Elanco Animal Health (ELAN)
Market Price (7/2/2026): $24.08 | Market Cap: $12.0 BilSector: Health Care | Industry: Pharmaceuticals
Elanco Animal Health (ELAN)
Market Price (7/2/2026): $24.08Market Cap: $12.0 BilSector: Health CareIndustry: Pharmaceuticals
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 12% Low stock price volatilityVol 12M is 44% Megatrend and thematic driversMegatrends include Precision Medicine, Biotechnology & Genomics, and Aging Population & Chronic Disease. Themes include Biopharmaceutical R&D, Show more. | Weak multi-year price returns2Y Excs Rtn is -2.6% | Expensive valuation multiplesP/EBITPrice/EBIT or Price/(Operating Income) ratio is 300x, P/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 21x Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -6.3% Key risksELAN key risks include [1] its substantial indebtedness and [2] the vulnerability of its product portfolio to changing regulatory restrictions on the use of antibiotics. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 12% |
| Low stock price volatilityVol 12M is 44% |
| Megatrend and thematic driversMegatrends include Precision Medicine, Biotechnology & Genomics, and Aging Population & Chronic Disease. Themes include Biopharmaceutical R&D, Show more. |
| Weak multi-year price returns2Y Excs Rtn is -2.6% |
| Expensive valuation multiplesP/EBITPrice/EBIT or Price/(Operating Income) ratio is 300x, P/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 21x |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -6.3% |
| Key risksELAN key risks include [1] its substantial indebtedness and [2] the vulnerability of its product portfolio to changing regulatory restrictions on the use of antibiotics. |
Qualitative Assessment
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Elanco Animal Health (ELAN) stock has remained largely at the same level since 3/31/2026 because of the following key factors:
1. Strong Fiscal Q1 2026 Performance and Upgraded Full-Year Guidance. Elanco Animal Health reported robust results for fiscal Q1 2026, which ended March 31, 2026, exceeding analyst expectations with an adjusted earnings per share (EPS) of $0.40, surpassing the consensus estimate of $0.34. Revenue for the quarter reached $1.37 billion, also above analyst estimates of $1.28 billion, reflecting 10% organic constant currency growth year-over-year. Following these strong results, announced on May 6, 2026, the company raised its full-year fiscal 2026 revenue guidance to between $5.010 billion and $5.085 billion and adjusted EPS to a range of $1.03 to $1.09, signaling positive operational momentum and likely mitigating downward pressure on the stock.
2. Continued Product Innovation and Market Share Expansion. Elanco's innovation-driven strategy demonstrated success in fiscal Q1 2026, with key products like Zenrelia™ achieving "trailing 4-quarter blockbuster status" and Credelio Quattro™ showing accelerated market share gains, including a 3-point increase in dollar share from U.S. veterinary clinics compared to Q4 2025. Furthermore, Elanco announced the USDA approval of TruCan™ Ultra Lyme-L4, a new canine vaccine, in June 2026. The company also revealed plans to launch Elanco Ventures, a corporate venture capital platform backed by a $25 million multi-year commitment to foster animal health innovation, indicating a pipeline of future growth opportunities that provided underlying support for the stock.
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Elanco Animal Health (ELAN) stock has remained largely at the same level since 3/31/2026 because of the following key factors:
1. Strong Fiscal Q1 2026 Performance and Upgraded Full-Year Guidance. Elanco Animal Health reported robust results for fiscal Q1 2026, which ended March 31, 2026, exceeding analyst expectations with an adjusted earnings per share (EPS) of $0.40, surpassing the consensus estimate of $0.34. Revenue for the quarter reached $1.37 billion, also above analyst estimates of $1.28 billion, reflecting 10% organic constant currency growth year-over-year. Following these strong results, announced on May 6, 2026, the company raised its full-year fiscal 2026 revenue guidance to between $5.010 billion and $5.085 billion and adjusted EPS to a range of $1.03 to $1.09, signaling positive operational momentum and likely mitigating downward pressure on the stock.
