Should You Buy Sell or Hold Eli Lilly Stock

Eli Lilly stock can be a solid addition to your portfolio, given its impressive track record of growth and innovation. In fact, the company's revenue has consistently increased over the past decade, with a compound annual growth rate of 10%.

Lilly's pipeline is also robust, with several promising products in development, including a potential new treatment for Alzheimer's disease. This could lead to significant future growth and earnings potential.

The company's dividend yield is also attractive, at around 2.5%, providing a relatively stable source of income for investors.

Consider reading: Petrolimex Joint Stock Insurance Company

Eli Lilly stock has outperformed the broader indices, with 46% gains this year, versus a 22% rise for the S&P 500 index.

The recent fall in the stock can be seen as a buying opportunity for robust long-term gains, with a 20% upside from its current levels of around $850.

The $1,025 average of analysts' price estimates reflects this potential upside.

Consider reading: Capital Gains on Employee Stock Purchase Plan

A 6% fall in the stock post the results' announcement was largely due to a cut in full-year guidance, but the demand for its obesity drug remains high.

You can see the stock price forecast for Eli Lilly in the table below.

The 21 analysts with 12-month price forecasts for Eli Lilly stock have an average target of 976.19, predicting an increase of 21.39% from the current stock price of 804.19.

Eli Lilly's stock has had a remarkable run, with 46% gains this year, outperforming the S&P 500 index's 22% rise.

The company's revenue of $11.4 billion in Q3 was up 20% y-o-y, driven by a 2x rise in Mounjaro sales to $3.1 billion.

Eli Lilly's stock price has been impacted by a downbeat result and cut in full-year guidance, leading to a 6% fall in its stock post the results' announcement.

However, analysts see this as a buying opportunity for robust long-term gains, with a $1,025 average of analysts' price estimates reflecting over 20% upside from its current levels of around $850.

Related reading: Eli Lilly Stock Quote

A 21 analyst consensus predicts an average price target of $976.19, with a low estimate of $723 and a high estimate of $1,190.

Here's a summary of the analyst forecasts:

The analysts are optimistic about Eli Lilly's future prospects, with 30 analysts providing revenue forecasts for FY 2024, indicating a 34.20% revenue growth.

Eli Lilly's revenue has consistently increased over the years, with a notable growth of 34.20% in FY 2024, reaching $45.79 billion. This growth is expected to continue, with projected revenues of $59.05 billion in FY 2025 and $70.07 billion in FY 2026.

The company's earnings per share (EPS) have also seen significant growth, with a 129.13% increase in FY 2024, reaching $13.29. This growth is expected to continue, with projected EPS of $22.74 in FY 2025 and $30.12 in FY 2026.

The forward price-to-earnings (PE) ratio for Eli Lilly is 26.70 in FY 2026, which is a relatively stable indicator of the company's financial health. The number of analysts covering Eli Lilly has remained stable, with 23 analysts covering the company in FY 2026.

Here is a summary of Eli Lilly's projected financial performance:

EPS growth is a key metric that measures the change in earnings per share (EPS) over time. It's a crucial indicator of a company's financial health and potential for future growth.

The EPS growth rate for Eli Lilly and Company (LLY) has been impressive, with an average growth rate of 129.1% in 2024, according to the EPS forecast. This is a significant increase from the previous year.

The EPS growth rate is expected to continue its upward trend, with a high estimate of 144.5% in 2024, a low estimate of 116.3% in 2024, and an average estimate of 129.1% in 2024. This suggests that the company is likely to experience significant growth in its earnings per share.

Here's a breakdown of the EPS growth rate estimates for the next few years:

These estimates suggest that the EPS growth rate will continue to be strong in the next few years, with some variability depending on the estimate.

Cash Flow Accounts are a crucial aspect of a company's financial health. Eli Lilly's Cash Flow Accounts reveal some interesting trends.

In 2020, Eli Lilly generated a remarkable $4.5 billion in Free Cash Flow, a significant improvement from previous years. This is likely due to the company's strong operating performance.

The company's Depreciation expenses have been steadily increasing, reaching $1.8 billion in 2024, a notable jump from $1.3 billion in 2020. This could be due to the company's investments in new equipment and technology.

Eli Lilly's Capital Expenditures have also been on the rise, reaching $8.8 billion in 2025, a significant increase from $2.0 billion in 2020. This suggests that the company is investing heavily in its future growth.

Here's a breakdown of Eli Lilly's Cash Flow Accounts for 2020-2025:

The company's Dividends Paid have also been increasing, reaching $4.1 billion in 2023, a significant jump from $2.7 billion in 2020. This suggests that Eli Lilly is committed to rewarding its shareholders.

Eli Lilly's fundamentals are impressive compared to its peers. The company has a Return On Equity of 0.84, significantly higher than the peer average of -0.31.

Eli Lilly's operating margin is also noteworthy, standing at 0.42%, which is a stark contrast to the peer average of -5.51%. This indicates the company's ability to generate profits from its operations.

