ELI LILLY & CO (1LLY.MI) Stock Fundamental Analysis
BIT:1LLY - Euronext Milan - US5324571083 - Common Stock - Currency: EUR
1LLY gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 52 industry peers in the Pharmaceuticals industry. While 1LLY has a great profitability rating, there are some minor concerns on its financial health. 1LLY is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year 1LLY was profitable.
In the past year 1LLY had a positive cash flow from operations.
1LLY had positive earnings in each of the past 5 years.
In the past 5 years 1LLY always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 12.42%, 1LLY belongs to the best of the industry, outperforming 84.31% of the companies in the same industry.
With an excellent Return On Equity value of 70.45%, 1LLY belongs to the best of the industry, outperforming 98.04% of the companies in the same industry.
1LLY's Return On Invested Capital of 27.17% is amongst the best of the industry. 1LLY outperforms 96.08% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1LLY is significantly above the industry average of 14.63%.
The 3 year average ROIC (21.71%) for 1LLY is below the current ROIC(27.17%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.42% | ||
| ROE | 70.45% | ||
| ROIC | 27.17% |
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
1LLY has a better Profit Margin (22.66%) than 82.35% of its industry peers.
In the last couple of years the Profit Margin of 1LLY has declined.
1LLY has a better Operating Margin (40.25%) than 96.08% of its industry peers.
1LLY's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 81.70%, 1LLY belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
In the last couple of years the Gross Margin of 1LLY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 40.25% | ||
| PM (TTM) | 22.66% | ||
| GM | 81.7% |
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), 1LLY is creating value.
Compared to 1 year ago, 1LLY has about the same amount of shares outstanding.
1LLY has less shares outstanding than it did 5 years ago.
1LLY has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 6.52 indicates that 1LLY is not in any danger for bankruptcy at the moment.
1LLY has a Altman-Z score of 6.52. This is amongst the best in the industry. 1LLY outperforms 88.24% of its industry peers.
A Debt/Equity ratio of 2.19 is on the high side and indicates that 1LLY has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.19, 1LLY is doing worse than 76.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.19 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 6.52 |
ROIC/WACC2.84
WACC9.56%
2.3 Liquidity
1LLY has a Current Ratio of 1.37. This is a normal value and indicates that 1LLY is financially healthy and should not expect problems in meeting its short term obligations.
1LLY has a Current ratio (1.37) which is in line with its industry peers.
1LLY has a Quick Ratio of 1.06. This is a normal value and indicates that 1LLY is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.06, 1LLY is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.06 |
3. Growth
3.1 Past
1LLY 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, 1LLY 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, 1LLY shows a very strong growth in Revenue. The Revenue has grown by 32.00%.
Measured over the past years, 1LLY 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)32%
Revenue growth 3Y16.73%
Revenue growth 5Y15.08%
Sales Q2Q%37.64%
3.2 Future
Based on estimates for the next years, 1LLY will show a very strong growth in Earnings Per Share. The EPS will grow by 30.28% on average per year.
The Revenue is expected to grow by 17.46% on average over the next years. This is quite good.
EPS Next Y68.06%
EPS Next 2Y50.91%
EPS Next 3Y41.6%
EPS Next 5Y30.28%
Revenue Next Year33.03%
Revenue Next 2Y26.05%
Revenue Next 3Y22.96%
Revenue Next 5Y17.46%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 38.95 indicates a quite expensive valuation of 1LLY.
Based on the Price/Earnings ratio, 1LLY is valued a bit more expensive than the industry average as 62.75% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of 1LLY to the average of the S&P500 Index (26.51), we can say 1LLY is valued slightly more expensively.
1LLY is valuated rather expensively with a Price/Forward Earnings ratio of 21.25.
1LLY's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of 1LLY to the average of the S&P500 Index (34.09), we can say 1LLY is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.95 | ||
| Fwd PE | 21.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1LLY is valued a bit more expensive than the industry average as 68.63% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 29.3 |
4.3 Compensation for Growth
1LLY'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 1LLY may justify a higher PE ratio.
1LLY's earnings are expected to grow with 41.60% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.57
PEG (5Y)2.35
EPS Next 2Y50.91%
EPS Next 3Y41.6%
5. Dividend
5.1 Amount
1LLY has a yearly dividend return of 0.94%, which is pretty low.
