Eli Lilly's stock falls after profit miss, lowered outoook
Shares of Eli Lilly & Co. dropped 2.7% in premarket trade Wednesday, after the drug giant reported a fourth-quarter profit that missed expectations and cut its full-year outlook. Lilly swung to net income of $1.13 billion, or $1.10 a share, from a loss of $1.66 billion, or $1.58 a share, in the same period a year ago, which included asset impairment and tax-related charges. Excluding non-recurring items, adjusted earnings per share came to $1.33, below the FactSet consensus of $1.34. Revenue rose 5% to $6.44 billion, above the FactSet consensus of $6.29 billion, as revenue of its two largest drugs--Trulicity and Humalog--beat expectations. Lilly said it cut its 2019 outlook primarily because of impacts of the pending acquisition of Loxo Oncology and the negative phase 3 trial for Lartruvo. The company cut its adjusted EPS outlook to $5.55 to $5.65 from $5.90 to $6.00 and its revenue outlook to $25.1 billion to $25.6 billion from $25.3 billion to $25.8 billion. The stock has run up 14% over the past three months through Tuesday, while the S&P 500 has slipped 0.6%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.