Eli Lilly & Co.

Find Ratings Reports
LLY : NYSE : Health Technology
$80.49 | %
Today's Range: 79.12 - 80.49
Avg. Daily Volume: 4544800.0
03/16/18 - 4:01 PM ET

Financial Analysis

LILLY (ELI) & CO's gross profit margin for the fourth quarter of its fiscal year 2017 is essentially unchanged when compared to the same period a year ago. Even though sales increased, the net income has decreased, representing a decrease to the bottom line. LILLY (ELI) & CO has weak liquidity. Currently, the Quick Ratio is 0.91 which shows a lack of ability to cover short-term cash needs. The liquidity decreased from the same period a year ago, despite already having weak liquidity to begin with. This would indicate deteriorating cash flow.

During the same period, stockholders' equity ("net worth") has decreased by 17.24% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.

Income Statement Q4 FY17 Q4 FY16
Net Sales ($mil)6160.75760.5
EBITDA ($mil)1704.81398.4
EBIT ($mil)1292.91053.8
Net Income ($mil)-1656.9771.8

Balance Sheet Q4 FY17 Q4 FY16
Cash & Equiv. ($mil)8034.16038.6
Total Assets ($mil)44981.038805.9
Total Debt ($mil)13647.110305.2
Equity ($mil)11592.214007.7

Profitability Q4 FY17 Q4 FY16
Gross Profit Margin80.4980.53
EBITDA Margin27.6724.27
Operating Margin20.9918.29
Sales Turnover0.510.55
Return on Assets-0.457.05
Return on Equity-1.7619.54
Debt Q4 FY17 Q4 FY16
Current Ratio1.321.37
Interest Expense77.460.6
Interest Coverage16.717.39

Share Data Q4 FY17 Q4 FY16
Shares outstanding (mil)1050.011050.88
Div / share0.520.51
Book value / share11.0413.33
Institutional Own % n/a n/a
Avg Daily Volume4674044.03335081.0


HOLD. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. For additional comparison, its price-to-book ratio of 7.13 indicates a significant premium versus the S&P 500 average of 3.28 and a discount versus the industry average of 7.60. The price-to-sales ratio is well above the S&P 500 average, but well below the industry average. After reviewing these and other key valuation criteria, LILLY (ELI) & CO proves to trade at a discount to investment alternatives within the industry.

1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
LLY NM Peers 105.10   LLY 14.72 Peers 17.82

Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.

LLY's P/E is negative making this valuation measure meaningless.


Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

LLY is trading at a discount to its peers.

1 2 3 4 5
premium   discount
  Price to
1 2 3 4 5
premium   discount
LLY 14.89 Peers 14.20   LLY NA Peers 0.51

Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations.

LLY is trading at a premium to its peers.


Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

Ratio not available.

1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
LLY 7.13 Peers 7.60   LLY -107.75 Peers -278.29

Average. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

LLY is trading at a valuation on par with its peers.


Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

LLY is expected to have an earnings growth rate that significantly exceeds its peers.

1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
LLY 3.62 Peers 25.39   LLY 7.77 Peers 23.77

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

LLY is trading at a significant discount to its industry on this measurement.


Lower. A sales growth rate that trails the industry implies that a company is losing market share.

LLY significantly trails its peers on the basis of sales growth



Latest Stock Upgrades/Downgrades