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Eli Lilly (LLY) Gains As Market Dips: What You Should Know
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Eli Lilly (LLY - Free Report) closed at $370.47 in the latest trading session, marking a +0.15% move from the prior day. This move outpaced the S&P 500's daily loss of 0.01%. Meanwhile, the Dow lost 0.23%, and the Nasdaq, a tech-heavy index, added 0.97%.
Coming into today, shares of the drugmaker had gained 11.73% in the past month. In that same time, the Medical sector gained 5.81%, while the S&P 500 gained 6.23%.
Eli Lilly will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. The company is expected to report EPS of $1.64, down 37.4% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.81 billion, down 12.77% from the year-ago period.
LLY's full-year Zacks Consensus Estimates are calling for earnings of $8.46 per share and revenue of $30.55 billion. These results would represent year-over-year changes of +6.55% and +7.05%, respectively.
Investors might also notice recent changes to analyst estimates for Eli Lilly. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.34% lower within the past month. Eli Lilly is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Eli Lilly is currently trading at a Forward P/E ratio of 43.71. Its industry sports an average Forward P/E of 14.8, so we one might conclude that Eli Lilly is trading at a premium comparatively.
Also, we should mention that LLY has a PEG ratio of 2.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 1.82 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow LLY in the coming trading sessions, be sure to utilize Zacks.com.
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Eli Lilly (LLY) Gains As Market Dips: What You Should Know
Eli Lilly (LLY - Free Report) closed at $370.47 in the latest trading session, marking a +0.15% move from the prior day. This move outpaced the S&P 500's daily loss of 0.01%. Meanwhile, the Dow lost 0.23%, and the Nasdaq, a tech-heavy index, added 0.97%.
Coming into today, shares of the drugmaker had gained 11.73% in the past month. In that same time, the Medical sector gained 5.81%, while the S&P 500 gained 6.23%.
Eli Lilly will be looking to display strength as it nears its next earnings release, which is expected to be April 27, 2023. The company is expected to report EPS of $1.64, down 37.4% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.81 billion, down 12.77% from the year-ago period.
LLY's full-year Zacks Consensus Estimates are calling for earnings of $8.46 per share and revenue of $30.55 billion. These results would represent year-over-year changes of +6.55% and +7.05%, respectively.
Investors might also notice recent changes to analyst estimates for Eli Lilly. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.34% lower within the past month. Eli Lilly is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Eli Lilly is currently trading at a Forward P/E ratio of 43.71. Its industry sports an average Forward P/E of 14.8, so we one might conclude that Eli Lilly is trading at a premium comparatively.
Also, we should mention that LLY has a PEG ratio of 2.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 1.82 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow LLY in the coming trading sessions, be sure to utilize Zacks.com.