4-Star Stocks Poised to Pop: Eli Lilly

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, drugmaker Eli Lilly (NYS: LLY) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Lilly's business and see what CAPS investors are saying about the stock right now.

Lilly facts

Headquarters (founded)

Indianapolis (1876)

Market Cap

$46.7 billion

Industry

Pharmaceuticals

Trailing-12-Month Revenue

$24.3 billion

Management

Chairman/CEO John Lechleiter
CFO Derica Rice

Return on Equity (average, past 3 years)

44.3%

Cash/Debt

$6.9 billion / $7.0 billion

Dividend Yield

4.9%

Competitors

GlaxoSmithKline
Pfizer
Sanofi

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 93% of the 1,389 members who have rated Lilly believe the stock will outperform the S&P 500 going forward.

Late last month, one of those Fools, All-Star Staka, weighed the stock's pros and cons for our community:

Positive:
- Dividend, valuation
- Defensive
- Patens issues are well-known (priced in)

Negative:
- Litigation risks
- FDA risks

Of course, despite its four-star rating, Lilly may not be your top choice. If that's the case, we've compiled a special free report for investors called "Secure Your Future With 9 Rock-Solid Dividend Stocks," which uncovers several other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.

At the time thisarticle was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of GlaxoSmithKline and Pfizer. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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