Eli Lilly and Company (NYSE:LLY) Stock Price Up 4.2% – Still a Buy?

Eli Lilly and Company (NYSE:LLY)’s stock price rose 4.2% during trading on Friday . The stock traded as high as $811.35 and last traded at $789.62. Approximately 3,807,290 shares were traded during trading, an increase of 18% from the average daily volume of 3,214,142 shares. The stock had previously closed at $757.54.

Analyst Ratings Changes

Several research firms recently issued reports on LLY. Evercore ISI upgraded Eli Lilly and Company to a “hold” rating in a report on Thursday, September 5th. Truist Financial increased their price objective on Eli Lilly and Company from $1,000.00 to $1,033.00 and gave the company a “buy” rating in a report on Thursday, October 10th. Deutsche Bank Aktiengesellschaft lowered their target price on shares of Eli Lilly and Company from $1,025.00 to $1,015.00 and set a “buy” rating on the stock in a report on Monday, November 4th. Redburn Atlantic upgraded shares of Eli Lilly and Company to a “hold” rating in a research note on Monday, November 4th. Finally, Morgan Stanley reaffirmed an “overweight” rating and issued a $1,106.00 target price on shares of Eli Lilly and Company in a report on Tuesday, August 27th. Four research analysts have rated the stock with a hold rating and seventeen have assigned a buy rating to the company’s stock. According to MarketBeat, Eli Lilly and Company currently has an average rating of “Moderate Buy” and an average target price of $1,002.22.

Eli Lilly and Company Stock Performance

The stock has a 50-day simple moving average of $822.23 and a 200-day simple moving average of $869.42. The company has a debt-to-equity ratio of 2.03, a current ratio of 1.27 and a quick ratio of 0.97. The stock has a market cap of $743.12 billion, a P/E ratio of 84.63, a PEG ratio of 3.02 and a beta of 0.41.

Eli Lilly and Company (NYSE:LLY) last issued its quarterly earnings data on Wednesday, October 30th. The company reported $1.18 EPS for the quarter, missing the consensus estimate of $1.52 by ($0.34). The company had revenue of $11.44 billion during the quarter, compared to the consensus estimate of $12.09 billion. Eli Lilly and Company had a net margin of 20.48% and a return on equity of 71.08%. Eli Lilly and Company’s revenue for the quarter was up 20.4% on a year-over-year basis. During the same period in the previous year, the company earned $0.10 EPS. Research analysts forecast that Eli Lilly and Company will post 13.18 earnings per share for the current year.

Eli Lilly and Company Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 10th. Shareholders of record on Friday, February 14th will be issued a dividend of $1.50 per share. This represents a $6.00 dividend on an annualized basis and a yield of 0.77%. This is a positive change from Eli Lilly and Company’s previous quarterly dividend of $1.30. The ex-dividend date is Friday, February 14th. Eli Lilly and Company’s payout ratio is presently 64.86%.

Eli Lilly and Company announced that its Board of Directors has authorized a stock repurchase program on Monday, December 9th that allows the company to repurchase $15.00 billion in outstanding shares. This repurchase authorization allows the company to reacquire up to 2% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s leadership believes its stock is undervalued.

Insider Activity at Eli Lilly and Company

In related news, CAO Donald A. Zakrowski sold 900 shares of the business’s stock in a transaction on Friday, November 8th. The shares were sold at an average price of $803.38, for a total value of $723,042.00. Following the transaction, the chief accounting officer now owns 5,480 shares in the company, valued at $4,402,522.40. The trade was a 14.11 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.13% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Eli Lilly and Company

Several institutional investors have recently added to or reduced their stakes in LLY. Independent Solutions Wealth Management LLC raised its holdings in Eli Lilly and Company by 6.0% during the third quarter. Independent Solutions Wealth Management LLC now owns 872 shares of the company’s stock worth $773,000 after buying an additional 49 shares during the last quarter. SMART Wealth LLC bought a new position in Eli Lilly and Company in the 3rd quarter valued at about $457,000. Exome Asset Management LLC boosted its stake in Eli Lilly and Company by 7.7% during the 3rd quarter. Exome Asset Management LLC now owns 10,447 shares of the company’s stock valued at $9,255,000 after purchasing an additional 747 shares during the last quarter. DGS Capital Management LLC increased its holdings in Eli Lilly and Company by 7.2% during the 3rd quarter. DGS Capital Management LLC now owns 5,239 shares of the company’s stock worth $4,641,000 after purchasing an additional 350 shares in the last quarter. Finally, Garden State Investment Advisory Services LLC raised its position in Eli Lilly and Company by 16.4% in the 3rd quarter. Garden State Investment Advisory Services LLC now owns 2,634 shares of the company’s stock valued at $2,338,000 after buying an additional 372 shares during the last quarter. 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.