
31.00 USD (+38.6%)
13 analysts
What does it do?
Elanco Animal Health is a veterinary pharmaceutical company that develops and markets medicines, vaccines, and health solutions for companion and production animals, with a business model based on innovation and sales through veterinarians and distributors.
Key points
from its scores- ✓Strong growth8.4
- ✕Little or no dividend1.5
- ✕Unfavourable risk and backdrop2.4
- ✕Little competitive advantage4.7
AI analysis
bottom line, main risk, context and newsThe earnings improvement is notable, but high leverage and low profitability warrant caution.
Elanco shows revenue growth of 10.2% and a spectacular improvement in earnings (440.5%), but its financial health is fragile (net debt/EBITDA of 3.68) and its return on equity is negative (ROE -2.98%), which limits its appeal despite a reasonable valuation (forward P/E 17.4).
High indebtedness (net debt/EBITDA of 3.68) and weak return on equity (ROE -2.98%) are the main risks, along with exposure to FDA regulation and potential litigation.
Context and risks
Elanco operates in the veterinary pharmaceutical sector, subject to FDA regulation and potential product litigation. Its domicile in the U.S. carries a moderate regulatory risk, reflected in the governance reference. There are no recent news items that alter this profile.
Is Elanco Animal Health stock cheap or expensive?
at the analysis dateOn EV / EBITDA, it trades in line with the Healthcare median (within 15%).
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| EV / EBITDA | 14.8 | 14.5 | +2% |
| Price / book | 1.7 | 4.1 | −59% |
| Price / sales | 2.2 | 3.4 | −35% |
Sector: median of the 217 Healthcare companies analysed. In bold, the multiples used for the comparison.
Valuation score: 5.0 out of 10 (median for Healthcare: 4.7).
Average analyst target: 31.00 USD, +38.6% versus the price.
Classic formulas with standard assumptions (5.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Healthcare medianValuation
- Forward P/E
- 17.4
- EV / EBITDA
- 14.8
- Price / book
- 1.7
- Price / sales
- 2.2
- PEG
- 4.04
- Market cap
- 11.2B USD
- Enterprise value
- 14.9B USD
Profitability
- ROE
- −3.0%
- ROA
- 1.6%
- ROIC (approx.)
- 4.0%
- Gross margin
- 55.4%
- Operating margin
- 8.6%
- Net margin
- −4.0%
- Free cash flow
- 826.9M USD
- FCF yield
- 7.4%
- Cash conversion
- 82%
Solvency
- Total debt
- 4.2B USD
- Net debt
- 3.7B USD
- Cash
- 530.0M USD
- EBITDA
- 1.0B USD
- Net debt / EBITDA
- 3.68
- Debt / equity
- 64.25
- Current ratio
- 2.05
- Quick ratio
- 0.91
Growth
- Revenue growth
- +10.2%
- Earnings growth
- +440.5%
- EPS (TTM)
- −0.41 USD
- EPS (forward)
- 1.28 USD
Dividend
- Dividend yield
- 0.0%
- Payout
- 0.0%
Risk and market
- Beta
- 1.71
- Analyst consensus
- Strong buy (13)
- Target price
- 31.00 USD
- 52-week range
- 19.40 – 27.98
Recent news
All ELAN news →Compare it with its sector
All 217 in Healthcare →Frequently asked questions about Elanco Animal Health
Is Elanco Animal Health stock cheap or expensive?
On EV / EBITDA, it trades in line with the Healthcare median (within 15%). Valuation score: 5.0 out of 10 (median for Healthcare: 4.7). Average analyst target: 31.00 USD, +38.6% versus the price. This is not investment advice.
What score does Elanco Animal Health get on MeridIAn Screener?
It scores 4.9 out of 10, rank 1,739 of 2,130 (better than 17% of the companies analysed). Its strongest category is Growth (8.4) and its weakest, Dividend (1.5). Analysis of 08/10/2026.
How much is Elanco Animal Health worth on the stock market?
Its market capitalisation is 11.2B USD and its enterprise value, debt included, is 14.9B USD.
How much debt does Elanco Animal Health have?
Its net debt (debt minus cash) is 3.7B USD. That is 3.68 times its EBITDA; the Healthcare median is 1.53.
Does Elanco Animal Health pay a dividend?
It pays no dividend, or almost none.
How has Elanco Animal Health stock performed over the last year?
It has risen 13.2% over the last year, excluding dividends. Over the last 52 weeks it has traded between 19.40 and 27.98 USD. Past performance does not guarantee future results.
What do analysts think of Elanco Animal Health?
13 analysts cover it; their average recommendation is “Strong buy” and their average target is 31.00 USD (+38.6% versus the price). It is an estimate, not market data.