The company's current valuation is substantial, with a market capitalization of 784.21 billion, dwarfing the peer average of 19.03 billion. This highlights the company's size and scale.

Eli Lilly's share ownership is also interesting, with institutional investors holding 83.40% of the company's shares, compared to the peer average of 39.21%. This suggests a high level of institutional support for the company.

Here's a comparison of Eli Lilly's financial metrics with its peers:

Eli Lilly's debt-to-equity ratio is relatively low, standing at 1.58%, compared to the peer average of 48.70%. This indicates the company's ability to manage its debt levels effectively.

Worth a look: Is Preferred Shares Debt or Equity

The company's cash flow from operations is substantial, standing at 8.82 billion, compared to the peer average of 971.22 million. This highlights the company's ability to generate cash from its operations.

Eli Lilly's earnings per share are also noteworthy, standing at 11.71, compared to the peer average of 3.12. This indicates the company's ability to generate profits for its shareholders.

Intriguing read: Southern Company Stock Quote

In the market and trading aspect, it's worth noting that over 83.0% of Eli Lilly company shares are owned by institutional investors.

This high level of institutional ownership can influence the stock's performance and trading activity. Institutional investors often have a significant impact on the stock market, and their decisions can affect the stock's price.

Eli Lilly has filed for a mixed shelf offering, as reported by seekingalpha.com. This could be a sign of the company's plans for future growth and development.

The mixed shelf offering allows Eli Lilly to raise capital by issuing a variety of securities, such as debt or equity, to investors. This can be a strategic move to finance new projects or pay off debts.

A fresh viewpoint: Investors Buy Stock at the

Analysts are overwhelmingly bullish on Eli Lilly stock, with an average rating of "Strong Buy" from 22 stock analysts.

The analyst consensus is clear: 11 analysts recommended a "Strong Buy" rating in August, and this number remained steady throughout the subsequent months.

The "Strong Buy" rating is not the only positive indicator, as 8 analysts consistently recommended a "Buy" rating throughout the period.

You can see the trend of analyst ratings in the table below:

The lack of sell ratings is also noteworthy, with no analysts recommending a "Sell" or "Strong Sell" rating throughout the period.

Eli Lilly stock can be a good investment for long-term growth, with a 5-year average annual return of 15.6%. This is due in part to the company's strong financials, with a debt-to-equity ratio of 0.3.

The stock's volatility can be a concern for some investors, with a beta of 0.8. However, this volatility can also present opportunities for traders to buy low and sell high.

In terms of trading and execution, it's essential to have a solid understanding of the company's business model and industry trends. Eli Lilly's focus on developing innovative treatments for diseases such as diabetes and cancer can drive growth and increase shareholder value.

Worth a look: Eli Lilly Stock Splits

As you scan the market for potential trades, it's essential to be aware of the ownership structure of the companies you're considering. Over 83.0% of Eli Lilly's company shares are owned by institutional investors.

This high level of institutional ownership can be a significant factor in a company's stock price movement. Institutional investors often have a significant influence on a company's direction and can drive the stock price up or down.

If you're considering trading Eli Lilly, keep an eye on the company's recent filings, like the mixed shelf offering they recently filed with the SEC. This can be a sign of the company's plans for future growth or restructuring.

Here are some key statistics to keep in mind when trading Eli Lilly:

To execute trades, you need to understand the different types of orders that can be placed, such as market orders, limit orders, and stop-loss orders.

Market orders are executed at the current market price, while limit orders are executed at a specific price or better. This is crucial because it determines how much control you have over the execution of your trades.

A stop-loss order, on the other hand, is designed to limit your losses if the price moves against you. It's like setting a safety net to prevent you from losing more than you can afford.

You can also use a trailing stop-loss order, which adjusts the stop-loss price as the trade moves in your favor. This helps to lock in profits while still limiting potential losses.

In addition to these orders, you can also use a take-profit order to close a trade when it reaches a certain price. This is a great way to lock in profits and avoid over-trading.

Additional reading: Learn How to Trade Penny Stocks for Free

Eli Lilly stock has been a hot topic lately, and many analysts are weighing in with their predictions. The average target for Eli Lilly stock is $976.19, with a low estimate of $723 and a high estimate of $1,190.

Analysts are optimistic about Eli Lilly's future, with an average target predicting an increase of 21.39% from the current stock price of $804.19. This is a significant jump, and investors are likely eager to see if the company can deliver.

Here's an interesting read: Stla Stock Average Brokerage Recommendations

Here's a breakdown of the analysts' predictions:

As you can see, the analysts' predictions vary widely, but most are optimistic about Eli Lilly's future. The company's revenue is expected to continue growing, with a projected increase of 34.20% in FY 2024.

Eli Lilly's earnings per share (EPS) are also expected to rise, with a projected increase of 129.13% in FY 2024. This is a significant jump, and investors are likely eager to see if the company can deliver.

For another approach, see: When a Mutual Insurer Becomes a Stock Company