ELI LILLY & CO (LLY.DE) Stock Fundamental Analysis
Europe - FRA:LLY - US5324571083 - Common Stock
647.1 EUR
-5 (-0.77%)
Taking everything into account, LLY scores 6 out of 10 in our fundamental rating. LLY was compared to 49 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.
1. Profitability
1.1 Basic Checks
LLY had positive earnings in the past year.
LLY had a positive operating cash flow in the past year.
Each year in the past 5 years LLY has been profitable.
In the past 5 years LLY always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 13.67%, LLY belongs to the best of the industry, outperforming 87.76% of the companies in the same industry.
With an excellent Return On Equity value of 75.52%, LLY belongs to the best of the industry, outperforming 95.92% of the companies in the same industry.
With an excellent Return On Invested Capital value of 29.63%, LLY belongs to the best of the industry, outperforming 93.88% of the companies in the same industry.
LLY had an Average Return On Invested Capital over the past 3 years of 21.71%. This is significantly above the industry average of 15.25%.
The last Return On Invested Capital (29.63%) for LLY is above the 3 year average (21.71%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.67% | ||
| ROE | 75.52% | ||
| ROIC | 29.63% |
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
Looking at the Profit Margin, with a value of 25.91%, LLY belongs to the top of the industry, outperforming 89.80% of the companies in the same industry.
In the last couple of years the Profit Margin of LLY has declined.
LLY's Operating Margin of 42.13% is amongst the best of the industry. LLY outperforms 93.88% of its industry peers.
In the last couple of years the Operating Margin of LLY has grown nicely.
The Gross Margin of LLY (82.64%) is better than 83.67% 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 | 42.13% | ||
| PM (TTM) | 25.91% | ||
| GM | 82.64% |
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 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 6.93. This indicates that LLY is financially healthy and has little risk of bankruptcy at the moment.
LLY has a better Altman-Z score (6.93) than 91.84% of its industry peers.
A Debt/Equity ratio of 1.87 is on the high side and indicates that LLY has dependencies on debt financing.
With a Debt to Equity ratio value of 1.87, LLY is not doing good in the industry: 77.55% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 6.93 |
ROIC/WACC3.07
WACC9.65%
2.3 Liquidity
LLY has a Current Ratio of 1.28. This is a normal value and indicates that LLY is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.28, LLY perfoms like the industry average, outperforming 46.94% of the companies in the same industry.
LLY has a Quick Ratio of 1.28. This is a bad value and indicates that LLY is not financially healthy enough and could expect problems in meeting its short term obligations.
LLY has a Quick ratio (1.00) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
LLY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 77.67%, which is quite impressive.
Measured over the past years, LLY shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.57% on average per year.
Looking at the last year, LLY shows a very strong growth in Revenue. The Revenue has grown by 36.83%.
The Revenue has been growing by 15.08% on average over the past years. This is quite good.
EPS 1Y (TTM)77.67%
EPS 3Y16.75%
EPS 5Y16.57%
EPS Q2Q%60.97%
Revenue 1Y (TTM)36.83%
Revenue growth 3Y16.73%
Revenue growth 5Y15.08%
Sales Q2Q%37.64%
3.2 Future
The Earnings Per Share is expected to grow by 30.30% on average over the next years. This is a very strong growth
Based on estimates for the next years, LLY will show a quite strong growth in Revenue. The Revenue will grow by 17.76% on average per year.
EPS Next Y76.85%
EPS Next 2Y53.25%
EPS Next 3Y42.28%
EPS Next 5Y30.3%
Revenue Next Year36.76%
Revenue Next 2Y27.21%
Revenue Next 3Y23.13%
Revenue Next 5Y17.76%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 47.44 indicates a quite expensive valuation of LLY.
63.27% of the companies in the same industry are cheaper than LLY, based on the Price/Earnings ratio.
LLY is valuated expensively when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 25.09, which means the current valuation is very expensive for LLY.
Based on the Price/Forward Earnings ratio, LLY is valued a bit more expensive than 63.27% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.88, LLY is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.44 | ||
| Fwd PE | 25.09 |
4.2 Price Multiples
LLY's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. LLY is more expensive than 67.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 31.51 |
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.
LLY's earnings are expected to grow with 42.28% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.62
PEG (5Y)2.86
EPS Next 2Y53.25%
EPS Next 3Y42.28%
5. Dividend
5.1 Amount
With a yearly dividend of 0.79%, LLY is not a good candidate for dividend investing.
LLY's Dividend Yield is comparable with the industry average which is at 3.04.
