Investing
Eli Lilly (LLY) Stock Price Prediction and Forecast 2025-2030
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Since the start of 2020, Eli Lilly’s (NYSE: LLY) stock price chart has been straight up and to the right, up 600.18% and currently trading at $925.71.
The company has been around since 1876 and the stock didn’t go public until 1952 but in the last 4 years, Eli Lilly went from a $100 billion market capitalization to $740 billion today, which also makes it a potential stock split stock.
However, as investors, we care about the stock price years down the line and what Eli Lilly will do in the next 3 to 5 years and beyond.
That is why 24/7 Wall Street looks at projected revenue and net income to give you our best estimate of future stock prices from 2025 to 2030.
Other “experts” look at past growth rates and assign future stock prices to those past numbers. However, we will walk you through our assumptions and give you the key drivers we see propelling Eli Lilly’s stock in the future.
9/26/2024
A recent investigation published in The BMJ raised serious concerns about the safety and efficacy of Eli Lilly’s Alzheimer’s drug, donanemab. Although recently approved by the U.S. Food and Drug Administration, the drug was linked to multiple patient deaths during clinical trials.
9/25/2024
Eli Lilly announced positive long-term results for Ebglyss, a treatment for moderate to severe eczema. The drug helped 80% of participants maintain control of their eczema for up to three years in two clinical trials.
9/24/2024
Eli Lilly’s Alzheimer’s drug, Kisunla, has received approval from the Japanese Ministry of Health, Labour and Welfare. This approval marks Kisunla’s second major market launch.
9/23/2024
Eli Lilly plans to expand its research center in India. The company plans to collaborate with local companies with the aim of bringing its products to the Indian market on a larger scale.
9/19/2024
Eli Lilly’s stock price rose by 0.3% during mid-day trading yesterday. The stock reached a high of $910.82 and closed at $908.45. Trading volume was significantly lower than average, with only 290,448 shares traded compared to the typical 3,015,460 shares.
9/17/2024
Eli Lilly is anticipated to report strong earnings growth in the current quarter. According to the consensus estimate, earnings are expected to reach $4.53 per share, a substantial increase of 4,430% compared to the same period last year. These estimates have been relatively stable over the past month, with minor changes of -0.2% and +5.2% for the current and next fiscal year, respectively.
9/16/2024
JPMorgan has raised Eli Lilly’s target price from $1,050.00 to $1,100.00.
9/13/2024
Eli Lilly is closing its remote-controlled robotic laboratory in San Diego, four years after opening it. Most of the lab will be sold to Arctoris, which is currently based in Oxford (England) and Boston (Massachusetts).
9/12/2024
Eli Lilly is investing $1.8 billion to expand production of its popular obesity and Alzheimer’s drugs in Ireland. The company plans to increase capacity at its manufacturing sites in Kinsale and Limerick. The investment will help meet the high demand for Mounjaro and the newly approved Alzheimer’s treatment.
9/11/2024
A research study from Eli Lilly showed that women with obesity and diabetes taking Mounjaro and Zepbound experienced greater weight loss than men. However, women also reported higher rates of nausea and vomiting (common side effects of tirzepatide). Despite the increased side effects, the overall safety profiles were similar for both sexes.
How did Eli Lilly’s stock price soar so much in the past few years? Let’s take a look at the numbers:
Share Price | Revenues* | Net Income* | |
2016 | $80.36 | $21.22 | $2.74 |
2017 | $77.55 | $19.94 | ($0.21) |
2018 | $122.13 | $21.49 | $3.23 |
2019 | $140.83 | $22.32 | $8.32 |
2020 | $206.46 | $24.54 | $6.19 |
2021 | $238.31 | $28.32 | $5.58 |
2022 | 329.07 | $28.54 | $6.25 |
2023 | $745.91 | $34.12 | $5.24 |
*Revenue and Net Income in Billions
Since 2016, Eli Lilly’s revenue grew by 60% but income grew by 91%. Typically you wouldn’t expect a company growing at its top line by 7% annually to see an 828% increase in share price, however, investor sentiment for the next line of drugs front ran the stock price.
For example, in 2016 Eli Lilly was trading 13 times the trailing 12 months earnings and the market has increased its valuation each year and currently trades at a 125 times earnings multiple.
This raises the valid question, is Eli Lilly overvalued or will future revenues make up for the expensive valuation?
The current Wall Street consensus 1-year price target of Eli Lilly stock is $898, which is 2.99% lower than today’s price of $925.71. Of the 26 analysts covering Eli Lilly stock, the current rating is 1.71 or “Outperform” with 1-year price targets as high as $1,100 and as low as $540.00.
24/7 Wall Street sets its 1-year price target at $1,040. Taking a look at the sum of its parts, we see Eli Lilly’s vertices valued as follows:
Endocrinology | $735/ share |
Oncology | $122/ Share |
Cardiovascular | $4/ Share |
Neuroscience | $16/ Share |
Immunology | $38/ Share |
Others and Pipeline | $110/ Share |
Cash | $17/ Share |
Valuing Eli Lilly’s stock price for the coming years, we will take a look at expected revenue and net income and give our best estimate of the market value of the company by assigning a price-to-earnings multiple.
Revenue | Net Income | EPS | |
2025 | $52.8 | $17.29 | 19.11 |
2026 | $62.5 | $22.49 | 25.03 |
2027 | $70.87 | $27.12 | 30.39 |
2028 | $80.68 | $32.2 | 25.97 |
2029 | $87.99 | $36.45 | 40.58 |
2030 | $96.67 | $41.12 | 46.29 |
*Revenue and net income reported in billions
We expect Eli Lilly’s P/E ratio in 2025 to be 60 with an EPS of $19.11, resulting in a price target of $1140.00 This prediction is based on strong revenue growth of 18.37% to $52.80 billion and net income expansion to $17.29 billion, continuing the upward trajectory from previous years.
For 2026, we anticipate a P/E ratio of 50 with an EPS of $25.03, leading to a price target of $1250.00. This reflects significant revenue growth of 18.37% to $62.50 billion and an increase in net income to $22.49 billion, driving higher earnings per share.
Heading into 2027, we project the P/E ratio to remain at 50, with EPS increasing to $30.39. This results in a price target of $1520.00. Continued revenue growth of 13.39% to $70.87 billion and net income expansion to $27.12 billion justifies this substantial increase in stock price.
With an EPS of $25.97 and a P/E ratio of 50 in 2028, we forecast the stock price to be $1300.00. A slight dip in EPS growth is expected, but sustained strong performance in net income to $32.20 billion and revenue growth of 13.84% to $80.68 billion keeps the stock highly valued.
By 2029, we estimate Eli Lilly’s EPS to rise to $40.58, with the P/E ratio adjusting to 40. This gives us a price target of $1623.00. The continuous revenue growth of 9.06% to $87.99 billion and net income expansion to $36.45 billion supports this higher valuation.
Price Target: $1850.00
Upside: 99.85%
By 2030, we estimate Eli Lilly’s EPS to rise to $46.29, with the P/E ratio adjusting to 40. This gives us a price target of $1850.00. The continuous revenue growth of 9.86% to $96.67 billion and net income expansion to $41.12 billion supports this higher valuation.
Year | Price Target | % Change From Current Price |
---|---|---|
2025 | $1140.00 | Upside of 23.15% |
2026 | $1250.00 | Upside of 35.03% |
2027 | $1520.00 | Upside of 64.20% |
2028 | $1300.00 | Upside of 40.43% |
2029 | $1623.00 | Upside of 75.32% |
2030 | $180.00 | Upside of 99.85% |
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