Eli Lilly and Company (NYSE:LLY) Stock Price Up 6.5% on Earnings Beat

Eli Lilly and Company (NYSE:LLY)’s stock price rose 6.5% on Thursday after the company announced better than expected quarterly earnings. The stock traded as high as $1,408.38 and last traded at $1,372.01. 4,350,276 shares changed hands during trading, an increase of 48% from the average session volume of 2,933,143 shares. The stock had previously closed at $1,288.30.

The company reported $7.48 earnings per share for the quarter, beating analysts’ consensus estimates of $5.68 by $1.80. The business had revenue of $24.40 billion during the quarter, compared to analysts’ expectations of $22.58 billion. Eli Lilly and Company had a net margin of 33.53% and a return on equity of 97.83%. The business’s revenue for the quarter was up 38.6% on a year-over-year basis. During the same period last year, the business earned $7.02 earnings per share.

Eli Lilly and Company Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Friday, November 13th will be issued a $1.73 dividend. This represents a $6.92 annualized dividend and a yield of 0.5%. The ex-dividend date of this dividend is Friday, November 13th. Eli Lilly and Company’s dividend payout ratio is 23.22%.

Key Eli Lilly and Company News

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

• Positive Sentiment: Strong earnings and revenue beat: Third-quarter revenue rose 39% year over year to $24.4 billion, above the roughly $22.6 billion analyst estimate. Adjusted EPS was $7.48, well ahead of the $5.68 consensus and up from $7.02 a year earlier. Reuters earnings and outlook article
• Positive Sentiment: Higher full-year outlook: Lilly raised its 2026 revenue forecast to $91 billion-$92 billion from $85 billion-$87 billion, lifting the midpoint by $5.5 billion. The increase signals that demand for its metabolic-care portfolio is exceeding prior expectations. Lilly third-quarter results and guidance
• Positive Sentiment: Mounjaro and Zepbound remain major growth engines: Mounjaro sales jumped 65% to $10.7 billion, while Zepbound revenue increased 49% to $5.35 billion. The results reinforced investor confidence in Lilly’s leadership of the diabetes and obesity-drug market. New York Post weight-loss drug demand article
• Positive Sentiment: Pipeline momentum improved: Phase 3 data showed experimental drug retatrutide produced greater A1C reduction and more than twice the weight loss of Ozempic 2 mg in adults with type 2 diabetes. The data strengthen Lilly’s competitive position against Novo Nordisk and support longer-term growth expectations. Lilly retatrutide trial results
• Neutral Sentiment: Investors should watch earnings quality: Quarterly revenue benefited from approximately $900 million in Jardiance milestones and rebate-related adjustments. Lilly also recorded substantial acquired in-process research and development charges, while reports noted a trimmed profit view tied to deal-related costs.
• Negative Sentiment: Insider selling is a secondary risk signal: Four Lilly executives sold shares during the past six months, with no reported open-market purchases. These transactions have not outweighed the earnings-driven optimism but may draw attention given the stock’s elevated valuation.

Wall Street Analyst Weigh In

LLY has been the topic of several research analyst reports. BMO Capital Markets reiterated an “outperform” rating on shares of Eli Lilly and Company in a research note on Thursday, October 1st. UBS Group set a $1,376.00 price objective on shares of Eli Lilly and Company in a research report on Friday, August 7th. Citigroup raised their price target on Eli Lilly and Company from $1,500.00 to $1,600.00 and gave the stock a “buy” rating in a report on Wednesday, July 15th. JPMorgan Chase & Co. upped their price objective on Eli Lilly and Company from $1,400.00 to $1,500.00 and gave the company an “overweight” rating in a research note on Monday, September 28th. Finally, The Goldman Sachs Group reiterated a “buy” rating and issued a $1,413.00 price objective on shares of Eli Lilly and Company in a research report on Tuesday, October 20th. One analyst has rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $1,320.25.

Insider Buying and Selling at Eli Lilly and Company

In other news, CAO Donald Zakrowski sold 2,000 shares of the firm’s stock in a transaction on Monday, August 10th. The stock was sold at an average price of $1,185.01, for a total transaction of $2,370,020.00. Following the sale, the chief accounting officer owned 1,526 shares in the company, valued at $1,808,325.26. This trade represents a 56.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Anat Hakim sold 5,000 shares of Eli Lilly and Company stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $1,190.00, for a total value of $5,950,000.00. Following the completion of the sale, the executive vice president owned 11,875 shares of the company’s stock, valued at $14,131,250. This trade represents a 29.63% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 13,500 shares of company stock worth $15,958,170. Insiders own 0.14% of the company’s stock.

Hedge Funds Weigh In On Eli Lilly and Company

Several hedge funds and other institutional investors have recently made changes to their positions in LLY. BlackRock Inc. boosted its stake in shares of Eli Lilly and Company by 1.6% in the second quarter. BlackRock Inc. now owns 67,540,400 shares of the company’s stock valued at $81,009,981,000 after purchasing an additional 1,046,558 shares during the period. State Street Corp raised its stake in shares of Eli Lilly and Company by 1.7% in the 2nd quarter. State Street Corp now owns 36,215,754 shares of the company’s stock valued at $43,438,262,000 after purchasing an additional 605,752 shares in the last quarter. Bank of America Corp DE bought a new position in Eli Lilly and Company during the 2nd quarter worth approximately $13,522,666,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in Eli Lilly and Company by 1.9% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 7,209,385 shares of the company’s stock valued at $8,647,153,000 after acquiring an additional 137,364 shares during the period. Finally, Jennison Associates LLC lifted its holdings in shares of Eli Lilly and Company by 7.9% in the 2nd quarter. Jennison Associates LLC now owns 5,461,416 shares of the company’s stock worth $6,550,587,000 after purchasing an additional 400,538 shares during the last quarter. Institutional investors and hedge funds own 82.53% of the company’s stock.

Eli Lilly and Company Stock Up 6.5%

The company has a current ratio of 1.35, a quick ratio of 1.00 and a debt-to-equity ratio of 1.41. The stock has a 50-day moving average of $1,192.52 and a 200-day moving average of $1,089.35. The firm has a market cap of $1.29 trillion, a price-to-earnings ratio of 46.04, a price-to-earnings-growth ratio of 1.71 and a beta of 0.46.

About Eli Lilly and Company

Eli Lilly and Company (NYSE: LLY) is a global pharmaceutical company that discovers, develops, manufactures and markets medicines for a range of medical conditions. Its major therapeutic areas include diabetes and obesity, oncology, immunology, neuroscience and cardiovascular health.

The company’s portfolio includes Mounjaro and Trulicity for diabetes, Zepbound for chronic weight management, Humalog insulin, Taltz for inflammatory diseases, Verzenio for certain breast cancers and Kisunla for early symptomatic Alzheimer’s disease.