Compared to an average S&P500 Dividend Yield of 2.38, LLY's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.79% |
5.2 History
The dividend of LLY is nicely growing with an annual growth rate of 15.60%!
Dividend Growth(5Y)15.6%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
36.46% of the earnings are spent on dividend by LLY. This is a low number and sustainable payout ratio.
The dividend of LLY is growing, but earnings are growing more, so the dividend growth is sustainable.
DP36.46%
EPS Next 2Y53.25%
EPS Next 3Y42.28%
FRA:LLY (9/18/2025, 5:24:04 PM)
647.1
-5 (-0.77%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners84.01%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap612.45B
Analysts80
Price Target769.93 (18.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.79% |
Yearly Dividend4.21
Dividend Growth(5Y)15.6%
DP36.46%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.94%
Min EPS beat(2)9.38%
Max EPS beat(2)14.51%
EPS beat(4)3
Avg EPS beat(4)2.5%
Min EPS beat(4)-20.34%
Max EPS beat(4)14.51%
EPS beat(8)7
Avg EPS beat(8)31.01%
EPS beat(12)10
Avg EPS beat(12)22.08%
EPS beat(16)12
Avg EPS beat(16)15.86%
Revenue beat(2)1
Avg Revenue beat(2)2.11%
Min Revenue beat(2)-0.5%
Max Revenue beat(2)4.72%
Revenue beat(4)1
Avg Revenue beat(4)-0.87%
Min Revenue beat(4)-6.46%
Max Revenue beat(4)4.72%
Revenue beat(8)4
Avg Revenue beat(8)1.92%
Revenue beat(12)6
Avg Revenue beat(12)1.89%
Revenue beat(16)9
Avg Revenue beat(16)1.54%
PT rev (1m)-8.94%
PT rev (3m)-11.68%
EPS NQ rev (1m)1.79%
EPS NQ rev (3m)3.8%
EPS NY rev (1m)5.23%
EPS NY rev (3m)5.27%
Revenue NQ rev (1m)1.23%
Revenue NQ rev (3m)4.43%
Revenue NY rev (1m)2.8%
Revenue NY rev (3m)3.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.44 | ||
| Fwd PE | 25.09 | ||
| P/S | 13.61 | ||
| P/FCF | N/A | ||
| P/OCF | 66.28 | ||
| P/B | 39.67 | ||
| P/tB | 109.94 | ||
| EV/EBITDA | 31.51 |
EPS(TTM)13.64
EY2.11%
EPS(NY)25.79
Fwd EY3.99%
FCF(TTM)-0.04
FCFYN/A
OCF(TTM)9.76
OCFY1.51%
SpS47.54
BVpS16.31
TBVpS5.89
PEG (NY)0.62
PEG (5Y)2.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.67% | ||
| ROE | 75.52% | ||
| ROCE | 36.25% | ||
| ROIC | 29.63% | ||
| ROICexc | 31.43% | ||
| ROICexgc | 39.29% | ||
| OM | 42.13% | ||
| PM (TTM) | 25.91% | ||
| GM | 82.64% | ||
| FCFM | N/A |
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%
ROICexcg growth 3Y1.59%
ROICexcg growth 5Y4.02%
ROICexc growth 3Y9.55%
ROICexc growth 5Y8.81%
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-Score6
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.4 | ||
| Cap/Depr | 580.51% | ||
| Cap/Sales | 20.63% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 44.95% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 6.93 |
F-Score6
WACC9.65%
ROIC/WACC3.07
Cap/Depr(3y)374.28%
Cap/Depr(5y)279.43%
Cap/Sales(3y)16.34%
Cap/Sales(5y)12.78%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)77.67%
EPS 3Y16.75%
EPS 5Y16.57%
EPS Q2Q%60.97%
EPS Next Y76.85%
EPS Next 2Y53.25%
EPS Next 3Y42.28%
EPS Next 5Y30.3%
Revenue 1Y (TTM)36.83%
Revenue growth 3Y16.73%
Revenue growth 5Y15.08%
Sales Q2Q%37.64%
Revenue Next Year36.76%
Revenue Next 2Y27.21%
Revenue Next 3Y23.13%
Revenue Next 5Y17.76%
EBIT growth 1Y67.12%
EBIT growth 3Y31.18%
EBIT growth 5Y24.1%
EBIT Next Year84.34%
EBIT Next 3Y42.93%
EBIT Next 5Y29.73%
FCF growth 1Y-101.56%
FCF growth 3Y-57.48%
FCF growth 5Y-34.68%
OCF growth 1Y75.24%
OCF growth 3Y6.69%
OCF growth 5Y12.76%