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

Eli Lilly and Company (NYSE:LLY)’s share price fell 5.9% 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. 5,600,775 shares changed hands during trading, an increase of 74% from the average session volume of 3,216,031 shares. The stock had previously closed at $989.12.

Several other research analysts have also recently issued reports on LLY. 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. Weiss Ratings reiterated a “buy (b-)” rating on shares of Eli Lilly and Company in a research report on Monday, December 22nd. Rothschild & Co Redburn raised their target price on Eli Lilly and Company from $775.00 to $830.00 and gave the company a “neutral” rating in a research note on Monday, January 26th. Guggenheim boosted their price target on shares of Eli Lilly and Company from $1,161.00 to $1,168.00 and gave the stock a “buy” rating in a research report on Thursday, February 26th. Finally, Wells Fargo & Company raised their price objective on shares of Eli Lilly and Company from $1,200.00 to $1,280.00 and gave the company an “overweight” rating in a research report on Thursday, February 5th. Two analysts have rated the stock with a Strong Buy rating, twenty-three have given a Buy rating, four have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Eli Lilly and Company currently has a consensus rating of “Moderate Buy” and a consensus target price of $1,221.44.

Trending Headlines about Eli Lilly and Company

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

• Positive Sentiment: Positive pediatric Phase‑3 results for EBGLYSS (lebrikizumab) expand Lilly’s immunology franchise and reduce execution risk on non‑GLP pipeline growth—a clear constructive catalyst for longer‑term revenue diversification. Lilly EBGLYSS Phase 3 Pediatric Results
• Positive Sentiment: Several Wall Street firms remain bullish—some raising targets and highlighting Zepbound/Mounjaro momentum and distribution initiatives (e.g., Employer Connect)—which supports medium‑term sales and margin expectations. Wall Street Firms Turn Bullish on Eli Lilly
• Neutral Sentiment: Disclosure that a member of Congress purchased LLY shares is a data point that can increase watchlist activity but is not a fresh fundamental catalyst. Members of Congress Bought These 5 Stocks—Should You?
• Negative Sentiment: HSBC downgraded LLY to “reduce” (cutting its price target to $850) citing pricing pressure, rising competition, and what it sees as overstated obesity‑market growth—this downgrade triggered selling and repricing of growth expectations. Eli Lilly Analyst Flags Overhyped Obesity Drug Expectations
• Negative Sentiment: Competitive threats intensified after reports of a new GLP‑1 oral pill showing strong weight‑loss data and commentary about Novo Nordisk rivalry; investors are re‑assessing Lilly’s pricing power and market share durability. Structure Weight‑Loss Pill Results Rival Novo, Lilly Treatments
• Negative Sentiment: Market writeups highlight valuation risk: with high multiples already priced for continued GLP‑1 growth, any downgrade or slower uptake triggers outsized downside as investors rotate away from stretched growth names. Why Eli Lilly Stock Just Dropped

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of LLY. 10Elms LLP boosted its holdings in Eli Lilly and Company by 33.3% in the 3rd quarter. 10Elms LLP now owns 40 shares of the company’s stock valued at $31,000 after purchasing an additional 10 shares during the period. M.E. Allison & CO. Inc. raised its position in shares of Eli Lilly and Company by 0.7% during the fourth quarter. M.E. Allison & CO. Inc. now owns 1,477 shares of the company’s stock valued at $1,587,000 after buying an additional 10 shares during the last quarter. Tanager Wealth Management LLP raised its position in shares of Eli Lilly and Company by 2.6% during the fourth quarter. Tanager Wealth Management LLP now owns 395 shares of the company’s stock valued at $424,000 after buying an additional 10 shares during the last quarter. Morey & Quinn Wealth Partners LLC lifted its stake in shares of Eli Lilly and Company by 1.5% in the fourth quarter. Morey & Quinn Wealth Partners LLC now owns 661 shares of the company’s stock valued at $710,000 after buying an additional 10 shares during the period. Finally, Wealthspan Partners LLC lifted its stake in shares of Eli Lilly and Company by 0.5% in the fourth quarter. Wealthspan Partners LLC now owns 2,110 shares of the company’s stock valued at $2,268,000 after buying an additional 10 shares during the period. 82.53% of the stock is currently owned by institutional investors and hedge funds.

Eli Lilly and Company Trading Down 5.9%

The firm has a market capitalization of $879.65 billion, a price-to-earnings ratio of 40.57, a P/E/G ratio of 1.15 and a beta of 0.40. The business has a 50-day moving average of $1,033.54 and a two-hundred day moving average of $955.52. The company has a quick ratio of 1.19, a current ratio of 1.58 and a debt-to-equity ratio of 1.54.

Eli Lilly and Company (NYSE:LLY) last posted its quarterly earnings results on Wednesday, February 4th. The company reported $7.54 EPS for the quarter, beating the consensus estimate of $7.48 by $0.06. Eli Lilly and Company had a return on equity of 102.94% and a net margin of 31.66%.The firm had revenue of $19.29 billion during the quarter, compared to analysts’ expectations of $17.85 billion. During the same quarter in the prior year, the firm posted $5.32 EPS. The company’s revenue for the quarter was up 42.6% on a year-over-year basis. Eli Lilly and Company has set its FY 2026 guidance at 33.500-35.000 EPS. Research analysts predict 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.