In the latest close session, Eli Lilly (LLY) was down 1.89% at $905.03. This change lagged the S&P 500's 0.8% gain on the day. Elsewhere, the Dow lost 0.15%, while the tech-heavy Nasdaq added 1.6%.
The drugmaker's shares have seen a decrease of 0.84% over the last month, not keeping up with the Medical sector's loss of 0.77% and the S&P 500's gain of 5.15%.
The investment community will be closely monitoring the performance of Eli Lilly in its forthcoming earnings report. The company is scheduled to release its earnings on April 30, 2026. On that day, Eli Lilly is projected to report earnings of $7.52 per share, which would represent year-over-year growth of 125.15%. In the meantime, our current consensus estimate forecasts the revenue to be $17.62 billion, indicating a 38.45% growth compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $34.32 per share and a revenue of $82.06 billion, representing changes of +41.76% and +25.9%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Eli Lilly. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.15% lower. Eli Lilly currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Eli Lilly is presently trading at a Forward P/E ratio of 26.88. This represents a premium compared to its industry average Forward P/E of 14.63.
We can additionally observe that LLY currently boasts a PEG ratio of 1.08. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 2.33 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 171, which puts it in the bottom 30% of all 250+ industries.
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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Eli Lilly and Company (LLY): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).