Eli Lilly and Company (NYSE:LLY) Shares Up 2.1% – Still a Buy?

Shares of Eli Lilly and Company (NYSE:LLY) rose 2.1% during trading on Monday . The stock traded as high as $787.99 and last traded at $783.95. Approximately 1,029,147 shares were traded during mid-day trading, a decline of 68% from the average daily volume of 3,231,000 shares. The stock had previously closed at $767.76.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on the stock. Sanford C. Bernstein began coverage on shares of Eli Lilly and Company in a report on Thursday, October 17th. They set an “outperform” rating and a $1,100.00 price target on the stock. Cantor Fitzgerald reiterated an “overweight” rating and set a $885.00 price target on shares of Eli Lilly and Company in a report on Monday, September 16th. Bank of America restated a “buy” rating and issued a $997.00 price objective on shares of Eli Lilly and Company in a research note on Tuesday, December 10th. Morgan Stanley reissued an “overweight” rating and issued a $1,106.00 price target on shares of Eli Lilly and Company in a report on Tuesday, August 27th. Finally, Barclays decreased their price objective on shares of Eli Lilly and Company from $1,025.00 to $975.00 and set an “overweight” rating for the company in a report on Thursday, October 31st. Five research analysts have rated the stock with a hold rating and seventeen have given a buy rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $1,002.22.

Eli Lilly and Company Stock Performance

The business’s fifty day moving average price is $813.88 and its 200-day moving average price is $868.83. 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 capitalization of $755.35 billion, a PE ratio of 86.02, a P/E/G ratio of 2.99 and a beta of 0.41.

Eli Lilly and Company (NYSE:LLY) last posted its earnings results on Wednesday, October 30th. The company reported $1.18 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.52 by ($0.34). Eli Lilly and Company had a return on equity of 71.08% and a net margin of 20.48%. The firm had revenue of $11.44 billion during the quarter, compared to analysts’ expectations of $12.09 billion. During the same quarter in the prior year, the company earned $0.10 earnings per share. The business’s revenue for the quarter was up 20.4% compared to the same quarter last year. As a group, equities research analysts expect that Eli Lilly and Company will post 13.18 EPS for the current year.

Eli Lilly and Company Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, March 10th. Investors of record on Friday, February 14th will be paid a dividend of $1.50 per share. This is a positive change from Eli Lilly and Company’s previous quarterly dividend of $1.30. The ex-dividend date of this dividend is Friday, February 14th. This represents a $6.00 annualized dividend and a yield of 0.75%. Eli Lilly and Company’s dividend payout ratio (DPR) is currently 56.22%.

Eli Lilly and Company announced that its board has authorized a stock repurchase plan 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 plans are often an indication that the company’s leadership believes its stock is undervalued.

Insider Activity

In other news, CAO Donald A. Zakrowski sold 900 shares of the 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 of the company’s stock, valued at $4,402,522.40. This represents a 14.11 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 0.13% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in LLY. Independent Solutions Wealth Management LLC boosted its holdings in shares of Eli Lilly and Company by 6.0% in the 3rd quarter. Independent Solutions Wealth Management LLC now owns 872 shares of the company’s stock worth $773,000 after purchasing an additional 49 shares in the last quarter. SMART Wealth LLC bought a new stake in Eli Lilly and Company in the 3rd quarter worth approximately $457,000. Exome Asset Management LLC boosted its stake in Eli Lilly and Company by 7.7% in the third quarter. Exome Asset Management LLC now owns 10,447 shares of the company’s stock worth $9,255,000 after buying an additional 747 shares in the last quarter. DGS Capital Management LLC grew its position in Eli Lilly and Company by 7.2% during the third quarter. DGS Capital Management LLC now owns 5,239 shares of the company’s stock valued at $4,641,000 after acquiring an additional 350 shares during the last quarter. Finally, Garden State Investment Advisory Services LLC raised its stake in shares of Eli Lilly and Company by 16.4% during the third quarter. Garden State Investment Advisory Services LLC now owns 2,634 shares of the company’s stock worth $2,338,000 after acquiring an additional 372 shares in the last quarter. 82.53% of the stock is currently owned by hedge funds and other institutional investors.

Eli Lilly and Company Company Profile

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.