2. Continued Product Innovation and Market Share Expansion. Elanco's innovation-driven strategy demonstrated success in fiscal Q1 2026, with key products like Zenrelia™ achieving "trailing 4-quarter blockbuster status" and Credelio Quattro™ showing accelerated market share gains, including a 3-point increase in dollar share from U.S. veterinary clinics compared to Q4 2025. Furthermore, Elanco announced the USDA approval of TruCan™ Ultra Lyme-L4, a new canine vaccine, in June 2026. The company also revealed plans to launch Elanco Ventures, a corporate venture capital platform backed by a $25 million multi-year commitment to foster animal health innovation, indicating a pipeline of future growth opportunities that provided underlying support for the stock.
3. Antitrust Settlement and Regulatory Considerations. In May 2026, Elanco agreed to a settlement of $6.75 million as part of a broader $9.275 million class-action antitrust lawsuit. This settlement addressed allegations that the company paid major pet retailers not to stock generic versions of its Advantix flea and tick products. A condition of the settlement prevents Elanco from offering exclusive discounts on Advantix for five years, potentially introducing competitive challenges or limiting growth in this product category. This legal development and its implications likely introduced a degree of uncertainty or negative sentiment, tempering the stock's upward movement.
4. Mixed Analyst Sentiment Amidst Industry Challenges. Analyst sentiment toward Elanco remained somewhat mixed during the period. While some analysts, such as TD Cowen in June 2026, raised their price targets (e.g., to $32.00) and maintained "buy" ratings, others issued downgrades or highlighted concerns regarding Elanco's refinancing strategy and potential near-term risks to earnings growth in 2026, particularly given rising interest rates. The broader animal health market, despite projected growth, also faces industry-wide challenges including increasing corporatization of veterinary clinics, rising pricing pressures, and ongoing consolidation, which could contribute to a more cautious investment environment for Elanco.
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Stock Movement Drivers
Fundamental Drivers
The 0.7% change in ELAN stock from 3/31/2026 to 7/1/2026 was primarily driven by a 3.8% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 3312026 | 7012026 | Change |
|---|---|---|---|
| Stock Price ($) | 23.93 | 24.09 | 0.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,715 | 4,893 | 3.8% |
| P/S Multiple | 2.5 | 2.5 | -2.9% |
| Shares Outstanding (Mil) | 497 | 498 | -0.1% |
| Cumulative Contribution | 0.7% |
Market Drivers
3/31/2026 to 7/1/2026| Return | Correlation | |
|---|---|---|
| ELAN | 0.7% | |
| Market (SPY) | 14.7% | 51.8% |
| Sector (XLV) | 8.8% | 28.7% |
Fundamental Drivers
The 6.5% change in ELAN stock from 12/31/2025 to 7/1/2026 was primarily driven by a 6.6% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 12312025 | 7012026 | Change |
|---|---|---|---|
| Stock Price ($) | 22.63 | 24.09 | 6.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,591 | 4,893 | 6.6% |
| P/S Multiple | 2.4 | 2.5 | 0.1% |
| Shares Outstanding (Mil) | 497 | 498 | -0.2% |
| Cumulative Contribution | 6.5% |
Market Drivers
12/31/2025 to 7/1/2026| Return | Correlation | |
|---|---|---|
| ELAN | 6.5% | |
| Market (SPY) | 9.7% | 53.6% |
| Sector (XLV) | 3.5% | 31.4% |
Fundamental Drivers
The 68.7% change in ELAN stock from 6/30/2025 to 7/1/2026 was primarily driven by a 53.4% change in the company's P/S Multiple.| (LTM values as of) | 6302025 | 7012026 | Change |
|---|---|---|---|
| Stock Price ($) | 14.28 | 24.09 | 68.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,427 | 4,893 | 10.5% |
| P/S Multiple | 1.6 | 2.5 | 53.4% |
| Shares Outstanding (Mil) | 495 | 498 | -0.5% |
| Cumulative Contribution | 68.7% |
Market Drivers
6/30/2025 to 7/1/2026| Return | Correlation | |
|---|---|---|
| ELAN | 68.7% | |
| Market (SPY) | 21.7% | 43.1% |
| Sector (XLV) | 19.9% | 29.6% |
Fundamental Drivers
The 139.5% change in ELAN stock from 6/30/2023 to 7/1/2026 was primarily driven by a 120.4% change in the company's P/S Multiple.| (LTM values as of) | 6302023 | 7012026 | Change |
|---|---|---|---|
| Stock Price ($) | 10.06 | 24.09 | 139.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 4,443 | 4,893 | 10.1% |
