LLY Intrinsic Value – Eli Lilly & Co. Acquires Dice Therapeutics in $2.4 Billion Cash Deal to Expand Immune Disease Portfolio
June 23, 2023
☀️Trending News
Eli ($NYSE:LLY) Lilly and Co, one of the oldest and largest pharmaceutical companies in the world, announced on Tuesday that they will be acquiring Dice Therapeutics Inc in a cash deal worth approximately $2.4 billion. This move marks a major milestone for Eli Lilly and Co, as it expands their portfolio of products and services related to immune disorders. The acquisition also provides Eli Lilly and Co with access to Dice Therapeutics’ cutting-edge technology, which is focused on developing drugs that target TNF-alpha, an important molecule involved in the development of inflammation-related autoimmune conditions.
The acquisition of Dice Therapeutics is part of Eli Lilly and Co’s long-term strategy to expand their portfolio of treatments for immune diseases such as rheumatoid arthritis, psoriasis, Crohn’s disease, and multiple sclerosis. With this move, Eli Lilly and Co has positioned itself to become a leader in the treatment of immune disorders, which is expected to drive strong revenue growth in the coming years.
Share Price
On Tuesday, Eli Lilly & Co. announced the acquisition of Dice Therapeutics in a $2.4 billion cash deal. The acquisition will significantly expand the company’s immune disease portfolio, with Dice Therapeutics’ focus on novel treatments for autoimmune and inflammatory diseases. Following the announcement, Eli Lilly & Co.’s stock opened at $445.9 and closed at $452.0, up by 0.9% from its previous closing price of $447.7. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for LLY. More…
| Total Revenues | Net Income | Net Margin |
| 27.69k | 5.69k | 24.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for LLY. More…
| Operations | Investing | Financing |
| 6.29k | -2.91k | -2.12k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for LLY. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 53.16k | 41.87k | 11.78 |
Key Ratios Snapshot
Some of the financial key ratios for LLY are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 6.2% | 5.2% | 23.9% |
| FCF Margin | ROE | ROA |
| 13.7% | 38.0% | 7.8% |
Analysis – LLY Intrinsic Value
At GoodWhale, we analyzed ELI LILLY AND and used our proprietary Valuation Line to calculate the fair value of their share. We determined that the fair value of ELI LILLY AND’s share is around $301.3. Currently, the stock is being traded at $452.0, which means it is overvalued by 50.0%. We suggest investors to be cautious when considering investing in ELI LILLY AND for the time being as its stock price is far higher than what is justified. More…
Peers
The competition between Eli Lilly and Co and its competitors is intense. Biogen Inc, Pfizer Inc, and Merck & Co Inc are all major players in the pharmaceutical industry, and each company is striving to be the top dog. Eli Lilly and Co has a strong presence in the United States, but its competitors are not far behind.
– Biogen Inc ($NASDAQ:BIIB)
Biogen Inc is an American multinational biotechnology company. The company is headquartered in Cambridge, Massachusetts, and has offices in Weston, Massachusetts; Research Triangle Park, North Carolina; Zurich, Switzerland; Maidenhead, United Kingdom; and Tokyo, Japan. Biogen Inc researches, develops, and manufactures therapies for the treatment of neurological and neurodegenerative diseases. The company’s products include AVONEX, TYSABRI, and FAMPYRA.
– Pfizer Inc ($NYSE:PFE)
Pfizer Inc has a market cap of 244.98B as of 2022, a Return on Equity of 24.63%. The company focuses on the discovery, development, and manufacture of biopharmaceutical products. Its portfolio includes medicines and vaccines for a wide range of conditions and diseases, such as Alzheimer’s disease, arthritis, cancer, and diabetes.
– Merck & Co Inc ($NYSE:MRK)
Merck & Co., Inc., d.b.a. Merck Sharp & Dohme (MSD) outside the United States and Canada, is an American multinational pharmaceutical company and one of the largest pharmaceutical companies in the world. The company was established in 1891 as the United States subsidiary of the German company Merck, which was founded in 1668 by the Merck family. Merck & Co. was subsequently acquired by Schering-Plough in 2009, and then by Merck KGaA in 2014. The company is headquartered in Kenilworth, New Jersey, and employs approximately 70,000 people in more than 140 countries.
Merck’s market cap is 238.43B as of 2022. The company has a Return on Equity of 28.84%. Merck & Co. is a multinational pharmaceutical company that is one of the largest in the world. The company was established in 1891 and has been acquired by Schering-Plough in 2009, and then by Merck KGaA in 2014. Merck & Co. is headquartered in Kenilworth, New Jersey, and employs approximately 70,000 people in more than 140 countries.
Summary
Eli Lilly and Co announced on Tuesday that it will acquire Dice Therapeutics Inc in an all-cash transaction of approximately $2.4 billion. The acquisition is expected to strengthen Eli Lilly’s portfolio of treatments for immune diseases. The move also signals that Eli Lilly is continuing to pursue aggressive growth strategies, while ensuring that their portfolio of therapeutic solutions remain at the cutting edge of the rapidly expanding biopharma industry.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
