Eli Lilly and Company (NYSE:LLY) Shares Down 2.3% – Should You Sell?

Shares of Eli Lilly and Company (NYSE:LLY) were down 2.3% during trading on Monday . The stock traded as low as $1,109.15 and last traded at $1,122.3230. 2,910,874 shares traded hands during trading, a decline of 7% from the average session volume of 3,114,943 shares. The stock had previously closed at $1,148.84.

Key Stories Impacting Eli Lilly and Company

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

• Positive Sentiment: Blowout second-quarter results: Lilly reported non-GAAP earnings of $8.38 per share, well above the roughly $6.06 analyst consensus, while revenue rose 47.7% year over year to $22.97 billion versus expectations of about $20.69 billion. Lilly second-quarter earnings report
• Positive Sentiment: GLP-1 demand is driving growth: Strong volume for diabetes drug Mounjaro and obesity treatment Zepbound fueled the revenue and profit beat, with newer pipeline products adding to Lilly’s long-term growth outlook. Lilly earnings and outlook article
• Positive Sentiment: Full-year outlook raised: Lilly now expects 2026 revenue of $85 billion to $87 billion, up from its previous $82 billion to $85 billion forecast. It also issued EPS guidance of $35.50 to $36.50, supporting estimates of continued earnings momentum. Reuters Lilly revenue forecast article
• Positive Sentiment: Additional commercial and pipeline catalysts: CVS Health is expanding its weight-management program through a Lilly partnership, while Lilly is providing limited early access to experimental obesity drug retatrutide and advancing cancer drug olomorasib. These developments strengthen Lilly’s distribution and future-product narratives. Lilly financial results and pipeline update
• Negative Sentiment: Capacity and valuation remain risks: Executives acknowledged that manufacturing and supply capacity could limit how quickly Lilly converts virtually unlimited GLP-1 demand into sales. At roughly a $1.1 trillion market capitalization and a forward-looking valuation near 41 times earnings, the stock also has limited room for execution disappointments.

Analyst Upgrades and Downgrades

LLY has been the topic of a number of research analyst reports. Leerink Partners lifted their target price on Eli Lilly and Company from $1,119.00 to $1,232.00 and gave the company an “outperform” rating in a research report on Thursday, June 25th. Barclays raised their price objective on Eli Lilly and Company from $1,350.00 to $1,400.00 and gave the stock an “overweight” rating in a research report on Monday, May 4th. Citigroup boosted their price objective on shares of Eli Lilly and Company from $1,500.00 to $1,600.00 and gave the company a “buy” rating in a report on Wednesday, July 15th. Bank of America upped their target price on shares of Eli Lilly and Company from $1,251.00 to $1,334.00 and gave the company a “buy” rating in a research report on Friday, July 10th. Finally, Jefferies Financial Group increased their target price on shares of Eli Lilly and Company from $1,330.00 to $1,350.00 and gave the stock a “buy” rating in a research note on Tuesday, June 9th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-four have given a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $1,283.64.

Eli Lilly and Company Price Performance

The company has a market capitalization of $1.10 trillion, a PE ratio of 41.32, a price-to-earnings-growth ratio of 1.39 and a beta of 0.51. The company has a debt-to-equity ratio of 1.26, a current ratio of 1.50 and a quick ratio of 1.10. The stock’s 50 day simple moving average is $1,154.75 and its 200-day simple moving average is $1,044.52.

Eli Lilly and Company (NYSE:LLY) last posted its quarterly earnings data on Wednesday, August 5th. The company reported $8.38 EPS for the quarter, beating the consensus estimate of $6.06 by $2.32. The business had revenue of $22.97 billion during the quarter, compared to analyst estimates of $20.69 billion. Eli Lilly and Company had a net margin of 34.98% and a return on equity of 105.77%. The business’s revenue for the quarter was up 47.7% compared to the same quarter last year. During the same quarter last year, the firm posted $6.31 earnings per share. Eli Lilly and Company has set its FY 2026 guidance at 35.500-36.500 EPS. As a group, equities analysts forecast that Eli Lilly and Company will post 34.91 earnings per share for the current fiscal year.

Eli Lilly and Company Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Friday, August 14th will be paid a $1.73 dividend. The ex-dividend date is Friday, August 14th. This represents a $6.92 annualized dividend and a dividend yield of 0.6%. Eli Lilly and Company’s payout ratio is 24.58%.

Institutional Trading of Eli Lilly and Company

Several hedge funds have recently modified their holdings of LLY. Norges Bank purchased a new position in shares of Eli Lilly and Company in the 4th quarter valued at about $12,976,634,000. J. Stern & Co. LLP increased its stake in shares of Eli Lilly and Company by 46,191.3% during the fourth quarter. J. Stern & Co. LLP now owns 4,047,245 shares of the company’s stock worth $4,047,245,000 after buying an additional 4,038,502 shares during the period. Cardano Risk Management B.V. increased its stake in shares of Eli Lilly and Company by 876.1% during the fourth quarter. Cardano Risk Management B.V. now owns 2,375,050 shares of the company’s stock worth $2,552,419,000 after buying an additional 2,131,734 shares during the period. Fifth Third Bancorp raised its holdings in Eli Lilly and Company by 321.3% in the first quarter. Fifth Third Bancorp now owns 1,963,490 shares of the company’s stock valued at $1,805,959,000 after acquiring an additional 1,497,423 shares in the last quarter. Finally, Price T Rowe Associates Inc. MD lifted its stake in Eli Lilly and Company by 10.6% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 14,910,505 shares of the company’s stock worth $16,024,022,000 after acquiring an additional 1,432,069 shares during the last quarter. 82.53% of the stock is currently owned by institutional investors and hedge funds.

Eli Lilly and Company Company Profile

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.