Eli Lilly and CoMIC:LLY-RM 98 Operating Margin % is 49.39% as of Mar. 2026, which is 78% above its 10-year median of 27.68. GuruFocus rates MIC:LLY-RM with a GF Score™ of 98/100. The stock has 6 warning signs investors should review. Among 955 Drug Manufacturers companies, Eli Lilly and Co ranks better than 98.85% on this metric.
Eli Lilly and Co operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for Eli Lilly and Co's Operating Margin % or its related term are showing as below:
MIC:LLY-RM'
s Operating Margin % Range Over the Past 10 Years
Min: 17.31 Med: 27.68 Max: 45.56
Current: 47.3
MIC:LLY-RM's Operating Margin % is ranked better than 98.85% of 955
companies
in the Drug Manufacturers industry
Industry Median: 7.45
vs MIC:LLY-RM: 47.30
Eli Lilly and Co's 5-Year Average Operating Margin % Growth Rate was 10.30% per year.
Eli Lilly and Co's Operating Income for the
three
months ended in Mar. 2026 was ₽794,843.86 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ₽2,751,646.79 Mil.
Eli Lilly and Co (MIC:LLY-RM) Operating Margin % Explanation
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
Eli Lilly and Co Operating Margin % Related Terms
Eli Lilly and Co Operating Margin % Historical Data
* Premium members only.
The historical data trend for Eli Lilly and Co's Operating Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MIC:LLY-RM vs JNJ, ABBV, MRK: Operating Margin % Comparison
For the Drug Manufacturers - General subindustry, Eli Lilly and Co's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Eli Lilly and Co Operating Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Eli Lilly and Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Eli Lilly and Co's Operating Margin % falls into.
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
Eli Lilly and Co's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Eli Lilly and Co (MIC:LLY-RM) has a Operating Margin % of 49.39% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Eli Lilly and Co and its competitors. This is 78% above median its historical median of 27.68. Over the past decade, Eli Lilly and Co's Operating Margin % has ranged from 17.31 to 45.56. According to the industry distribution chart, Eli Lilly and Co ranks #11 out of 955 companies in the Drug Manufacturers industry, placing it in the top 1.2%.
Is Eli Lilly and Co's Operating Margin % too high?
Eli Lilly and Co's current Operating Margin % of 49.39% is 78% above median its 10-year median of 27.68. Over the past 10 years, this metric has ranged from a low of 17.31 to a high of 45.56. The Drug Manufacturers industry median Operating Margin % is 7.45. Eli Lilly and Co's value of 49.39% is 563% above this industry median. Based on the distribution chart, Eli Lilly and Co ranks #11 out of 955 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Eli Lilly and Co has a GF Score™ of 98/100, reflecting its overall financial health beyond just this single metric.
How does Eli Lilly and Co's Operating Margin % compare to JNJ and ABBV?
According to the Drug Manufacturers industry distribution chart, Eli Lilly and Co ranks #11 out of 955 companies for Operating Margin %. This places Eli Lilly and Co in the top 1% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 7.45. Eli Lilly and Co's value of 49.39% is 563% above this benchmark. Historically, Eli Lilly and Co's own Operating Margin % has ranged from 17.31 to 45.56 over the past decade. While the company's 10-year median is 27.68 vs. the industry median of 7.45, Eli Lilly and Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for a Drug Manufacturers company?
The median Operating Margin % among Drug Manufacturers companies is 7.45, based on 955 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Eli Lilly and Co's current Operating Margin % of 49.39% is 563% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Eli Lilly and Co and its competitors. For the Drug Manufacturers industry, the median Operating Margin % is 7.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Eli Lilly and Co's current Operating Margin % is 49.39%, which is 78% above median its own 10-year median of 27.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Eli Lilly and Co stock overvalued right now?
Eli Lilly and Co (MIC:LLY-RM) has a current Operating Margin % of 49.39%. The current Operating Margin % is 49.39%, which is 78% above median its 10-year median of 27.68 and 563% above the Drug Manufacturers industry median of 7.45. Eli Lilly and Co's overall GF Score™ is 98/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Eli Lilly and Co (MIC:LLY-RM), the current Operating Margin % is 49.39% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Eli Lilly is a drug firm with a focus on neuroscience, cardiometabolic, cancer, and immunology. Lilly's key products include Verzenio and Jaypirca for cancer; Mounjaro, Zepbound, Foundayo, Jardiance, Trulicity, Humalog, and Humulin for cardiometabolic; and Taltz and Olumiant for immunology.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MIC:LLY-RM has been successfully added to your 