In addition to high-quality blue chip, long-term holdings, we also occasionally look to long-term op...
Eli Lilly: Solid as a Rock
11/13/2017 5:00 am EST
Eli Lilly and Company (LLY) was founded in 1876 and is headquartered in Indianapolis; If you want solidity and stability in your investments, you can get it here, notes Todd Shaver, editor of BullMarket.com.
The company is worth $87 billion, pays a 2.5% dividend and has moved from $20 in 2008 to its current level, in a pretty straight line.
Revenues are solid too. Revenues had a nice bump from the $20 billion in 2015 to the 2016 total of $21.2 billion. This year looks like $23 billion is in the bag. Slow and steady.
And profitable. $2.7 billion ($3.00 a share) to the bottom line after taxes in 2016 up from $2.4 billion in 2015. Not counting some non-recurring charges this year, the company should hit north of $4 billion before tax and about the same as last year in 2017. Solid.
The company offers products to treat diabetes; osteoporosis; human growth hormone deficiency; and testosterone deficiency.
It also provides neuroscience products for the treatment of depressive disorders, diabetic peripheral neuropathic pain, anxiety disorders, fibromyalgia schizophrenia; attention-deficit hyperactivity disorders; depressive, obsessive-compulsive, bulimia nervosa, and panic disorders; and adult brain imaging.
In addition, the company offers products to treat non-small cell lung, colorectal, head and neck, pancreatic, metastatic breast, ovarian, bladder, and metastatic gastric cancers, as well as malignant pleural mesothelioma; and migraine headaches.
And this is just a small part of what they do for humans. They do similar things for animals and are noted for their science and expertise. This is truly a worldwide leader in big pharma.
This amazing company should hit another $3 a share in 2017, giving the firm a PE of under 28. We expect the company to hit the $4 level in a few years and wouldn’t be surprised to see the stock in the 90s within two years. I my view, this stock is as solid as a rock.
Related Articles on HEALTHCARE
Walgreens Boots Alliance (WBA) was on a nice run when we bought in back in October. But that all cha...
Anavex (AVXL) is a biopharmaceutical company dedicated to the development of novel drug candidates t...
Five Prime (FPRX) recently held a quarterly conference call and, importantly, all of the company's t...