Eli Lilly and Company(LLY) - Stock detail

Eli Lilly and Company

US
LLY
Eli Lilly and Company(Listing date: 07/09/1970)

Eli Lilly and Company was incorporated in Indiana in 1901, with its predecessor being a pharmaceutical manufacturing enterprise founded by Colonel Eli Lilly in Indianapolis, Indiana in 1876. The company develops, manufactures and markets important pharmaceutical products. Its mission is to combine "Caring" and "Discovery" to create better lives for people around the world.

AI Value AnalystBuy
Overall Rating8.3/10
Generated at:2026-03-04 16:37:06
Analysis based on 5 financial reports: 2025-12-31, 2025-09-30, 2025-06-30, 2025-03-31, and 2024-12-31. Data includes annual and quarterly financial statements. Some liquidity and debt metrics were not available in the provided reports.
Overview

Eli Lilly and Company is a leading global pharmaceutical company with exceptional financial performance, showing robust revenue growth of 44.70% YoY, net income growth of 94.90% YoY, and expanding margins. The company demonstrates strong profitability with high ROE (290.87%) and ROA (52.44%), supported by accelerating earnings growth and operational efficiencies.

Valuation
7/10
Profitability
10/10
Financial health
8/10
Operation Advice
  • Buy recommendation with short-term price target of $1,150-$1,250 (10-25% upside) and long-term target of $1,400-$1,600 (40-60% upside).
  • Set stop-loss at ~$900 (10% below current price) to manage downside risk.
  • Consider volatility in timing entry points.

Valuation

P/E TTM
47.85
P/E LYR
91.43
P/B MRQ
41.51
P/S TTM
--
AI Analysis
  • Current valuation appears fairly valued to slightly undervalued relative to growth prospects, with elevated PE ratios (TTM PE 47.85) justified by strong growth trajectory and premium PB ratio (41.51) common for high-growth pharma firms.
  • Current price: $1,003.57 as of 2026-03-05
  • Dynamic PE is 91.43 while TTM PE is 47.85
  • TTM PE reflects high growth expectations but is more grounded based on trailing earnings
  • PB ratio: 41.51 indicating premium valuation relative to book value
  • PS-TTM ratio: 14.54, high but supported by revenue growth (+44.70% YoY)
  • Stock trades near lower end of 60-day range ($993.66 - $1,133.95)
  • Appears fairly valued to slightly undervalued relative to growth prospects
  • Base case target price: $1,237.50 - $1,437.50 using TTM PE 47.85 and projected EPS growth
  • Upside case: $1,500 - $1,650 if growth persists with 30% EPS growth
  • Downside case: $1,056 - $1,188 if growth moderates with 15% EPS growth
Valuation trend

Profitability

ROE TTM
290.87%
Net margin
31.67%
Gross margin
83.04%
Total revenue
65.18B
AI Analysis
  • Exceptional profitability with gross margin of 83.04%, net margin expanded to 31.67% from 23.51% in 2024, driven by revenue growth and operational efficiencies. ROE surged to 290.87% and ROA reached 52.44% with accelerating EPS growth.
  • Gross margin improved to 83.04% (2025 annual), demonstrating pricing power and cost control
  • Net margin expanded to 31.67%, up from 23.51% in 2024
  • ROE surged to 290.87% (TTM)
  • ROA reached 52.44% (TTM), both exceptionally high
  • High ROE and ROA likely due to recent profit surges and potential equity structure changes
  • Quarterly trends show consistent improvement: Q3 2025 ROE was 73.72% (annualized basis)
  • Diluted EPS grew to $22.95 (2025 annual), up significantly from $11.71 in 2024
  • Quarterly EPS progression ($3.06 in Q1 to $15.56 in Q3 2025) underscores accelerating profitability
Profitability
2024Q42025Q12025Q22025Q32025Q4
ROE TTM--18.42%51.87%73.72%290.87%
Earnings
2024Q42025Q12025Q22025Q32025Q4
Total revenue45.04B12.73B28.29B45.89B65.18B

Financial health

Debt/Asset
--
Current ratio
--
Quick ratio
--
Cash ratio
--
AI Analysis
  • Strong financial condition with revenue of $65.18B showing robust growth (+44.70% YoY) and net income of $20.64B (+94.90% YoY). High profitability suggests solid cash flow generation, though specific liquidity ratios and debt metrics are not provided.
  • Revenue: $65.18B, showing robust growth (+44.70% YoY)
  • Net income reached $20.64B (+94.90% YoY), reflecting strong operational efficiency
  • Specific liquidity ratios (current/quick) are unavailable
  • High profitability suggests solid cash flow generation
  • Debt metrics are not provided
  • High ROA (52.44%) and ROE (290.87%) indicate effective use of assets and equity
  • Elevated ROE may signal significant leverage
Leverage
2024Q42025Q12025Q22025Q32025Q4
Debt/Asset81.87%82.27%81.82%79.25%--
Liquidity
2024Q42025Q12025Q22025Q32025Q4
Current ratio1.151.371.281.55--