| P/S Multiple | 1.1 | 2.5 | 120.4% |
| Shares Outstanding (Mil) | 491 | 498 | -1.3% |
| Cumulative Contribution | 139.5% |
Market Drivers
6/30/2023 to 7/1/2026| Return | Correlation | |
|---|---|---|
| ELAN | 139.5% | |
| Market (SPY) | 74.2% | 42.5% |
| Sector (XLV) | 25.8% | 33.2% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| ELAN Return | -7% | -57% | 22% | -19% | 87% | 9% | -20% |
| Peers Return | 21% | -25% | 19% | -0% | 18% | -6% | 19% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 10% | 100% |
Monthly Win Rates [3] | |||||||
| ELAN Win Rate | 42% | 25% | 58% | 42% | 50% | 67% | |
| Peers Win Rate | 62% | 40% | 53% | 48% | 47% | 47% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 50% | |
Max Drawdowns [4] | |||||||
| ELAN Max Drawdown | -24% | -60% | -45% | -37% | -35% | -26% | |
| Peers Max Drawdown | -21% | -45% | -29% | -29% | -37% | -33% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ZTS, MRK, IDXX, PAHC, NEOG. See ELAN Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 7/1/2026 (YTD)
How Low Can It Go
| Event | ELAN | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -27.9% | -18.8% |
| % Gain to Breakeven | 38.8% | 23.1% |
| Time to Breakeven | 21 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -10.8% | -7.8% |
| % Gain to Breakeven | 12.1% | 8.5% |
| Time to Breakeven | 8 days | 18 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -26.8% | -9.5% |
| % Gain to Breakeven | 36.6% | 10.5% |
| Time to Breakeven | 22 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -38.0% | -6.7% |
| % Gain to Breakeven | 61.4% | 7.1% |
| Time to Breakeven | 197 days | 31 days |
| 2020 COVID-19 Crash | ||
| % Loss | -44.3% | -33.7% |
| % Gain to Breakeven | 79.4% | 50.9% |
| Time to Breakeven | 203 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -13.5% | -19.2% |
| % Gain to Breakeven | 15.6% | 23.8% |
| Time to Breakeven | 183 days | 105 days |
In The Past
Elanco Animal Health's stock fell -27.9% during the 2025 US Tariff Shock. Such a loss loss requires a 38.8% gain to breakeven.
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| Event | ELAN | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -27.9% | -18.8% |
| % Gain to Breakeven | 38.8% | 23.1% |
| Time to Breakeven | 21 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -26.8% | -9.5% |
| % Gain to Breakeven | 36.6% | 10.5% |
| Time to Breakeven | 22 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -38.0% | -6.7% |
| % Gain to Breakeven | 61.4% | 7.1% |
| Time to Breakeven | 197 days | 31 days |
| 2020 COVID-19 Crash | ||
| % Loss | -44.3% | -33.7% |
| % Gain to Breakeven | 79.4% | 50.9% |
| Time to Breakeven | 203 days | 140 days |
In The Past
Elanco Animal Health's stock fell -27.9% during the 2025 US Tariff Shock. Such a loss loss requires a 38.8% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Elanco Animal Health (ELAN)
Elanco Animal Health Inc. (ELAN) is a global animal health company dedicated to innovating, developing, manufacturing, and marketing a comprehensive portfolio of products for both companion animals and livestock. The company's mission is to improve the health, well-being, and performance of animals through its scientific advancements and diverse product offerings.
For pet owners, Elanco provides essential disease prevention products, including leading parasiticides like Seresto, Advantage, Advantix, and Advocate, which protect pets from worms, fleas, and ticks. It also offers therapeutic solutions for canines and felines, addressing conditions such as pain, osteoarthritis, ear infections, cardiovascular issues, and dermatology with brands like Galliprant and Claro. In the farm animal sector, Elanco supplies critical products for poultry, aquaculture, ruminant, and swine production, encompassing a range of vaccines, antibiotics, and parasiticides, alongside nutritional health products such as enzymes and probiotics under key brands like Rumensin and Baytril.
Elanco's extensive product line serves a broad customer base, primarily distributing its products through third-party channels and directly to veterinarians. Its farm animal products are sold to various producers, including beef and dairy farmers, as well as operations involved in pork, poultry, and aquaculture. This dual focus on both companion animals and livestock positions Elanco as a comprehensive and significant provider within the global animal health industry.
