Eli Lilly and Company (NYSE:LLY) Shares Down 1.4% – Should You Sell?

Eli Lilly and Company (NYSE:LLY)’s stock price fell 1.4% on Wednesday . The company traded as low as $1,145.98 and last traded at $1,153.6920. Approximately 2,145,076 shares changed hands during trading, a decline of 29% from the average session volume of 3,016,490 shares. The stock had previously closed at $1,170.14.

Key Headlines Impacting Eli Lilly and Company

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

• Positive Sentiment: CEO Dave Ricks said Lilly captures roughly 70% of new senior GLP-1 patients following expanded Medicare coverage, while oral GLP-1 drug Foundayo represents about one-third of new oral starts. The comments suggest strong early demand and commercial momentum. Eli Lilly CEO touts 70% share as Medicare GLP-1 program reaches 700K seniors
• Positive Sentiment: Lilly broke ground on a $6.5 billion Houston manufacturing facility that will produce active ingredients for Foundayo and other medicines. The investment should expand supply capacity and support a planned global oral GLP-1 rollout, although the benefits will take time to materialize. Lilly breaks ground in Houston
• Positive Sentiment: Analyst commentary continues to favor Lilly over Novo Nordisk, citing Lilly’s larger GLP-1 market share, expanding pipeline and stronger investor sentiment. Investor Ken Langone also said LLY could reach $2,000 within three to four years, though that is an individual opinion rather than a formal forecast. Eli Lilly Keeps Pulling Ahead
• Neutral Sentiment: Lilly expanded a Phase 4 selpercatinib safety study into India and received full FDA approval for Inluriyo in combination with Verzenio for certain advanced breast-cancer patients. These developments broaden the oncology platform but are unlikely to materially change near-term earnings.
• Negative Sentiment: Competition is intensifying. Viking Therapeutics’ VK2735 showed promising weight-loss maintenance with less frequent dosing, while Novo Nordisk’s CagriSema produced encouraging late-stage results. Although both programs remain subject to further trials or regulatory milestones, they raise concerns about Lilly’s long-term pricing power and market share. Viking’s Obesity Edge May Be Staying Power
• Negative Sentiment: The Houston project requires substantial upfront capital, and LLY trades at a high earnings multiple. Investors may therefore be taking profits or demanding clearer evidence that oral GLP-1 demand and pipeline candidates such as retatrutide can justify the valuation.

Wall Street Analyst Weigh In

Several brokerages have commented on LLY. Wall Street Zen downgraded shares of Eli Lilly and Company from a “strong-buy” rating to a “buy” rating in a report on Sunday, August 23rd. Cantor Fitzgerald lifted their target price on Eli Lilly and Company from $1,350.00 to $1,410.00 and gave the company an “overweight” rating in a research report on Thursday, August 6th. HSBC lifted their price objective on Eli Lilly and Company from $850.00 to $940.00 and gave the stock a “reduce” rating in a research note on Thursday, September 10th. Leerink Partners upped their price target on shares of Eli Lilly and Company from $1,119.00 to $1,232.00 and gave the company an “outperform” rating in a report on Thursday, June 25th. Finally, Sanford C. Bernstein raised their target price on shares of Eli Lilly and Company from $1,300.00 to $1,385.00 and gave the stock an “outperform” rating in a research report on Tuesday, July 14th. One analyst has rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $1,305.25.

Eli Lilly and Company Stock Performance

The stock has a market cap of $1.09 trillion, a PE ratio of 38.71, a P/E/G ratio of 1.44 and a beta of 0.50. The stock has a 50-day moving average of $1,176.84 and a 200 day moving average of $1,079.50. The company has a quick ratio of 1.00, a current ratio of 1.35 and a debt-to-equity ratio of 1.41.

Eli Lilly and Company (NYSE:LLY) last posted its quarterly earnings results on Wednesday, August 5th. The company reported $8.38 EPS for the quarter, topping the consensus estimate of $6.40 by $1.98. Eli Lilly and Company had a net margin of 33.53% and a return on equity of 97.83%. The business had revenue of $22.97 billion during the quarter, compared to the consensus estimate of $20.82 billion. During the same quarter in the previous year, the firm posted $6.31 earnings per share. The company’s quarterly revenue was up 47.7% compared to the same quarter last year. Eli Lilly and Company has set its FY 2026 guidance at 35.500-36.500 EPS. Equities analysts predict that Eli Lilly and Company will post 36.54 EPS for the current fiscal year.

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 that occurred on Monday, August 10th. The shares were sold at an average price of $1,185.01, for a total transaction of $2,370,020.00. Following the completion of the transaction, the chief accounting officer directly owned 1,526 shares of the company’s stock, valued at $1,808,325.26. This trade represents a 56.72% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Patrik Jonsson sold 6,500 shares of the company’s stock in a transaction on 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 transaction, the executive vice president owned 54,147 shares of the company’s stock, valued at $63,628,139.70. The trade was a 10.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 13,500 shares of company stock valued at $15,958,170. Insiders own 0.14% of the company’s stock.

Institutional Trading of Eli Lilly and Company

Institutional investors have recently added to or reduced their stakes in the stock. Norges Bank acquired a new position in Eli Lilly and Company during the 4th quarter worth $12,976,634,000. Bank of America Corp DE purchased a new stake in shares of Eli Lilly and Company during the second quarter valued at $13,522,666,000. Jupiter Topco LLC purchased a new position in Eli Lilly and Company in the 2nd quarter worth about $4,667,180,000. Fifth Third Bancorp boosted its position in shares of 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 worth $1,805,959,000 after buying an additional 1,497,423 shares during the period. Finally, Assenagon Asset Management S.A. grew its holdings in shares of Eli Lilly and Company by 353.7% during the first quarter. Assenagon Asset Management S.A. now owns 1,550,234 shares of the company’s stock valued at $1,425,859,000 after buying an additional 1,208,510 shares in the last quarter. 82.53% of the stock is owned by institutional investors and hedge funds.

Eli Lilly and Company Company Profile

Eli Lilly and Company is a global pharmaceutical company that discovers, develops, manufactures and markets medicines for a range of medical conditions. Its portfolio includes treatments for diabetes and obesity, oncology, immunology, neuroscience, cardiovascular disease and other areas of significant unmet medical need.

The company’s products include Mounjaro and Trulicity for diabetes, Zepbound for chronic weight management, and insulin products such as Humalog. Lilly also markets Verzenio for certain breast cancers and Kisunla for the treatment of early symptomatic Alzheimer’s disease.