Yahoo Finance Eli Lilly (LLY) Stock Drops Despite Market Gains: Important Facts to Note
In the latest market close, Eli Lilly (LLY) reached $901.26, with a -0.37% movement compared to the previous day. This move lagged the S&P 500's daily gain of 0.16%. Elsewhere, the Dow saw an upswing of 0.04%, while the tech-heavy Nasdaq appreciated by 0.49%.
Shares of the drugmaker have appreciated by 11.98% over the course of the past month, outperforming the Medical sector's gain of 2.32% and the S&P 500's gain of 3.22%.
Market participants will be closely following the financial results of Eli Lilly in its upcoming release. The company's earnings per share (EPS) are projected to be $2.65, reflecting a 25.59% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $9.8 billion, indicating a 17.96% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $13.61 per share and a revenue of $42.86 billion, demonstrating changes of +115.35% and +25.61%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Eli Lilly. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.04% higher. Eli Lilly is currently a Zacks Rank #3 (Hold).
Looking at valuation, Eli Lilly is presently trading at a Forward P/E ratio of 66.46. This signifies a premium in comparison to the average Forward P/E of 14.79 for its industry.
We can additionally observe that LLY currently boasts a PEG ratio of 1.99. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As the market closed yesterday, the Large Cap Pharmaceuticals industry was having an average PEG ratio of 1.82.
The Large Cap Pharmaceuticals industry is part of the Medical sector. With its current Zacks Industry Rank of 85, this industry ranks in the top 34% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Eli Lilly and Company (LLY) : Free Stock Analysis Report
