Eli Lilly and Company (NYSE:LLY) Stock Price Down 5.9% Following Analyst Downgrade

Eli Lilly and Company (NYSE:LLY)’s stock price dropped 5.9% during trading on Tuesday after HSBC downgraded the stock from a hold rating to a reduce rating. HSBC now has a $850.00 price target on the stock, down from their previous price target of $1,070.00. Eli Lilly and Company traded as low as $925.25 and last traded at $931.0270. Approximately 5,600,775 shares were traded during mid-day trading, an increase of 74% from the average daily volume of 3,216,031 shares. The stock had previously closed at $989.12.

A number of other equities research analysts have also recently weighed in on LLY. Zacks Research cut shares of Eli Lilly and Company from a “strong-buy” rating to a “hold” rating in a report on Friday, January 30th. Rothschild & Co Redburn raised their price objective on Eli Lilly and Company from $775.00 to $830.00 and gave the company a “neutral” rating in a research report on Monday, January 26th. Wall Street Zen upgraded shares of Eli Lilly and Company from a “buy” rating to a “strong-buy” rating in a report on Saturday, March 7th. UBS Group restated a “buy” rating on shares of Eli Lilly and Company in a report on Monday, February 2nd. Finally, The Goldman Sachs Group set a $1,260.00 price objective on shares of Eli Lilly and Company in a report on Thursday, February 5th. Two analysts have rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $1,221.44.

More Eli Lilly and Company News

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

• Positive Sentiment: Positive pediatric Phase‑3 data for EBGLYSS (lebrikizumab) — topline results showed strong skin‑clearance and itch relief in children, supporting a potential label expansion that strengthens Lilly’s immunology/dermatology growth optionality. Lilly EBGLYSS PR Newswire
• Positive Sentiment: Some Wall Street firms remain bullish — several firms reiterated Outperform/Buy views and high price targets based on continued GLP‑1 momentum and expansion initiatives (Employer Connect, pre‑launch inventory for oral pill). This provides counterweight to near‑term concerns. Wall Street Firms Turn Bullish (Yahoo)
• Neutral Sentiment: Congressional disclosure: a lawmaker reported a purchase of LLY in late February — a data point that highlights continued interest in the GLP‑1 theme but is not a timely trading signal given disclosure delays. Members of Congress Bought These 5 Stocks (MarketBeat)
• Negative Sentiment: HSBC downgraded LLY to “reduce” and cut its price target to $850, citing pricing pressure, rising competition and overly optimistic assumptions about obesity‑drug market growth — the downgrade is the primary immediate catalyst for today’s sell‑off. Eli Lilly Analyst Flags Overhyped Obesity Drug Expectations (Benzinga)
• Negative Sentiment: Competitive pressures mounting: reports on FDA timing/decisions around oral obesity pills and strong mid‑stage results from rivals (e.g., Structure Therapeutics’ GLP‑1 pill) reinforce the risk that pricing and market share gains could be constrained. Eli Lilly Falls 5% — FDA Oral Obesity Pill Decision (24/7 Wall St.)

Hedge Funds Weigh In On Eli Lilly and Company

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Maryland Capital Advisors Inc. purchased a new position in shares of Eli Lilly and Company during the fourth quarter worth approximately $25,000. Osbon Capital Management LLC acquired a new position in Eli Lilly and Company during the fourth quarter worth $25,000. Sumitomo Mitsui Financial Group Inc. purchased a new stake in shares of Eli Lilly and Company in the 2nd quarter worth about $27,000. Vermillion & White Wealth Management Group LLC raised its position in shares of Eli Lilly and Company by 84.2% during the 3rd quarter. Vermillion & White Wealth Management Group LLC now owns 35 shares of the company’s stock worth $27,000 after purchasing an additional 16 shares during the last quarter. Finally, Evolution Wealth Management Inc. acquired a new stake in shares of Eli Lilly and Company during the second quarter valued at $29,000. Hedge funds and other institutional investors own 82.53% of the company’s stock.

Eli Lilly and Company Trading Down 5.9%

The business’s fifty day moving average price is $1,036.20 and its 200 day moving average price is $954.12. The company has a quick ratio of 1.19, a current ratio of 1.58 and a debt-to-equity ratio of 1.54. The firm has a market capitalization of $879.65 billion, a PE ratio of 40.57, a P/E/G ratio of 1.15 and a beta of 0.40.

Eli Lilly and Company (NYSE:LLY) last issued its earnings results on Wednesday, February 4th. The company reported $7.54 EPS for the quarter, beating analysts’ consensus estimates of $7.48 by $0.06. Eli Lilly and Company had a net margin of 31.66% and a return on equity of 102.94%. The business had revenue of $19.29 billion for the quarter, compared to the consensus estimate of $17.85 billion. During the same quarter last year, the firm posted $5.32 EPS. The business’s revenue for the quarter was up 42.6% compared to the same quarter last year. Eli Lilly and Company has set its FY 2026 guidance at 33.500-35.000 EPS. As a group, analysts expect that Eli Lilly and Company will post 23.48 EPS for the current fiscal year.

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.