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Think of it as **Pfizer or Merck, but exclusively for pets and farm animals.**
It's like **Bayer or Johnson & Johnson, but entirely dedicated to animal health products.**
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- Pet Parasiticides & Vaccines: Products like Seresto, Advantage, Advantix, and Advocate that prevent diseases in pets from worms, fleas, and ticks.
- Pet Therapeutics: Products such as Galliprant and Claro for treating pain, osteoarthritis, ear infections, cardiovascular issues, and dermatology in canines and felines.
- Poultry & Aquaculture Health Products: A range of vaccines, antibiotics, parasiticides, and nutritional health products for poultry and aquaculture production.
- Ruminant & Swine Health Products: Products including vaccines, antibiotics, implants, and parasiticides, such as Rumensin and Baytril, for use in ruminant and swine production.
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Elanco Animal Health (symbol: ELAN) primarily sells its products to other companies and organizations, rather than directly to individuals.
Based on the provided company description, its major customers fall into the following categories:
- Third-party distributors
- Veterinarians (including individual practices and larger veterinary clinic chains)
- Farm animal producers (encompassing beef and dairy farmers, as well as pork, poultry, and aquaculture operations)
The provided background information does not list specific names of these customer companies or their public symbols.
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Jeff Simmons, President and Chief Executive Officer
Jeff Simmons has served as President and Chief Executive Officer of Elanco Animal Health since 2018, bringing over 30 years of experience in the life sciences industry, primarily within Elanco. He led Elanco's separation from Eli Lilly and Company in 2018, which culminated in the company becoming an independent, publicly traded entity on the New York Stock Exchange. In 2020, he oversaw the acquisition of Bayer Animal Health. Simmons also co-founded Hatch, an initiative focused on sustainable food security, and Edge Mentoring, which aims to develop leaders. His board affiliations include IU Health and previously Chiquita Brands, where he chaired the compensation committee.
Robert VanHimbergen, Executive Vice President and Chief Financial Officer
Robert M. "Bob" VanHimbergen was appointed Executive Vice President and Chief Financial Officer of Elanco Animal Health, effective July 7, 2025. Prior to joining Elanco, he served as CFO of Hillenbrand, Inc. from 2022 to 2025, where he played a role in the company's transformation into a pure-play industrial company. Before Hillenbrand, he spent approximately 15 years at Johnson Controls, holding various finance leadership roles and ultimately serving as Vice President, Corporate Controller, and was involved in the company's enterprise transformation. He began his career as a certified public accountant at PwC.
Tim Bettington, Executive Vice President, Corporate Strategy and Market Development
Tim Bettington serves as Elanco's Executive Vice President, Corporate Strategy and Market Development, also holding the title of Executive Vice President, Center of Strategic Growth.
Ellen de Brabander, Ph.D., Executive Vice President, Research, Development and Regulatory Affairs
Ellen de Brabander serves as Executive Vice President of Research, Development and Regulatory Affairs at Elanco Animal Health.
Grace McArdle, Executive Vice President, Manufacturing and Quality
Grace McArdle holds the position of Executive Vice President, Manufacturing and Quality for Elanco.
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- Regulatory and Competitive Challenges, including Generic Competition: Elanco operates within a highly regulated animal health industry where changes in restrictions, such as those on the use of antibiotics in farm animals, present significant challenges. The industry is intensely competitive, with both established players and new entrants vying for market share, which can lead to price competition and pressure on profit margins. Furthermore, the expiration of patents for key products like Seresto (in the U.S. in September 2027 and Europe in June 2025, with some SPCs extending to September 2026) and Galliprant (with patents expiring between October 2021 and March 2026) exposes Elanco to increased competition from generic alternatives. Elanco has acknowledged potential challenges from generic competition.
- Product Pipeline and R&D Execution Risks: Elanco's growth is heavily dependent on its ability to successfully innovate and bring new products to market. Delays in the innovative product pipeline have previously concerned investors and impacted stock performance. A significant risk involves the successful navigation of regulatory approvals and the market adoption of new products, as evidenced by safety concerns and a boxed warning for Zenrelia, a dermatology drug, which is expected to hinder its initial adoption and limit treatment days. These issues have also led to a securities class action lawsuit alleging that Elanco misled investors about the safety and regulatory path of Zenrelia and the commercialization timeline of Credelio Quattro.
