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Eli Lilly (LLY) Stock Moves -0.53%: What You Should Know

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In the latest trading session, Eli Lilly (LLY - Free Report) closed at $463.21, marking a -0.53% move from the previous day. This change was narrower than the S&P 500's 0.79% loss on the day. Meanwhile, the Dow lost 1.07%, and the Nasdaq, a tech-heavy index, lost 2.71%.

Heading into today, shares of the drugmaker had gained 6.72% over the past month, outpacing the Medical sector's loss of 0.35% and the S&P 500's gain of 4.16% in that time.

Eli Lilly will be looking to display strength as it nears its next earnings release. On that day, Eli Lilly is projected to report earnings of $1.97 per share, which would represent year-over-year growth of 57.6%. Our most recent consensus estimate is calling for quarterly revenue of $7.52 billion, up 15.97% from the year-ago period.

LLY's full-year Zacks Consensus Estimates are calling for earnings of $8.78 per share and revenue of $31.44 billion. These results would represent year-over-year changes of +10.58% and +10.17%, respectively.

Any recent changes to analyst estimates for Eli Lilly should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.11% lower. Eli Lilly currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, Eli Lilly is holding a Forward P/E ratio of 53.03. For comparison, its industry has an average Forward P/E of 14.67, which means Eli Lilly is trading at a premium to the group.

Also, we should mention that LLY has a PEG ratio of 2.13. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. LLY's industry had an average PEG ratio of 1.64 as of yesterday's close.

The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 110, putting it in the top 44% 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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