1 Amount
LLY has a yearly dividend return of 0.58%, which is pretty low.
LLY's Dividend Yield is comparable with the industry average which is at 2.96.
With a Dividend Yield of 0.58, LLY pays less dividend than the S&P500 average, which is at 2.42.
| 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 (11/21/2025, 7:00:00 PM)
914.2
+2.2 (+0.24%)
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 Cap865.25B
Revenue(TTM)59.42B
Net Income(TTM)18.41B
Analysts80
Price Target880.84 (-3.65%)
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 | 47.89 | ||
| Fwd PE | 33.88 | ||
| P/S | 16.78 | ||
| P/FCF | 154.86 | ||
| P/OCF | 62.06 | ||
| P/B | 41.89 | ||
| P/tB | 87.07 | ||
| EV/EBITDA | 36.39 |
EPS(TTM)19.09
EY2.09%
EPS(NY)26.99
Fwd EY2.95%
FCF(TTM)5.9
FCFY0.65%
OCF(TTM)14.73
OCFY1.61%
SpS54.5
BVpS21.82
TBVpS10.5
PEG (NY)0.59
PEG (5Y)2.89
Graham Number96.82
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 | 8.34 |
F-Score7
WACC8.64%
ROIC/WACC3.34
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.