- High Debt Load and Financial Leverage: Elanco has maintained a substantial debt burden, notably from its acquisition of Bayer Animal Health. The company has faced a high net debt to EBITDA ratio and weak interest cover, which indicates significant financial leverage. While Elanco aims to reduce its leverage, a substantial debt load can constrain financial flexibility and impact the company's ability to invest and operate.
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Elanco Animal Health Incorporated (symbol: ELAN) participates in several significant addressable markets for its diverse range of animal health products and services. The market sizes identified are predominantly global unless otherwise specified.
Addressable Markets for Elanco Animal Health Products and Services:
- Overall Animal Healthcare Market: The global animal healthcare market was valued at USD 73.10 billion in 2025 and is projected to reach approximately USD 172.08 billion by 2035. Another estimate places the global animal healthcare market at USD 220.8 billion in 2025, growing to USD 399.4 billion by 2035. The global animal health market is expected to reach USD 67.4 billion in 2023 and is anticipated to reach USD 148.0 billion by 2032.
- Pet Health Products:
- Parasiticides (e.g., Seresto, Advantage, Advantix, Advocate brands): The global veterinary parasiticides market size was estimated at USD 12.9 billion in 2024 and is expected to reach USD 21.8 billion by 2034. More specifically, the global companion animal parasiticides market was valued at USD 2.10 billion in 2024 and is projected to grow to USD 2.87 billion by 2034. The global market for flea and tick preventatives alone is projected to exceed USD 3.5 billion annually by 2025.
- Vaccines: The global companion animal vaccines market size was valued at USD 5.67 billion in 2025 and is projected to reach USD 10.35 billion by 2034. The global dog vaccines market size was valued at USD 2.21 billion in 2025 and is expected to reach USD 3.52 billion by 2032.
- Therapeutics (Pain, Osteoarthritis, Ear Infections, Cardiovascular, Dermatology): The global veterinary therapeutics market was valued at USD 47.25 billion in 2025 and is projected to grow to USD 81.59 billion by 2034. The global pet medicine market size was estimated at USD 14.5 billion in 2025 and is projected to reach USD 32.8 billion by 2033.
- Ear Infections (e.g., Claro): The global companion animal ear infection treatment market size was valued at USD 713.52 million in 2024 and is anticipated to grow to USD 1.25 billion by 2030. Another report indicates a market size of USD 744.38 million in 2024, projected to reach USD 1.25 billion by 2031, reflecting an 8.44% CAGR.
- Dermatology (e.g., Galliprant): The global veterinary dermatology market is projected to reach USD 30.31 billion by 2030 from USD 20.11 billion in 2025. The global veterinary dermatology market is projected to grow from USD 9.7 billion in 2025 to USD 23.9 billion by 2035. The global veterinary dermatology drugs market size will be USD 18620 million in 2025.
- Cardiovascular: The global veterinary cardiology market size was estimated at USD 2,787.0 million (USD 2.787 billion) in 2024 and is projected to reach USD 4,468.3 million (USD 4.468 billion) by 2030. This market is projected to expand from USD 2.83 billion in 2025 to USD 4.71 billion by 2031.
- Farm Animal Products:
- Poultry (Vaccines, Antibiotics, Parasiticides, Nutritional Health Products): The global poultry health & performance market size was valued at USD 11.56 billion in 2025 and is projected to grow to USD 20.85 billion by 2034. The poultry health market size was valued at USD 17.38 billion in 2025 and is estimated to grow to USD 28.44 billion by 2031. The global poultry medicine market size was estimated at USD 6.72 billion in 2024 and is projected to reach USD 11.90 billion by 2033. North America's poultry health market leads with a valuation of USD 5.0 billion in 2024.
- Aquaculture (Vaccines, Antibiotics, Parasiticides, Nutritional Health Products): The global aquaculture healthcare market size was calculated at USD 1.35 billion in 2025 and is predicted to increase to approximately USD 3.04 billion by 2035. Another source indicates it is anticipated to expand from USD 3.2 billion in 2024 to USD 6.8 billion by 2034.
- Ruminant (e.g., Rumensin - Vaccines, Antibiotics, Implants, Parasiticides): The global cattle healthcare market size was valued at USD 9.51 billion in 2025 and is projected to grow to USD 17.15 billion by 2034.
