Stock Analysis on Net

Eli Lilly & Co. (NYSE:LLY)

$24.99

Price to Sales (P/S)
since 2005

Microsoft Excel

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Calculation

Eli Lilly & Co., P/S, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Eli Lilly & Co. Annual Report.


The price-to-sales (P/S) ratio, calculated from the provided share price and sales per share figures, exhibits considerable fluctuation over the observed period. Initially, the ratio decreased from 4.31 in 2006 to a low of 1.66 in 2009, coinciding with a period of economic downturn. Following this decline, the ratio experienced a period of relative stability, fluctuating between approximately 1.73 and 4.18 from 2010 through 2016.

A notable upward trend commenced in 2017, with the P/S ratio increasing from 3.71 to 6.03 by 2020. This increase accelerated significantly from 2020 onwards, reaching a peak of 20.77 in 2023 before decreasing to 15.03 in 2024. A further decline to 13.28 is projected for 2025, and a decrease to 11.68 is projected for 2026.

Initial Decline (2006-2009)
The initial decrease in the P/S ratio between 2006 and 2009 likely reflects a combination of factors, including a decline in share price and an increase in sales per share. The substantial drop in 2009 suggests a significant market correction or negative investor sentiment.
Period of Stability (2010-2016)
The relatively stable P/S ratio between 2010 and 2016 indicates a period of balanced growth, where increases in share price and sales per share moved in a somewhat offsetting manner. The ratio remained within a narrow range, suggesting consistent investor valuation.
Accelerated Growth (2017-2023)
The substantial increase in the P/S ratio from 2017 to 2023 suggests a significant re-evaluation of the company by investors. This could be attributed to positive developments in the company’s performance, industry trends, or broader market conditions. The rapid increase indicates growing investor confidence and a willingness to pay a higher premium for each dollar of sales.
Recent Moderation (2023-2026)
The recent decline in the P/S ratio from its peak in 2023, with projected decreases through 2026, may indicate a correction in the market or a shift in investor expectations. This could be due to concerns about future growth prospects, increased competition, or broader economic uncertainties. While still elevated compared to earlier periods, the decreasing trend suggests a potential normalization of valuation.

Overall, the P/S ratio demonstrates a dynamic pattern, influenced by both company-specific factors and broader economic conditions. The recent surge and subsequent moderation warrant further investigation to determine the underlying drivers and potential implications for future performance.


Comparison to Competitors

Eli Lilly & Co., P/S, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Sector (Pharmaceuticals, Biotechnology & Life Sciences)

Eli Lilly & Co., P/S, long-term trends, comparison to sector (pharmaceuticals, biotechnology & life sciences)

Microsoft Excel

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Industry (Health Care)