Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. Trade-Ideas LLC identified Eli Lilly and Company ( LLY) as a pre-market leader candidate. In addition to specific proprietary factors, Trade-Ideas identified Eli Lilly and Company as such a stock due to the following factors:
- LLY has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $284.4 million.
- LLY traded 10,611 shares today in the pre-market hours as of 8:02 AM.
- LLY is up 2.2% today from yesterday's close.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in LLY with the Ticky from Trade-Ideas. See the FREE profile for LLY NOW at Trade-Ideas More details on LLY: Eli Lilly and Company discovers, develops, manufactures, and sells pharmaceutical products worldwide. The stock currently has a dividend yield of 3.6%. LLY has a PE ratio of 13.1. Currently there are 5 analysts that rate Eli Lilly and Company a buy, 3 analysts rate it a sell, and 6 rate it a hold. The average volume for Eli Lilly and Company has been 5.1 million shares per day over the past 30 days. Eli Lilly and has a market cap of $61.1 billion and is part of the health care sector and drugs industry. The stock has a beta of 0.20 and a short float of 2.3% with 4.54 days to cover. Shares are up 6.3% year-to-date as of the close of trading on Friday. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreetRatings.com Analysis: TheStreet Quant Ratings rates Eli Lilly and Company as a buy. The company's strengths can be seen in multiple areas, such as its expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income. Highlights from the ratings report include:
- The gross profit margin for LILLY (ELI) & CO is currently very high, coming in at 76.13%. Regardless of LLY's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, the net profit margin of 12.52% trails the industry average.
- LLY, with its decline in revenue, slightly underperformed the industry average of 3.4%. Since the same quarter one year prior, revenues slightly dropped by 2.5%. The declining revenue appears to have seeped down to the company's bottom line, decreasing earnings per share.
- In its most recent trading session, LLY has closed at a price level that was not very different from its closing price of one year earlier. This is probably due to its weak earnings growth as well as other mixed factors. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
- LILLY (ELI) & CO's earnings per share declined by 9.4% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. We feel it is likely to report a decline in earnings in the coming year. During the past fiscal year, LILLY (ELI) & CO increased its bottom line by earning $4.31 versus $3.66 in the prior year. For the next year, the market is expecting a contraction of 34.8% in earnings ($2.81 versus $4.31).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Pharmaceuticals industry. The net income has decreased by 12.1% when compared to the same quarter one year ago, dropping from $827.30 million to $727.50 million.
- You can view the full Eli Lilly and Company Ratings Report.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.