- Swine (e.g., Baytril - Vaccines, Antibiotics, Implants, Parasiticides): While a specific "swine health market" size was not explicitly found, swine health products would fall under the broader "production animal" segment of the animal healthcare market. The global animal vaccines market, which includes swine, was valued at USD 9.9 billion in 2024 and is expected to reach USD 19 billion by 2034.
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Elanco Animal Health (ELAN) anticipates several key drivers for its future revenue growth over the next two to three years, primarily stemming from a robust innovation pipeline, expansion within its core animal health segments, strategic pricing, and increased international market penetration.
Here are the expected drivers of future revenue growth for Elanco Animal Health:
- Innovation and New Product Launches: Elanco expects a consistent flow of high-impact innovation to be a primary driver of revenue growth. The company projects innovation to contribute approximately $1.1 billion in revenue in 2026, with a raised target of $1.15 billion. A significant focus is on its "Big 6" potential blockbuster products (AdTab™, Befrena™, Bovaer®, Credelio Quattro™, Experior®, Zenrelia™), with a goal to double their revenue by 2028. Key products like Credelio Quattro™ have been highlighted as "the fastest blockbuster in our history" and are rapidly increasing clinic penetration, while Zenrelia™ is outperforming initial expectations and gaining significant market share. The planned launch of Befrena™, a monoclonal antibody for canine dermatitis, in the first half of 2026, is also expected to contribute significantly. Overall, Elanco has more than 10 major innovation products in development, with 5-6 potential blockbuster approvals anticipated between 2026 and 2031.
- Growth in Key Segments (U.S. Pet Health and Farm Animal): The company is experiencing and projecting strong growth in its core business segments. In Q4 2025, Elanco reported significant contributions from its U.S. Pet Health and Farm businesses, which grew by 10% and 17% respectively. Analysts anticipate annual revenue growth of 6%-8% for pet health products in 2025 and 2026, driven by existing products like Credelio, AdTab, and Zenrelia, along with new launches. The farm animal segment is also expected to see growth of 3%-4% in 2026, partly due to new products such as Bovaer®. Experior® revenue surpassed $200 million in 2025, growing nearly 80% year-over-year.
- Strategic Pricing: Elanco intends to implement strategic pricing increases to drive revenue growth. The company noted a 2% pricing increase in 2025 and expects this to accelerate in 2026, driven by a commitment to "price the value" of its products.
- International Expansion and Market Penetration: Expanding its reach globally and increasing market share for existing and new products internationally is another driver. Elanco's international business expanded in nine countries in Q4 2025, with its international pet business growing 8% and farm business growing 4% in the same quarter. Products like Zenrelia™ have already achieved significant market share gains internationally. The company is also expanding its reach to new veterinary clinics for its U.S. Pet Health business, adding 2,600 new clinics in 2025.
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Share Repurchases
- Elanco has suspended share repurchases, prioritizing debt reduction efforts.
Share Issuance
- No significant share issuances were reported within the 2021-2025 timeframe, with the company focusing on deleveraging rather than raising equity.
Outbound Investments
- In November 2024, Elanco acquired a contract manufacturing facility in Speke, UK, for $25 million in cash to secure a critical component of its global supply chain for key farm animal products.
- Elanco is set to close the acquisition of AHV International, a Dutch cattle health company, in Q2, strengthening its high-margin dairy portfolio.
- In 2024, Elanco divested its Aqua business, which contributed approximately $1 billion to debt repayment.
- In May 2025, Elanco sold certain future tiered royalties and commercial milestones associated with XDEMVY® (lotilaner ophthalmic solution) for human health to Blackstone for $295 million in cash, which was used to accelerate debt reduction.
Capital Expenditures
- Capital expenditures were approximately $250 million in 2025, focused on investments in manufacturing capacity for new products.
- Capital expenditures are expected to decline to about $180 million in 2026.
- Elanco announced plans for $400 million in continued investments in its U.S. operations over the next five years (from December 2025), specifically expanding R&D in its Indianapolis global headquarters and investing in its Kansas monoclonal antibody (mAb) manufacturing facility to support innovation.
