ELI LILLY & CO (LLY) Stock Fundamental Analysis
USA - NYSE:LLY - US5324571083 - Common Stock
754.49 USD
-8.44 (-1.11%)
Overall LLY gets a fundamental rating of 6 out of 10. We evaluated LLY against 196 industry peers in the Pharmaceuticals industry. While LLY belongs to the best of the industry regarding profitability, there are concerns on its financial health. LLY is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! Finally LLY also has an excellent dividend rating.
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 better Return On Assets (13.67%) than 94.39% of its industry peers.
With an excellent Return On Equity value of 75.52%, LLY belongs to the best of the industry, outperforming 98.47% 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 97.96% 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 15.28%.
The 3 year average ROIC (21.71%) for LLY is below the current ROIC(29.63%), indicating increased profibility in the last year.
| 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
With an excellent Profit Margin value of 25.91%, LLY belongs to the best of the industry, outperforming 95.92% of the companies in the same industry.
In the last couple of years the Profit Margin of LLY has declined.
LLY has a better Operating Margin (42.13%) than 97.96% 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 82.64%, LLY belongs to the top of the industry, outperforming 87.76% of the companies in the same industry.
LLY's Gross Margin has been stable in the last couple of years.
| 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
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.
LLY has less shares outstanding than it did 5 years ago.
LLY has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 6.87 indicates that LLY is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.87, LLY belongs to the top of the industry, outperforming 82.14% of the companies in the same industry.
LLY has a Debt/Equity ratio of 1.87. This is a high value indicating a heavy dependency on external financing.
LLY's Debt to Equity ratio of 1.87 is on the low side compared to the rest of the industry. LLY is outperformed by 76.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 6.87 |
ROIC/WACC3.06
WACC9.67%
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.
The Current ratio of LLY (1.28) is worse than 73.98% of its industry peers.
A Quick Ratio of 1.00 indicates that LLY may have some problems paying its short term obligations.
LLY has a worse Quick ratio (1.00) than 73.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 77.67% over the past year.
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%.
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)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
LLY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 30.30% yearly.
The Revenue is expected to grow by 17.76% on average over the next years. This is quite good.
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 46.72, LLY can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of LLY indicates a somewhat cheap valuation: LLY is cheaper than 79.59% of the companies listed in the same industry.
LLY's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.41.
The Price/Forward Earnings ratio is 24.71, which indicates a rather expensive current valuation of LLY.
LLY's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LLY is cheaper than 72.96% of the companies in the same industry.
LLY's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.72 | ||
| Fwd PE | 24.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, LLY is valued cheaply inside the industry as 80.10% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 31.16 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
LLY has an outstanding profitability rating, which 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)0.61
PEG (5Y)2.82
EPS Next 2Y53.25%
EPS Next 3Y42.28%
5. Dividend
5.1 Amount
LLY has a yearly dividend return of 0.79%, which is pretty low.
LLY's Dividend Yield is rather good when compared to the industry average which is at 5.04. LLY pays more dividend than 89.80% of the companies in the same industry.
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
On average, the dividend of LLY grows each year by 15.60%, which is quite nice.
LLY has paid a dividend for at least 10 years, which is a reliable track record.
LLY has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.6%
Div Incr Years10
Div Non Decr Years34
5.3 Sustainability
LLY pays out 36.46% of its income as dividend. This is a 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%
NYSE:LLY (9/19/2025, 10:23:10 AM)
754.49
-8.44 (-1.11%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners84.01%
Inst Owner Change-8.74%
Ins Owners0.16%
Ins Owner Change-0.3%
Market Cap714.09B
Analysts80
Price Target909.39 (20.53%)
Short Float %0.85%
Short Ratio1.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.79% |
Yearly Dividend4.93
Dividend Growth(5Y)15.6%
DP36.46%
Div Incr Years10
Div Non Decr Years34
Ex-Date
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)-7.97%
PT rev (3m)-8.2%
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 | 46.72 | ||
| Fwd PE | 24.71 | ||
| P/S | 13.41 | ||
| P/FCF | N/A | ||
| P/OCF | 65.28 | ||
| P/B | 39.08 | ||
| P/tB | 108.29 | ||
| EV/EBITDA | 31.16 |
EPS(TTM)16.15
EY2.14%
EPS(NY)30.53
Fwd EY4.05%
FCF(TTM)-0.05
FCFYN/A
OCF(TTM)11.56
OCFY1.53%
SpS56.27
BVpS19.31
TBVpS6.97
PEG (NY)0.61
PEG (5Y)2.82
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 | 6.87 |
F-Score6
WACC9.67%
ROIC/WACC3.06
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%