Eli Lilly and Company (NYSE:LLY) Trading Down 0.3% – Should You Sell?

Eli Lilly and Company (NYSE:LLY) fell 0.3% on Tuesday . The company traded as low as $772.43 and last traded at $776.62. 983,565 shares were traded during trading, a decline of 69% from the average session volume of 3,196,614 shares. The stock had previously closed at $779.00.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on LLY. Truist Financial increased their price target on Eli Lilly and Company from $1,000.00 to $1,033.00 and gave the stock a “buy” rating in a report on Thursday, October 10th. Deutsche Bank Aktiengesellschaft lowered their target price on Eli Lilly and Company from $1,025.00 to $1,015.00 and set a “buy” rating for the company in a report on Monday, November 4th. Wolfe Research started coverage on Eli Lilly and Company in a report on Friday, November 15th. They set an “outperform” rating and a $1,000.00 target price for the company. Redburn Atlantic upgraded Eli Lilly and Company to a “hold” rating in a report on Monday, November 4th. Finally, Citigroup raised their target price on Eli Lilly and Company from $1,060.00 to $1,250.00 and gave the company a “buy” rating in a report on Friday, October 25th. Four equities research analysts have rated the stock with a hold rating and seventeen have issued a buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $1,002.22.

Eli Lilly and Company Stock Performance

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 50 day simple moving average of $831.10 and a two-hundred day simple moving average of $871.25. The company has a market cap of $741.69 billion, a PE ratio of 83.96, a PEG ratio of 3.02 and a beta of 0.41.

Eli Lilly and Company (NYSE:LLY) last issued its quarterly earnings data on Wednesday, October 30th. The company reported $1.18 earnings per share for the quarter, missing analysts’ consensus estimates of $1.52 by ($0.34). Eli Lilly and Company had a net margin of 20.48% and a return on equity of 71.08%. 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 firm posted $0.10 EPS. Eli Lilly and Company’s quarterly revenue was up 20.4% compared to the same quarter last year. Equities analysts predict that Eli Lilly and Company will post 13.18 EPS for the current year.

Eli Lilly and Company Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, March 10th. Shareholders of record on Friday, February 14th will be paid a $1.50 dividend. The ex-dividend date is Friday, February 14th. This represents a $6.00 dividend on an annualized basis and a yield of 0.77%. This is a boost from Eli Lilly and Company’s previous quarterly dividend of $1.30. Eli Lilly and Company’s payout ratio is currently 64.86%.

Eli Lilly and Company declared that its board has initiated a share buyback plan on Monday, December 9th that authorizes the company to repurchase $15.00 billion in outstanding shares. This repurchase authorization authorizes the company to reacquire up to 2% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s management believes its stock is undervalued.

Insider Activity

In other news, CAO Donald A. Zakrowski sold 900 shares of the business’s stock in a transaction that occurred on Friday, November 8th. The stock was 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 approximately $4,402,522.40. The trade was a 14.11 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.13% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Lantz Financial LLC grew its holdings in Eli Lilly and Company by 1.3% during the second quarter. Lantz Financial LLC now owns 1,236 shares of the company’s stock worth $1,119,000 after acquiring an additional 16 shares during the period. Summit Global Investments grew its holdings in Eli Lilly and Company by 94.3% during the second quarter. Summit Global Investments now owns 5,813 shares of the company’s stock worth $5,263,000 after acquiring an additional 2,822 shares during the period. Capital Investment Counsel Inc grew its holdings in Eli Lilly and Company by 23.5% during the second quarter. Capital Investment Counsel Inc now owns 745 shares of the company’s stock worth $675,000 after acquiring an additional 142 shares during the period. Commerzbank Aktiengesellschaft FI grew its holdings in Eli Lilly and Company by 10.1% during the second quarter. Commerzbank Aktiengesellschaft FI now owns 4,254 shares of the company’s stock worth $3,851,000 after acquiring an additional 389 shares during the period. Finally, Ayrshire Capital Management LLC grew its holdings in Eli Lilly and Company by 1.0% during the second quarter. Ayrshire Capital Management LLC now owns 6,694 shares of the company’s stock worth $6,061,000 after acquiring an additional 69 shares during the period. Institutional investors and hedge funds own 82.53% of the company’s stock.

About Eli Lilly and Company

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.