Eli Lilly and Company (NYSE:LLY) Sets New 52-Week High Following Earnings Beat

Key Points

• Eli Lilly shares hit a new 52-week high after the company reported adjusted EPS of $7.48, well above the $5.68 consensus, and quarterly revenue of $24.4 billion versus expectations of $22.58 billion.
• Mounjaro and Zepbound drove strong growth: Sales rose 65% and 49%, respectively, while Lilly raised its 2026 revenue outlook to $91 billion–$92 billion.
• The company’s outlook is supported by its obesity-drug pipeline, including promising retatrutide results, though investors face risks from reimbursement pressures and significant acquisition-related charges; analysts maintain a consensus “Moderate Buy” rating.

Shares of Eli Lilly and Company (NYSE:LLY - Get Free Report) reached a new 52-week high on Thursday following a better than expected earnings announcement. The company traded as high as $1,408.38 and last traded at $1,389.7750, with a volume of 1,088,841 shares. The stock had previously closed at $1,288.30.

The company reported $7.48 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.68 by $1.80. The firm had revenue of $24.40 billion during the quarter, compared to analyst estimates of $22.58 billion. Eli Lilly and Company had a return on equity of 97.83% and a net margin of 33.53%. Eli Lilly and Company's quarterly revenue was up 38.6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $7.02 EPS.

Eli Lilly and Company Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Friday, November 13th will be issued a $1.73 dividend. The ex-dividend date of this dividend is Friday, November 13th. This represents a $6.92 dividend on an annualized basis and a dividend yield of 0.5%. Eli Lilly and Company's dividend payout ratio (DPR) is presently 23.22%.

Key Stories Impacting Eli Lilly and Company

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

• Positive Sentiment: Major earnings and revenue beat: Third-quarter revenue rose 39% year over year to $24.4 billion, exceeding analyst expectations of $22.58 billion. Adjusted EPS was $7.48 versus the $5.68 consensus estimate, while reported EPS was $7.22. Eli Lilly's blowout quarter has a $5.5 billion twist
• Positive Sentiment: Mounjaro and Zepbound remain powerful growth drivers: Mounjaro sales climbed 65% to $10.7 billion, while Zepbound revenue increased 49% to $5.35 billion, reinforcing Lilly’s leadership in the diabetes and obesity-drug markets. Eli Lilly Revenue Climbs on Demand for Mounjaro, Zepbound
• Positive Sentiment: Higher sales outlook: Lilly raised its 2026 revenue forecast to $91 billion-$92 billion from $85 billion-$87 billion, supported by sustained demand for injectable weight-loss treatments. The FDA also approved Mounjaro to reduce cardiovascular risk in certain adults with type 2 diabetes. Eli Lilly lifts revenue outlook on weight-loss drug sales
• Positive Sentiment: Promising next-generation pipeline: In a Phase 3 diabetes trial, experimental retatrutide produced greater A1C reductions and more than double the weight loss of Novo Nordisk’s Ozempic, strengthening Lilly’s longer-term competitive position. Lilly's retatrutide delivered greater weight loss than Ozempic
• Neutral Sentiment: Profit outlook includes significant charges: Lilly recorded about $4.2 billion in acquired in-process research and development charges, primarily tied to acquisitions. The quarter also benefited from roughly $900 million in milestone and rebate adjustments, which may limit how much of the earnings beat investors view as recurring. Lilly reports third-quarter 2026 financial results
• Negative Sentiment: Risks remain around affordability and sentiment: Some employers are considering reducing coverage for weight-loss drugs, potentially creating reimbursement pressure. In addition, several Lilly executives have sold shares recently, although those transactions do not necessarily indicate a change in business fundamentals. Employers consider cutting weight-loss drug coverage

Analyst Ratings Changes

LLY has been the subject of several research analyst reports. UBS Group set a $1,376.00 price objective on Eli Lilly and Company in a report on Friday, August 7th. Berenberg Bank set a $1,400.00 price target on shares of Eli Lilly and Company and gave the company a "buy" rating in a report on Tuesday, September 15th. Royal Bank Of Canada reiterated an "outperform" rating and issued a $1,500.00 price target on shares of Eli Lilly and Company in a research note on Monday, October 12th. The Goldman Sachs Group reissued a "buy" rating and set a $1,413.00 price objective on shares of Eli Lilly and Company in a report on Tuesday, October 20th. Finally, TD Cowen restated a "buy" rating and set a $1,250.00 price objective on shares of Eli Lilly and Company in a research report on Tuesday, September 22nd. One equities research analyst has rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Eli Lilly and Company currently has a consensus rating of "Moderate Buy" and an average target price of $1,320.25.

Insider Transactions at Eli Lilly and Company

In other news, CAO Donald Zakrowski sold 2,000 shares of the company's stock in a transaction on Monday, August 10th. The stock was sold at an average price of $1,185.01, for a total value of $2,370,020.00. Following the completion of the sale, the chief accounting officer directly owned 1,526 shares in the company, valued at $1,808,325.26. This represents a 56.72% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Patrik Jonsson sold 6,500 shares of the firm's stock in a transaction on Monday, August 17th. The stock was sold at an average price of $1,175.10, for a total value of $7,638,150.00. Following the completion of the transaction, the executive vice president directly owned 54,147 shares in the company, valued at approximately $63,628,139.70. This represents a 10.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 13,500 shares of company stock worth $15,958,170 in the last three months. Corporate insiders own 0.14% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in LLY. Austin Asset Management Co Inc raised its stake in shares of Eli Lilly and Company by 3.3% in the third quarter. Austin Asset Management Co Inc now owns 3,253 shares of the company's stock valued at $3,764,000 after buying an additional 103 shares during the period. Verus Financial Partners Inc. grew its holdings in shares of Eli Lilly and Company by 4.8% in the third quarter. Verus Financial Partners Inc. now owns 330 shares of the company's stock worth $381,000 after purchasing an additional 15 shares during the last quarter. Columbia Bank boosted its position in Eli Lilly and Company by 2.2% during the 3rd quarter. Columbia Bank now owns 3,674 shares of the company's stock valued at $4,251,000 after acquiring an additional 80 shares in the last quarter. Hoey Investments Inc. raised its position in shares of Eli Lilly and Company by 23.5% in the 3rd quarter. Hoey Investments Inc. now owns 231 shares of the company's stock worth $267,000 after purchasing an additional 44 shares during the last quarter. Finally, Mirae Asset Global Investments Co. Ltd. bought a new stake in Eli Lilly and Company in the 3rd quarter worth about $366,422,000. 82.53% of the stock is currently owned by institutional investors.

Eli Lilly and Company Stock Performance

The business has a fifty day simple moving average of $1,192.52 and a two-hundred day simple moving average of $1,089.35. The company has a quick ratio of 1.00, a current ratio of 1.35 and a debt-to-equity ratio of 1.41. The company has a market cap of $1.31 trillion, a P/E ratio of 46.74, a P/E/G ratio of 1.71 and a beta of 0.46.

About Eli Lilly and Company

Eli Lilly and Company NYSE: LLY is a global pharmaceutical company that discovers, develops, manufactures and markets medicines for a range of medical conditions. Its major therapeutic areas include diabetes and obesity, oncology, immunology, neuroscience and cardiovascular health.

The company's portfolio includes Mounjaro and Trulicity for diabetes, Zepbound for chronic weight management, Humalog insulin, Taltz for inflammatory diseases, Verzenio for certain breast cancers and Kisunla for early symptomatic Alzheimer's disease.

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