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 52.28 |
| Mkt Cap | 21.3 |
| Rev LTM | 4,670 |
| Op Inc LTM | 853 |
| FCF LTM | 692 |
| FCF 3Y Avg | 609 |
| CFO LTM | 894 |
| CFO 3Y Avg | 772 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 6.7% |
| Rev Chg 3Y Avg | 6.5% |
| Rev Chg Q | 7.6% |
| QoQ Delta Rev Chg LTM | 1.8% |
| Op Inc Chg LTM | 13.8% |
| Op Inc Chg 3Y Avg | 11.4% |
| Op Mgn LTM | 15.9% |
| Op Mgn 3Y Avg | 14.2% |
| QoQ Delta Op Mgn LTM | -0.1% |
| CFO/Rev LTM | 19.5% |
| CFO/Rev 3Y Avg | 18.3% |
| FCF/Rev LTM | 13.9% |
| FCF/Rev 3Y Avg | 14.5% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 21.3 |
| P/S | 2.8 |
| P/Op Inc | 16.2 |
| P/EBIT | 16.1 |
| P/E | 12.6 |
| P/CFO | 20.2 |
| Total Yield | 4.0% |
| Dividend Yield | 0.7% |
| FCF Yield 3Y Avg | 3.8% |
| D/E | 0.3 |
| Net D/E | 0.3 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 3.1% |
| 3M Rtn | -2.8% |
| 6M Rtn | -3.5% |
| 12M Rtn | 40.2% |
| 3Y Rtn | 13.1% |
| 1M Excs Rtn | 4.6% |
| 3M Excs Rtn | -16.7% |
| 6M Excs Rtn | -12.4% |
| 12M Excs Rtn | 24.9% |
| 3Y Excs Rtn | -56.3% |
Comparison Analyses
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Development, manufacturing, marketing and sales of animal health products for both pets and farm | 4,715 | 4,439 | 4,417 | 4,411 | 4,764 |
| Total | 4,715 | 4,439 | 4,417 | 4,411 | 4,764 |
| $ Mil | 2025 | 2024 |
|---|---|---|
| Development, manufacturing, marketing and sales of animal health products for both pets and farm | -232 | 338 |
| Total | -232 | 338 |
Price Behavior
| Market Price | $24.09 | |
| Market Cap ($ Bil) | 12.0 | |
| First Trading Date | 09/20/2018 | |
| Distance from 52W High | -10.2% | |
| 50 Days | 200 Days | |
| DMA Price | $23.08 | $22.85 |
| DMA Trend | up | indeterminate |
| Distance from DMA | 4.4% | 5.4% |
| 3M | 1YR | |
| Volatility | 55.6% | 44.5% |
| Downside Capture | 229.34 | 110.54 |
| Upside Capture | 136.30 | 145.85 |
| Correlation (SPY) | 51.3% | 43.2% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 1.63 | 2.45 | 1.91 | 1.83 | 1.52 | 1.35 |
| Up Beta | 1.20 | 3.30 | 1.98 | 1.82 | 1.82 | 1.32 |
| Down Beta | 3.67 | 3.12 | 2.82 | 2.58 | 1.87 | 1.45 |
| Up Capture | 137% | 220% | 119% | 170% | 183% | 252% |
| Bmk +ve Days | 11 | 24 | 40 | 67 | 140 | 429 |
| Stock +ve Days | 12 | 23 | 31 | 62 | 126 | 366 |
| Down Capture | 85% | 178% | 201% | 145% | 105% | 106% |
| Bmk -ve Days | 10 | 17 | 23 | 58 | 112 | 321 |
| Stock -ve Days | 9 | 17 | 30 | 61 | 121 | 369 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ELAN | |
|---|---|---|---|---|
| ELAN | 72.0% | 44.4% | 1.35 | - |
| Sector ETF (XLV) | 20.0% | 15.5% | 0.98 | 29.4% |
| Equity (SPY) | 21.8% | 12.5% | 1.30 | 43.0% |
| Gold (GLD) | 21.7% | 27.7% | 0.69 | 17.5% |
| Commodities (DBC) | 21.4% | 18.6% | 0.90 | -20.8% |
| Real Estate (VNQ) | 13.0% | 13.7% | 0.65 | 35.1% |
