Eli Lilly stock shows potential for strong returns with revenue and earnings growth projections

From Nasdaq: 2024-07-28 21:01:16

Eli Lilly stock has surged by 50% this year, trading at 63x projected 2024 earnings. With revenues expected to grow over 75% and earnings over 3x by 2026, the stock shows potential for strong returns. Eli Lilly’s success is attributed to high demand for drugs like Zepbound and a robust clinical pipeline.

Eli Lilly anticipates adjusted earnings to double by 2024 from 2023’s figures. Despite a decline in net income due to non-operating expenses, strong earnings growth is expected from R&D investments. With revenue projections and margin expansion, $25 EPS by 2027 is a possibility, driving potential stock price growth.

Despite competition in the obesity drugs market, Eli Lilly is poised for significant sales growth, with the market expected to reach over $100 billion by 2030. While LLY stock may already reflect these positives, continued market share gains and approvals could drive further growth. Any dips in the stock present long-term investment opportunities.

Eli Lilly’s stock has outperformed the S&P 500 consistently over recent years, showcasing its strong performance even in a volatile market. The company’s success and potential for growth make it an attractive investment option. Peer comparisons indicate Eli Lilly’s competitive position in the industry.



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