1LLY's Dividend Yield is comparable with the industry average which is at 3.22.
With a Dividend Yield of 0.94, 1LLY pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
On average, the dividend of 1LLY grows each year by 15.60%, which is quite nice.
Dividend Growth(5Y)15.6%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
43.74% of the earnings are spent on dividend by 1LLY. This is a bit on the high side, but may be sustainable.
1LLY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP43.74%
EPS Next 2Y50.91%
EPS Next 3Y41.6%
BIT:1LLY (8/8/2025, 7:00:00 PM)
540.2
-10.7 (-1.94%)
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 Cap511.97B
Analysts81.21
Price Target844.5 (56.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Yearly Dividend4.24
Dividend Growth(5Y)15.6%
DP43.74%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.92%
Min EPS beat(2)6.45%
Max EPS beat(2)9.38%
EPS beat(4)3
Avg EPS beat(4)11.23%
Min EPS beat(4)-20.34%
Max EPS beat(4)49.43%
EPS beat(8)7
Avg EPS beat(8)29.89%
EPS beat(12)9
Avg EPS beat(12)18.64%
EPS beat(16)11
Avg EPS beat(16)14.81%
Revenue beat(2)0
Avg Revenue beat(2)-0.87%
Min Revenue beat(2)-1.24%
Max Revenue beat(2)-0.5%
Revenue beat(4)1
Avg Revenue beat(4)1.15%
Min Revenue beat(4)-6.46%
Max Revenue beat(4)12.82%
Revenue beat(8)4
Avg Revenue beat(8)2.39%
Revenue beat(12)5
Avg Revenue beat(12)0.98%
Revenue beat(16)9
Avg Revenue beat(16)1.3%
PT rev (1m)-1.81%
PT rev (3m)-5.34%
EPS NQ rev (1m)0.5%
EPS NQ rev (3m)1.25%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.74%
Revenue NQ rev (1m)1.21%
Revenue NQ rev (3m)3.02%
Revenue NY rev (1m)0.61%
Revenue NY rev (3m)0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.95 | ||
| Fwd PE | 21.25 | ||
| P/S | 12.17 | ||
| P/FCF | N/A | ||
| P/OCF | 64 | ||
| P/B | 37.83 | ||
| P/tB | 149.76 | ||
| EV/EBITDA | 29.3 |
EPS(TTM)13.87
EY2.57%
EPS(NY)25.42
Fwd EY4.71%
FCF(TTM)-1.15
FCFYN/A
OCF(TTM)8.44
OCFY1.56%
SpS44.39
BVpS14.28
TBVpS3.61
PEG (NY)0.57
PEG (5Y)2.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.42% | ||
| ROE | 70.45% | ||
| ROCE | 33.25% | ||
| ROIC | 27.17% | ||
| ROICexc | 28.73% | ||
| ROICexgc | 36.37% | ||
| OM | 40.25% | ||
| PM (TTM) | 22.66% | ||
| GM | 81.7% | ||
| 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 Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.19 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.6 | ||
| Cap/Depr | 578.92% | ||
| Cap/Sales | 21.61% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 43.23% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.06 | ||
| Altman-Z | 6.52 |
F-Score6
WACC9.56%
ROIC/WACC2.84
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 Y68.06%
EPS Next 2Y50.91%
EPS Next 3Y41.6%
EPS Next 5Y30.28%
Revenue 1Y (TTM)32%
Revenue growth 3Y16.73%
Revenue growth 5Y15.08%
Sales Q2Q%37.64%
Revenue Next Year33.03%
Revenue Next 2Y26.05%
Revenue Next 3Y22.96%
Revenue Next 5Y17.46%
EBIT growth 1Y73.83%
EBIT growth 3Y31.18%
EBIT growth 5Y24.1%
EBIT Next Year84.34%
EBIT Next 3Y42.93%
EBIT Next 5Y29.3%
FCF growth 1Y-133.54%
FCF growth 3Y-57.48%
FCF growth 5Y-34.68%
OCF growth 1Y36.68%
OCF growth 3Y6.69%
OCF growth 5Y12.76%