Quality score · LLY · Healthcare

Is Eli Lilly a quality business?

Develops and sells prescription medicines, with recent growth concentrated in diabetes and obesity treatments.

7.0/ 10
High quality
as of October 19, 2026
Profitability
9.3 Strong
Solvency
—
Growth
8.6 Strong
Efficiency
4.3 Average
Predictability
4.5 Average
Strongest pillar: Profitability · Weakest: Efficiency

Eli Lilly (LLY) scores 7.0 out of 10 as of , computed from its reported financial statements. That reads as high quality. The reading rests on profitability, and efficiency is what holds it back.

One pillar, solvency, is unscored because the filings behind it carry too little to judge. It is shown as a dash rather than a zero, and the overall score is the weighted average of what could be scored.

Data provided by Twelve Data. Scores are computed by Lemma Analysis from reported financials.

Does Eli Lilly have an economic moat?

Not enough data

We cannot judge Eli Lilly yet, because fewer than five years had both a return on capital and a cost of capital we could measure. This is not a “no”.

Quantitative signs of a moat, read from the filed statements. This is not a judgement of where it comes from (brand, network effects, switching costs). How Lemma measures a moat →

Why quality is the interesting question for Eli Lilly

Growth of this magnitude in a company this old distorts the whole score, and it arrives alongside heavy spending on manufacturing capacity. Efficiency and solvency are where that expansion shows up long before it reaches profitability. The pillar reading is a way of asking what the business looks like once the buildout is finished.

How Eli Lilly scores

As of October 19, 2026, Eli Lilly scores 7.0 out of 10 on the Lemma Quality Score, a reading of high quality. Businesses in this band tend to combine good returns with a sound balance sheet, even if one pillar lags the others. Nothing in it comes from the share price or from forecasts: it is Eli Lilly’s own reported numbers, scored pillar by pillar.

Set against 212 Healthcare companies, Eli Lilly lands at the 90th percentile, among the top tenth of the group. A typical company in the group scores 4.4, and the best quarter starts from 6.0. Eli Lilly is well above that typical reading.

Pillar by pillar

Profitability

On profitability, Eli Lilly scores 9.3, a strong reading. Its peers have a median of 2.7 across 210 Healthcare companies, which places it well above them, at the 98th percentile. A reading this strong says the business earns well on what it sells and on the capital it uses, the kind of margin profile competitors find hard to copy.

Solvency

Solvency has no score for Eli Lilly. Fewer than half of the pillar’s metric weight could be computed from the reported statements, so it is drawn as a dash and left out of the overall rather than counted as a zero. For context, the median solvency score across 150 Healthcare companies is 6.5. Without it the overall says nothing about how comfortably the company carries its debt.

Growth

Growth scores 8.6 out of 10, which reads as strong. The median across 107 Healthcare companies is 4.9, so Eli Lilly is well above its peers on this pillar and ranks at the 92nd percentile. Strong growth means revenue, earnings and cash flow have been compounding faster than at most peers over the last few years.

Efficiency

Efficiency scores 4.3 out of 10, which reads as average. The median across 200 Healthcare companies is 6.0, so Eli Lilly is well below its peers on this pillar and ranks at the 25th percentile. Middling efficiency is unremarkable on its own, though improvements here tend to show up in free cash flow first.

Predictability

Predictability scores 4.5 out of 10, which reads as average. The median across 207 Healthcare companies is 3.4, so Eli Lilly is above its peers on this pillar and ranks at the 62nd percentile. An average predictability reading means results have wobbled about as much as is normal for the sector.

Strongest and weakest pillar

The gap between Eli Lilly’s best and worst pillar is wide: profitability at 9.3 against efficiency at 4.3, 5.0 points apart. An average of two readings this different deserves a closer look than the headline number. A profitability lead usually reflects something durable in the business model rather than a good year. Weak efficiency can reflect a heavy investment phase, which only pays off if the investment earns a return.

What would move the score

Of everything that could lift Eli Lilly’s score, efficiency matters most. Bringing it up to the 6.0 median of Healthcare companies would take the overall from 7.0 to roughly 7.3. With one pillar unscored, the overall rests on 80 of the 100 weight points, spread across the four pillars that could be measured (the full set is profitability 25, solvency 20, growth 20, efficiency 15, predictability 20).

Eli Lilly and similar companies

For a fair comparison, start with companies of a similar size: the Healthcare companies below are nearest to Eli Lilly by market value, each scored on the same pillars.

What each pillar measures

Profitability

9.3 / 10

How much profit the company generates from its capital and sales.

Solvency

—

The company’s ability to service debt and meet its obligations.

Growth

8.6 / 10

How fast revenue, earnings and cash flow are compounding.

Efficiency

4.3 / 10

How well assets and earnings convert into cash and output.

Predictability

4.5 / 10

How stable and consistent results have been over time.

How this score is calculated

Each metric is scored from 0 to 10 against sector-aware benchmarks, where higher is better. Metrics roll up into five pillars, and the pillars combine into the overall score using the weights shown. Sector-sensitive metrics are judged relative to peers in the same sector.

Limitations

This score is a systematic, backward-looking read of reported fundamentals. It does not judge valuation, management quality, competitive moat, or future prospects, and can be distorted by one-off items or unusual accounting. Treat it as a starting point, not a recommendation.

Educational only. Not investment advice.

FAQ

Is Eli Lilly a quality business?

On this reading Eli Lilly scores 7.0 out of 10, which reads as high quality. Its strongest pillar is profitability, its weakest is efficiency. Quality is not the same as a good investment: the score says nothing about the price you would pay.

How does Eli Lilly compare with other Healthcare companies?

Eli Lilly ranks at the 90th percentile of the 212 Healthcare companies Lemma publishes a score for. The median there is 4.4 and the top quarter starts at 6.0, against Eli Lilly’s 7.0.

What does the LLY quality score measure?

Five pillars, each scored from 0 to 10 against sector-aware benchmarks and then weighted into one overall reading: profitability, solvency, growth, efficiency and predictability. Everything comes from reported financials, and nothing comes from price, sentiment or forecasts.

How current is this score?

This page last changed on October 19, 2026. The score moves with the financial statements, so the page changes when a new filing moves the reading rather than on a schedule. Live figures for LLY are in the app.

Does a high score mean the stock is cheap?

No. Quality and valuation are separate questions, and a good business at the wrong price is still a bad purchase. Score the business here, then price it with a DCF you control.

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