Yesterday, Eli Lilly
Looks like investors are thinking a little more long-term than usual.
Revenue was up 10% at constant currencies, considerably better than peers Pfizer
It would be OK if Eli Lilly had a pipeline of late-stage molecules to make up for the loss of those blockbusters, but that just isn't the case. The drugmaker has 66 compounds in clinical trials, but most are still in phase 1. Only seven of those drugs are in phase 3 trials at the moment, and it has one awaiting regulatory approval, not counting drugs submitted through partnerships, such as once-weekly Byetta with Amylin Pharmaceuticals
There is some potential for growth of recently approved drugs. Effient, which was approved earlier this month, will compete with sanofi-aventis'
Essentially, if you want to invest in Eli Lilly right now, you'll have to be content to enjoy the solid 5.7% dividend yield while you wait for some of those compounds to work their way through the clinical-development marathon. It's not a bad strategy; just don't expect current earnings to do much to move the stock.
Move on to this Foolishness:
- Now's the time to double down on dividends.
- 5-star stocks poised to pop: Johnson & Johnson.
- The next 3 dividend dynamos.
