Eli Lilly and Company (NYSE:LLY) Stock Price Down 2.3% - Should You Sell?

Key Points

• LLY shares fell 2.3% on Friday even as trading volume came in below average, with the stock last trading around $1,189 after closing at $1,216.95 the prior session.
• Despite the dip, analyst sentiment remains largely bullish: Bank of America, JPMorgan, RBC, Jefferies, and Leerink all raised price targets or reiterated positive ratings, with MarketBeat showing an average Moderate Buy and a target price of $1,263.41.
• The company continues to benefit from strong fundamentals and pipeline news, including record GLP-1 demand, a recent earnings beat, and progress in new programs such as neuropathic pain and Alzheimer’s research, though a lawsuit over 340B discounts adds some regulatory risk.

Eli Lilly and Company (NYSE:LLY - Get Free Report) fell 2.3% during mid-day trading on Friday . The company traded as low as $1,178.32 and last traded at $1,189.0620. 1,978,736 shares changed hands during trading, a decline of 38% from the average session volume of 3,205,755 shares. The stock had previously closed at $1,216.95.

Key Headlines Impacting Eli Lilly and Company

Here are the key news stories impacting Eli Lilly and Company this week:

• Positive Sentiment: Bank of America raised its price target on Eli Lilly to $1,334 from $1,251 and reiterated a buy rating, signaling confidence in further upside from current levels. Benzinga article
• Positive Sentiment: JPMorgan and RBC also reportedly lifted their LLY targets, reinforcing Wall Street’s bullish stance on Lilly’s growth outlook and drug demand. TheStreet article
• Positive Sentiment: New coverage highlighted record GLP-1 usage and accelerating sales of Lilly’s best-selling obesity and diabetes medicines, supporting expectations for strong revenue growth. Motley Fool article
• Positive Sentiment: Lilly announced progress in its neuropathic pain program, with a Phase 2 trial reaching completion, adding to the company’s pipeline momentum beyond GLP-1 drugs. TipRanks article
• Positive Sentiment: Lilly said it will present 16 abstracts at AAIC 2026, including new Alzheimer’s diagnostic and therapeutic data, which could broaden investor confidence in its longer-term growth pipeline. PR Newswire article
• Neutral Sentiment: Several market commentary pieces noted that biotech and Lilly remain among the market’s stronger growth names, with mutual funds and strategists showing continued interest in the sector. Zacks article
• Negative Sentiment: Tampa General Hospital sued Eli Lilly over allegedly pulling 340B discounts, creating a legal/regulatory overhang that could pressure sentiment if the dispute escalates. Healthcare Finance News article

Analysts Set New Price Targets

A number of equities analysts recently commented on LLY shares. BMO Capital Markets reissued an "outperform" rating on shares of Eli Lilly and Company in a research note on Monday, June 15th. Jefferies Financial Group increased their target price on Eli Lilly and Company from $1,330.00 to $1,350.00 and gave the company a "buy" rating in a research report on Tuesday, June 9th. Rothschild & Co Redburn lifted their price target on Eli Lilly and Company from $880.00 to $900.00 in a report on Thursday, May 7th. Leerink Partners boosted their price target on Eli Lilly and Company from $1,119.00 to $1,232.00 and gave the stock an "outperform" rating in a research report on Thursday, June 25th. Finally, Wall Street Zen upgraded Eli Lilly and Company from a "buy" rating to a "strong-buy" rating in a research note on Saturday, May 2nd. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-three have given a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $1,263.41.

Eli Lilly and Company Stock Performance

The company has a debt-to-equity ratio of 1.26, a quick ratio of 1.10 and a current ratio of 1.50. The stock has a market cap of $1.12 trillion, a P/E ratio of 42.24, a price-to-earnings-growth ratio of 1.51 and a beta of 0.51. The firm's 50 day moving average is $1,091.91 and its 200 day moving average is $1,032.43.

Eli Lilly and Company (NYSE:LLY - Get Free Report) last announced its earnings results on Thursday, April 30th. The company reported $8.55 earnings per share for the quarter, beating the consensus estimate of $6.97 by $1.58. Eli Lilly and Company had a net margin of 34.98% and a return on equity of 105.77%. The company had revenue of $19.80 billion during the quarter, compared to the consensus estimate of $17.82 billion. During the same period last year, the firm earned $3.34 earnings per share. Eli Lilly and Company's revenue was up 55.5% compared to the same quarter last year. Eli Lilly and Company has set its FY 2026 guidance at 35.500-37.000 EPS. Analysts anticipate that Eli Lilly and Company will post 35.81 EPS for the current year.

Eli Lilly and Company Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Friday, August 14th will be given a $1.73 dividend. The ex-dividend date of this dividend is Friday, August 14th. This represents a $6.92 dividend on an annualized basis and a dividend yield of 0.6%. Eli Lilly and Company's dividend payout ratio (DPR) is presently 24.58%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the business. JFS Wealth Advisors LLC boosted its stake in Eli Lilly and Company by 20.6% in the 2nd quarter. JFS Wealth Advisors LLC now owns 901 shares of the company's stock worth $1,081,000 after purchasing an additional 154 shares in the last quarter. Tema ETFs LLC grew its position in Eli Lilly and Company by 5.6% during the 2nd quarter. Tema ETFs LLC now owns 25,006 shares of the company's stock worth $29,993,000 after purchasing an additional 1,321 shares during the last quarter. Peirce Capital Management LLC increased its stake in Eli Lilly and Company by 6.9% during the 2nd quarter. Peirce Capital Management LLC now owns 403 shares of the company's stock valued at $483,000 after purchasing an additional 26 shares in the last quarter. West Branch Capital LLC raised its holdings in shares of Eli Lilly and Company by 2.1% in the second quarter. West Branch Capital LLC now owns 8,703 shares of the company's stock worth $10,439,000 after buying an additional 178 shares during the last quarter. Finally, Canvas Wealth Advisors LLC raised its holdings in shares of Eli Lilly and Company by 4.1% in the second quarter. Canvas Wealth Advisors LLC now owns 1,493 shares of the company's stock worth $1,791,000 after buying an additional 59 shares during the last quarter. 82.53% of the stock is owned by institutional investors and hedge funds.

Eli Lilly and Company Company Profile

Eli Lilly and Company NYSE: LLY is a global pharmaceutical company founded in 1876 and headquartered in Indianapolis, Indiana. The company researches, develops, manufactures and commercializes a broad range of medicines and therapies for patients worldwide. Eli Lilly maintains operations and commercial presence across North America, Europe, Asia and other regions, serving both developed and emerging markets. The company has been led in recent years by President and Chief Executive Officer David A.

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