Eli Lilly and Company (NYSE:LLY) Stock Price Down 1.9% – What’s Next?

Eli Lilly and Company (NYSE:LLY)’s share price traded down 1.9% during trading on Wednesday. The company traded as low as $1,155.27 and last traded at $1,161.7290. 3,386,206 shares changed hands during mid-day trading, an increase of 13% from the average daily volume of 2,996,803 shares. The stock had previously closed at $1,184.63.

Eli Lilly and Company News Roundup

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

• Positive Sentiment: Next-generation obesity combination shows stronger weight loss: Lilly’s experimental EloraTZP, combining eloralintide with tirzepatide, produced up to 23.3% average weight loss after 48 weeks versus 14.8% for Zepbound’s 15-mg tirzepatide dose. Lilly plans to begin Phase 3 trials in the fourth quarter, strengthening its long-term competitive position against Novo Nordisk. Experimental Lilly combination drug tops Zepbound in weight-loss trial
• Positive Sentiment: Foundayo data broaden Lilly’s growth platform: The oral GLP-1 Foundayo, orforglipron, demonstrated cardiovascular safety, sustained blood-sugar and weight benefits in the ACHIEVE-4 diabetes study. Additional analyses indicated materially lower predicted 10-year risks of developing type 2 diabetes and cardiovascular disease, potentially supporting adoption beyond injectable treatments. Foundayo long-term risk analysis
• Positive Sentiment: Additional pipeline progress: Phase 3 retatrutide results showed significant weight loss and A1C improvement, while Phase 3b data for Ebglyss showed rapid improvements in hand-and-foot atopic dermatitis. These programs could diversify revenue beyond Mounjaro and Zepbound. Ebglyss Phase 3b data
• Neutral Sentiment: Earnings expectations remain supportive: Analysts point to Lilly’s strong earnings-surprise history and robust recent revenue growth, although the stock’s roughly $1.08 trillion market capitalization and price-to-earnings ratio near 39 leave limited room for execution disappointments.
• Negative Sentiment: Pricing and competitive risks remain: Management expects Zepbound pricing to decline, and Mounjaro and Zepbound represent a substantial portion of growth. Novo reported favorable cardiovascular observations for higher-dose Ozempic, while the broader healthcare sector also weakened.
• Negative Sentiment: Foghorn partnership ended: Lilly will not pursue further collaboration with Foghorn Therapeutics after disappointing early cancer results. The direct financial impact appears limited, but the termination highlights uncertainty in Lilly’s oncology pipeline. Foghorn partnership termination

Analysts Set New Price Targets

LLY has been the subject of several research reports. The Goldman Sachs Group increased their price objective on shares of Eli Lilly and Company from $1,367.00 to $1,371.00 and gave the company a “buy” rating in a report on Thursday, September 17th. Morgan Stanley reaffirmed an “overweight” rating and set a $1,419.00 price target on shares of Eli Lilly and Company in a research note on Thursday, August 6th. Wells Fargo & Company boosted their price objective on shares of Eli Lilly and Company from $1,280.00 to $1,330.00 and gave the stock an “overweight” rating in a research note on Thursday, August 6th. Bank of America boosted their price target on Eli Lilly and Company from $1,251.00 to $1,334.00 and gave the company a “buy” rating in a research note on Friday, July 10th. Finally, Cantor Fitzgerald lifted their price target on shares of Eli Lilly and Company from $1,350.00 to $1,410.00 and gave the company an “overweight” rating in a research note on Thursday, August 6th. One investment analyst has rated the stock with a Strong Buy rating, twenty-five have given a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Eli Lilly and Company has a consensus rating of “Moderate Buy” and an average price target of $1,311.96.

Eli Lilly and Company Trading Down 0.5%

The stock has a market cap of $1.08 trillion, a PE ratio of 38.62, a price-to-earnings-growth ratio of 1.42 and a beta of 0.46. The business has a 50 day moving average of $1,177.37 and a 200-day moving average of $1,088.38. The company has a current ratio of 1.35, a quick ratio of 1.00 and a debt-to-equity ratio of 1.41.

Eli Lilly and Company (NYSE:LLY) last released its quarterly earnings data on Wednesday, August 5th. The company reported $8.38 EPS for the quarter, beating the consensus estimate of $6.40 by $1.98. The company had revenue of $22.97 billion for the quarter, compared to analyst estimates of $20.82 billion. Eli Lilly and Company had a return on equity of 97.83% and a net margin of 33.53%.The firm’s revenue was up 47.7% compared to the same quarter last year. During the same period last year, the company posted $6.31 earnings per share. Eli Lilly and Company has set its FY 2026 guidance at 35.500-36.500 EPS. On average, analysts anticipate that Eli Lilly and Company will post 36.66 EPS for the current year.

Insider Activity at Eli Lilly and Company

In other Eli Lilly and Company news, EVP Patrik Jonsson sold 6,500 shares of the firm’s stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $1,175.10, for a total value of $7,638,150.00. Following the completion of the sale, the executive vice president owned 54,147 shares in the company, valued at approximately $63,628,139.70. This trade represents a 10.72% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Donald Zakrowski sold 2,000 shares of the stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $1,185.01, for a total value of $2,370,020.00. Following the transaction, the chief accounting officer owned 1,526 shares of the company’s stock, valued at approximately $1,808,325.26. This trade represents a 56.72% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 13,500 shares of company stock valued at $15,958,170 in the last ninety days. Insiders own 0.14% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. BlackRock Inc. increased its holdings in Eli Lilly and Company by 1.6% in the 2nd quarter. BlackRock Inc. now owns 67,540,400 shares of the company’s stock worth $81,009,981,000 after acquiring an additional 1,046,558 shares in the last quarter. State Street Corp grew its position in shares of Eli Lilly and Company by 1.7% during the 2nd quarter. State Street Corp now owns 36,215,754 shares of the company’s stock valued at $43,438,262,000 after acquiring an additional 605,752 shares during the period. Capital World Investors increased its holdings in Eli Lilly and Company by 0.4% in the 4th quarter. Capital World Investors now owns 15,031,750 shares of the company’s stock worth $16,154,619,000 after acquiring an additional 61,851 shares in the last quarter. Bank of America Corp DE acquired a new position in shares of Eli Lilly and Company during the second quarter valued at approximately $13,522,666,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in Eli Lilly and Company by 1.9% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 7,209,385 shares of the company’s stock worth $8,647,153,000 after purchasing an additional 137,364 shares in the last quarter. Hedge funds and other institutional investors own 82.53% of the company’s stock.

Eli Lilly and Company Company Profile

Eli Lilly and Company is a global pharmaceutical company headquartered in Indianapolis, Indiana. Founded in 1876 by Colonel Eli Lilly, the company researches, develops, manufactures and markets medicines for a range of conditions, including diabetes, obesity, cancer, immunological disorders, neurological diseases and pain.

Its products include Mounjaro and Zepbound, which contain tirzepatide and are used for type 2 diabetes and chronic weight management, respectively. Other key medicines include Trulicity for diabetes, Verzenio for certain breast cancers, Taltz for inflammatory and autoimmune conditions, Humalog insulin, and Kisunla for early symptomatic Alzheimer’s disease.