Eli Lilly: Don’t Take This Medicine


  • Eli Lilly and Company is fairly new to the dividend growth club.
  • The company is finally growing robustly again.
  • I expect the company to raise the dividend by 10% in December.
  • Eli Lilly has high projected growth, but the cost is just too high.

Eli Lilly and Company World Headquarters. Lilly makes Medicines and Pharmaceuticals.


Though by no means a dividend aristocrat, Eli Lilly and Company (NYSE:LLY) has at the very least started its dividend growth track record. And the record is not bad, with robust double-digit growth in recent years.

Investors looking

Data by YCharts

Data by YCharts

Eli Lilly Pfizer Merck
Price/Sales 12.0x 2.7x 4.5x
Price/Earnings 53.5x 8.3x 18.0x
Yield 1.1% 3.3% 2.7%

Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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