Eli Lilly and Company (NYSE:LLY) Shares Up 10.3% After Better-Than-Expected Earnings

Eli Lilly and Company (NYSE:LLY) rose 10.3% during trading on Wednesday following a stronger than expected earnings report. The company traded as high as $1,114.00 and last traded at $1,107.13. Approximately 7,104,089 shares traded hands during trading, an increase of 120% from the average daily volume of 3,236,018 shares. The stock had previously closed at $1,003.46.

The company reported $7.54 earnings per share for the quarter, topping analysts’ consensus estimates of $7.48 by $0.06. The company had revenue of $19.29 billion for the quarter, compared to analysts’ expectations of $17.85 billion. Eli Lilly and Company had a net margin of 30.99% and a return on equity of 109.52%. The firm’s revenue for the quarter was up 42.6% on a year-over-year basis. During the same quarter last year, the company earned $5.32 earnings per share. Eli Lilly and Company has set its FY 2026 guidance at 33.500-35.000 EPS.

Eli Lilly and Company Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 10th. Stockholders of record on Friday, February 13th will be given a dividend of $1.73 per share. This represents a $6.92 dividend on an annualized basis and a dividend yield of 0.6%. This is an increase from Eli Lilly and Company’s previous quarterly dividend of $1.50. The ex-dividend date is Friday, February 13th. Eli Lilly and Company’s payout ratio is presently 29.35%.

Key Eli Lilly and Company News

Here are the key news stories impacting Eli Lilly and Company this week:

• Positive Sentiment: Quarterly beat and aggressive 2026 guidance — LLY reported Q4 revenue of $19.29B and EPS of $7.54, topping estimates, and issued FY‑2026 guidance (EPS 33.50–35.00; revenue $80–83B) that exceeded consensus, a primary reason the stock is up. Read More.
• Positive Sentiment: GLP‑1 sales are the engine — Mounjaro and Zepbound volume surged (double‑digit billions in sales), driving the beat and underpinning 2026 growth expectations. Continued volume growth helps offset U.S. price pressure. Read More.
• Positive Sentiment: Competitive positioning vs. Novo Nordisk — Novo’s softer 2026 outlook has rotated investor flows into Lilly, reinforcing LLY’s market‑share and pipeline narrative. That relative outperformance is boosting sentiment. Read More.
• Positive Sentiment: Capacity investment reduces supply risk — Lilly is expanding manufacturing (including a $3.5B injectable site in Pennsylvania), supporting the company’s “volume defense” against U.S. pricing pressure and future growth. Read More.
• Neutral Sentiment: Pricing/headwind context — U.S. pricing pressures (e.g., MFN-style measures) remain real; Lilly expects volume to offset lower realized prices, but policy risk is ongoing and could affect net margins. Read More.
• Neutral Sentiment: Analyst/market reaction — Banks reaffirm buys and some raise targets after the beat, supporting momentum, but analysts also flag execution and margin watch‑points. Read More.
• Negative Sentiment: Valuation and pullback risk — Commentary warns LLY’s rally has priced in high expectations; some analysts and commentators list reasons a pullback is possible (valuation, policy risk, execution). That raises near‑term downside if growth misses. Read More.
• Negative Sentiment: Cost and R&D pressure — Rising R&D and scaling costs could compress margins even as sales grow; watch margin trends in upcoming quarters. Read More.

Wall Street Analysts Forecast Growth

Several research analysts have commented on LLY shares. Truist Financial lifted their price target on Eli Lilly and Company from $1,038.00 to $1,182.00 and gave the stock a “buy” rating in a research report on Wednesday, November 19th. JPMorgan Chase & Co. lifted their target price on shares of Eli Lilly and Company from $1,050.00 to $1,150.00 and gave the company an “overweight” rating in a report on Tuesday, November 18th. Guggenheim reduced their price target on shares of Eli Lilly and Company from $1,163.00 to $1,161.00 and set a “buy” rating for the company in a research report on Tuesday, January 20th. Bank of America lowered their price objective on shares of Eli Lilly and Company from $1,286.00 to $1,268.00 and set a “buy” rating on the stock in a research report on Monday, December 15th. Finally, Jefferies Financial Group upped their target price on shares of Eli Lilly and Company from $976.00 to $1,300.00 and gave the company a “buy” rating in a report on Thursday, January 8th. Three research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $1,162.75.

Institutional Trading of Eli Lilly and Company

Several large investors have recently modified their holdings of LLY. Stonebridge Financial Group LLC MO purchased a new stake in shares of Eli Lilly and Company in the fourth quarter valued at $1,502,000. Bridgewealth Advisory Group LLC acquired a new position in Eli Lilly and Company in the 4th quarter valued at about $264,000. Summit Wealth Group LLC Co. lifted its holdings in Eli Lilly and Company by 12.9% in the 4th quarter. Summit Wealth Group LLC Co. now owns 1,938 shares of the company’s stock valued at $2,083,000 after purchasing an additional 221 shares in the last quarter. Legacy Financial Advisors Inc. boosted its stake in shares of Eli Lilly and Company by 4.7% during the 4th quarter. Legacy Financial Advisors Inc. now owns 3,149 shares of the company’s stock worth $3,384,000 after purchasing an additional 141 shares during the last quarter. Finally, Madison Asset Management LLC grew its holdings in shares of Eli Lilly and Company by 3.5% during the fourth quarter. Madison Asset Management LLC now owns 60,914 shares of the company’s stock worth $65,463,000 after buying an additional 2,058 shares in the last quarter. 82.53% of the stock is currently owned by institutional investors and hedge funds.

Eli Lilly and Company Trading Up 10.3%

The company has a debt-to-equity ratio of 1.71, a current ratio of 1.55 and a quick ratio of 1.24. The firm has a market cap of $1.05 trillion, a price-to-earnings ratio of 54.16, a price-to-earnings-growth ratio of 0.79 and a beta of 0.39. The business’s 50-day moving average price is $1,054.28 and its two-hundred day moving average price is $893.81.

About Eli Lilly and Company

Eli Lilly and Company (NYSE: LLY) is a global pharmaceutical company founded in 1876 and headquartered in Indianapolis, Indiana. The company researches, develops, manufactures and commercializes a broad range of medicines and therapies for patients worldwide. Eli Lilly maintains operations and commercial presence across North America, Europe, Asia and other regions, serving both developed and emerging markets. The company has been led in recent years by President and Chief Executive Officer David A.