In the latest close session, Eli Lilly (LLY) was up +1.51% at $738.17. The stock outpaced the S&P 500's daily gain of 0.21%. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 0.45%.
Shares of the drugmaker have appreciated by 16.23% over the course of the past month, outperforming the Medical sector's gain of 5.47%, and the S&P 500's gain of 3.07%.
Analysts and investors alike will be keeping a close eye on the performance of Eli Lilly in its upcoming earnings disclosure. In that report, analysts expect Eli Lilly to post earnings of $6.42 per share. This would mark year-over-year growth of 444.07%. In the meantime, our current consensus estimate forecasts the revenue to be $16.05 billion, indicating a 40.32% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $23.03 per share and revenue of $61.81 billion, which would represent changes of +77.29% and +37.22%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Eli Lilly. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 5.18% higher. Eli Lilly presently features a Zacks Rank of #3 (Hold).
With respect to valuation, Eli Lilly is currently being traded at a Forward P/E ratio of 31.58. This expresses a premium compared to the average Forward P/E of 14.41 of its industry.
One should further note that LLY currently holds a PEG ratio of 1.02. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. LLY's industry had an average PEG ratio of 1.37 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry, currently bearing a Zacks Industry Rank of 160, finds itself in the bottom 36% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Eli Lilly and Company (LLY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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