In the latest trading session, Eli Lilly (LLY - Free Report) closed at $138, marking a +1.53% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.29%. At the same time, the Dow lost 0.46%, and the tech-heavy Nasdaq lost 0.27%.
Prior to today's trading, shares of the drugmaker had gained 11.68% over the past month. This has outpaced the Medical sector's gain of 2.64% and the S&P 500's gain of 4.56% in that time.
Wall Street will be looking for positivity from LLY as it approaches its next earnings report date. This is expected to be January 30, 2020. In that report, analysts expect LLY to post earnings of $1.49 per share. This would mark year-over-year growth of 12.03%. Meanwhile, our latest consensus estimate is calling for revenue of $6.07 billion, down 5.69% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for LLY. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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. Over the past month, the Zacks Consensus EPS estimate has moved 2.88% higher. LLY currently has a Zacks Rank of #2 (Buy).
In terms of valuation, LLY is currently trading at a Forward P/E ratio of 20.14. This represents a premium compared to its industry's average Forward P/E of 15.72.
Meanwhile, LLY's PEG ratio is currently 1.78. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.96 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 83, which puts it in the top 33% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.