Eli Lilly and Company (NYSE:LLY) Shares Down 4.2% - What's Next?

Key Points

• Eli Lilly and Company shares fell 4.2%, trading as low as $755.18 and closing at $773.99, with a trading volume 20% lower than average.
• Analysts have varied opinions on the stock, with a mix of ratings: one sell, three hold, and seventeen buy ratings, resulting in an average target price of $1,012.56.
• The company recently reported disappointing earnings, with Earnings Per Share (EPS) of $3.34, missing consensus estimates by $1.30, despite a revenue increase of 45.2% year-over-year.

Eli Lilly and Company (NYSE:LLY - Get Free Report)'s share price fell 4.2% during mid-day trading on Tuesday . The stock traded as low as $755.18 and last traded at $773.99. 2,998,039 shares changed hands during trading, a decline of 20% from the average session volume of 3,753,040 shares. The stock had previously closed at $808.11.

Analysts Set New Price Targets

Several research analysts recently weighed in on the company. Wall Street Zen upgraded Eli Lilly and Company from a "hold" rating to a "buy" rating in a research report on Saturday, July 26th. Wells Fargo & Company reissued an "overweight" rating on shares of Eli Lilly and Company in a research note on Thursday, May 1st. Cantor Fitzgerald began coverage on Eli Lilly and Company in a research report on Tuesday, April 22nd. They set an "overweight" rating and a $975.00 price objective for the company. HSBC lowered Eli Lilly and Company from a "buy" rating to a "reduce" rating and cut their target price for the stock from $1,150.00 to $700.00 in a research report on Monday, April 28th. Finally, Hsbc Global Res cut shares of Eli Lilly and Company from a "strong-buy" rating to a "moderate sell" rating in a report on Monday, April 28th. One investment analyst has rated the stock with a sell rating, three have given a hold rating and seventeen have issued a buy rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $1,012.56.

Eli Lilly and Company Stock Performance

The company has a current ratio of 1.37, a quick ratio of 1.06 and a debt-to-equity ratio of 2.18. The stock has a market cap of $721.26 billion, a price-to-earnings ratio of 61.92, a P/E/G ratio of 1.08 and a beta of 0.40. The stock's 50-day moving average is $774.07 and its 200-day moving average is $800.13.

Eli Lilly and Company (NYSE:LLY - Get Free Report) last issued its quarterly earnings data on Thursday, May 1st. The company reported $3.34 earnings per share for the quarter, missing the consensus estimate of $4.64 by ($1.30). The firm had revenue of $12.73 billion during the quarter, compared to the consensus estimate of $12.77 billion. Eli Lilly and Company had a net margin of 22.67% and a return on equity of 85.51%. The company's revenue for the quarter was up 45.2% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.58 earnings per share. On average, analysts expect that Eli Lilly and Company will post 23.48 EPS for the current year.

Eli Lilly and Company Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, September 10th. Stockholders of record on Friday, August 15th will be paid a $1.50 dividend. This represents a $6.00 dividend on an annualized basis and a dividend yield of 0.79%. The ex-dividend date of this dividend is Friday, August 15th. Eli Lilly and Company's dividend payout ratio is currently 48.82%.

Institutional Trading of Eli Lilly and Company

Several institutional investors and hedge funds have recently added to or reduced their stakes in LLY. Applied Finance Capital Management LLC raised its holdings in shares of Eli Lilly and Company by 1.4% during the fourth quarter. Applied Finance Capital Management LLC now owns 855 shares of the company's stock valued at $660,000 after acquiring an additional 12 shares during the period. Garner Asset Management Corp increased its stake in Eli Lilly and Company by 2.3% in the 4th quarter. Garner Asset Management Corp now owns 532 shares of the company's stock valued at $411,000 after buying an additional 12 shares during the period. Tobias Financial Advisors Inc. increased its stake in Eli Lilly and Company by 4.1% in the 4th quarter. Tobias Financial Advisors Inc. now owns 307 shares of the company's stock valued at $237,000 after buying an additional 12 shares during the period. Redwood Investments LLC increased its stake in Eli Lilly and Company by 0.5% in the 4th quarter. Redwood Investments LLC now owns 2,209 shares of the company's stock valued at $1,705,000 after buying an additional 12 shares during the period. Finally, Hobbs Wealth Management LLC increased its stake in Eli Lilly and Company by 0.8% in the 1st quarter. Hobbs Wealth Management LLC now owns 1,459 shares of the company's stock valued at $1,205,000 after buying an additional 12 shares during the period. 82.53% of the stock is owned by institutional investors and hedge funds.

About Eli Lilly and Company

Eli Lilly and Company discovers, develops, and markets human pharmaceuticals worldwide. The company offers Basaglar, Humalog, Humalog Mix 75/25, Humalog U-100, Humalog U-200, Humalog Mix 50/50, insulin lispro, insulin lispro protamine, insulin lispro mix 75/25, Humulin, Humulin 70/30, Humulin N, Humulin R, and Humulin U-500 for diabetes; Jardiance, Mounjaro, and Trulicity for type 2 diabetes; and Zepbound for obesity.