ELI LILLY & CO (LLY.DE) Stock Fundamental Analysis
Europe - FRA:LLY - US5324571083 - Common Stock
622.6 EUR
+5.1 (+0.83%)
Taking everything into account, LLY scores 6 out of 10 in our fundamental rating. LLY was compared to 51 industry peers in the Pharmaceuticals industry. While LLY has a great profitability rating, 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
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.
LLY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LLY's Return On Assets of 13.67% is amongst the best of the industry. LLY outperforms 86.27% of its industry peers.
With an excellent Return On Equity value of 75.52%, LLY belongs to the best of the industry, outperforming 96.08% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 29.63%, LLY belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for LLY is significantly above the industry average of 15.11%.
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 90.20% of the companies in the same industry.
LLY's Profit Margin has declined in the last couple of years.
LLY has a Operating Margin of 42.13%. This is amongst the best in the industry. LLY outperforms 94.12% of its industry peers.
LLY's Operating Margin has improved in the last couple of years.
LLY's Gross Margin of 82.64% is amongst the best of the industry. LLY outperforms 84.31% 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.
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.
The debt/assets ratio for LLY is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.61 indicates that LLY is not in any danger for bankruptcy at the moment.
The Altman-Z score of LLY (6.61) is better than 88.24% of its industry peers.
LLY has a Debt/Equity ratio of 1.87. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.87, LLY is not doing good in the industry: 78.43% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 6.61 |
ROIC/WACC3.05
WACC9.72%
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 comparable to the rest of the 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.
The Quick ratio of LLY (1.00) 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.
The Revenue has grown by 36.83% in the past year. This is a very strong growth!
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 Y76.53%
EPS Next 2Y52.79%
EPS Next 3Y41.48%
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
With a Price/Earnings ratio of 45.18, LLY can be considered very expensive at the moment.
Based on the Price/Earnings ratio, LLY is valued a bit more expensive than the industry average as 62.75% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 27.67. LLY is valued rather expensively when compared to this.
With a Price/Forward Earnings ratio of 24.05, LLY is valued on the expensive side.
64.71% of the companies in the same industry are cheaper than LLY, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of LLY to the average of the S&P500 Index (23.13), we can say LLY is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.18 | ||
| Fwd PE | 24.05 |
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 68.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 29.65 |
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 41.48% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.59
PEG (5Y)2.73
EPS Next 2Y52.79%
EPS Next 3Y41.48%
5. Dividend
5.1 Amount
With a yearly dividend of 0.81%, LLY is not a good candidate for dividend investing.
LLY's Dividend Yield is comparable with the industry average which is at 3.03.
With a Dividend Yield of 0.81, LLY pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.81% |
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
LLY pays out 36.46% of its income as dividend. This is a sustainable payout ratio.
LLY's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP36.46%
EPS Next 2Y52.79%
EPS Next 3Y41.48%
FRA:LLY (9/30/2025, 5:29:41 PM)
622.6
+5.1 (+0.83%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners83.75%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap589.27B
Analysts80
Price Target769.93 (23.66%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.81% |
Yearly Dividend4.23
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)0.43%
PT rev (3m)-10.28%
EPS NQ rev (1m)0.09%
EPS NQ rev (3m)3.8%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)5.39%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)4.43%
Revenue NY rev (1m)-0.1%
Revenue NY rev (3m)3.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.18 | ||
| Fwd PE | 24.05 | ||
| P/S | 12.97 | ||
| P/FCF | N/A | ||
| P/OCF | 63.15 | ||
| P/B | 37.8 | ||
| P/tB | 104.76 | ||
| EV/EBITDA | 29.65 |
EPS(TTM)13.78
EY2.21%
EPS(NY)25.89
Fwd EY4.16%
FCF(TTM)-0.05
FCFYN/A
OCF(TTM)9.86
OCFY1.58%
SpS48
BVpS16.47
TBVpS5.94
PEG (NY)0.59
PEG (5Y)2.73
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 | 6.61 |
F-Score6
WACC9.72%
ROIC/WACC3.05
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 Y76.53%
EPS Next 2Y52.79%
EPS Next 3Y41.48%
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 Year93.86%
EBIT Next 3Y42.49%
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%