LLYNEUTRAL

Debt-to-Equity Ratio

1.39x

Updated 25h ago

Sector Performance

76th percentile

LLY

1.39x

Sector Median

0.73x

Sector Avg

0.09x

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Deep Analysis

Eli Lilly’s current Debt-to-Equity Ratio of 1.39x means the company uses $1.39 of debt for every $1 of shareholder equity, indicating a moderate reliance on borrowed funds to finance its operations.

This ratio sits well above the sector median of 0.73x, placing Lilly in the 76th percentile among its peers—meaning it is more leveraged than three-quarters of comparable companies. The metric does not show any trend because year-over-year and quarter-over-quarter changes are both marked as N/A, so there is no basis to assess whether leverage is increasing or decreasing. Without a trend, the elevated level alone signals higher financial risk compared to the sector norm, but it does not point to a clear near-term shift in that risk. This higher leverage could amplify both returns and losses, which aligns with a NEUTRAL overall verdict—the debt level is notable but not alarming on its own, and the absence of trend data prevents a stronger bullish or bearish stance.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about LLY?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

Who are LLY's closest peers by Debt-to-Equity Ratio?

The closest peers by Debt-to-Equity Ratio include: ETSY (-2.62x), MCK (-3.00x), TDG (-3.40x), VRSK (-3.81x), MAR (-4.04x).

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

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LLY

1.39x

Sector Median

0.73x

Sector Avg

0.09x

How LLY's Debt-to-Equity Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.