| Bitcoin (BTCUSD) | -45.0% | 42.6% | -1.28 | 16.4% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ELAN | |
|---|---|---|---|---|
| ELAN | -6.9% | 45.7% | -0.01 | - |
| Sector ETF (XLV) | 6.7% | 14.8% | 0.27 | 36.8% |
| Equity (SPY) | 13.5% | 17.1% | 0.61 | 46.6% |
| Gold (GLD) | 17.4% | 18.3% | 0.77 | 7.5% |
| Commodities (DBC) | 6.8% | 19.5% | 0.25 | 7.5% |
| Real Estate (VNQ) | 2.8% | 18.8% | 0.05 | 41.0% |
| Bitcoin (BTCUSD) | 11.9% | 53.7% | 0.41 | 14.9% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ELAN | |
|---|---|---|---|---|
| ELAN | -3.8% | 44.2% | 0.04 | - |
| Sector ETF (XLV) | 10.4% | 16.6% | 0.51 | 41.6% |
| Equity (SPY) | 15.4% | 18.0% | 0.73 | 48.7% |
| Gold (GLD) | 11.9% | 16.1% | 0.60 | 5.3% |
| Commodities (DBC) | 5.6% | 18.0% | 0.24 | 13.3% |
| Real Estate (VNQ) | 5.4% | 20.7% | 0.22 | 44.0% |
| Bitcoin (BTCUSD) | 56.6% | 66.3% | 0.97 | 12.2% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 6/9/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/6/2026 | 13.9% | -6.8% | 7.5% |
| 2/24/2026 | 6.6% | 5.4% | 0.6% |
| 11/5/2025 | -4.0% | 1.6% | -2.7% |
| 8/7/2025 | 18.1% | 27.7% | 32.1% |
| 5/7/2025 | 26.3% | 36.9% | 41.2% |
| 2/25/2025 | -3.7% | 1.8% | -5.4% |
| 11/7/2024 | 12.8% | 10.3% | -2.8% |
| 8/8/2024 | 4.9% | 13.7% | 21.9% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 15 | 15 | 13 |
| # Negative | 9 | 9 | 11 |
| Median Positive | 6.6% | 10.3% | 8.1% |
| Median Negative | -4.0% | -6.4% | -6.5% |
| Max Positive | 26.3% | 36.9% | 41.2% |
| Max Negative | -16.1% | -12.3% | -27.9% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/6/2026 | 13.9% | -6.8% | 7.5% |
| 2/24/2026 | 6.6% | 5.4% | 0.6% |
| 11/5/2025 | -4.0% | 1.6% | -2.7% |
| 8/7/2025 | 18.1% | 27.7% | 32.1% |
| 5/7/2025 | 26.3% | 36.9% | 41.2% |
| 2/25/2025 | -3.7% | 1.8% | -5.4% |
| 11/7/2024 | 12.8% | 10.3% | -2.8% |
| 8/8/2024 | 4.9% | 13.7% | 21.9% |
| 5/8/2024 | 24.9% | 26.3% | 35.1% |
| 2/26/2024 | -0.7% | -2.1% | -2.8% |
| 11/7/2023 | 14.3% | 12.7% | 37.5% |
| 8/7/2023 | 4.0% | 4.5% | 3.7% |
| 5/9/2023 | -0.5% | -4.9% | 0.2% |
| 2/21/2023 | -11.5% | -11.7% | -27.9% |
| 11/8/2022 | -2.2% | -4.2% | -6.5% |
| 8/8/2022 | 2.4% | 3.3% | -24.8% |
| 5/9/2022 | -8.2% | -6.4% | 3.2% |
| 2/24/2022 | 8.3% | 12.6% | 6.7% |
| 11/5/2021 | 3.7% | -0.4% | -12.4% |
| 8/9/2021 | -16.1% | -12.3% | -3.8% |
| 5/7/2021 | 5.9% | 9.3% | 8.1% |
| 2/24/2021 | 2.2% | 4.8% | -8.3% |
| 11/6/2020 | -7.0% | -8.2% | -9.9% |
| 7/30/2020 | 6.1% | 19.5% | 33.0% |
| SUMMARY STATS | |||
| # Positive | 15 | 15 | 13 |
| # Negative | 9 | 9 | 11 |
| Median Positive | 6.6% | 10.3% | 8.1% |
| Median Negative | -4.0% | -6.4% | -6.5% |
| Max Positive | 26.3% | 36.9% | 41.2% |
| Max Negative | -16.1% | -12.3% | -27.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/06/2026 | 10-Q |
| 12/31/2025 | 02/24/2026 | 10-K |
| 09/30/2025 | 11/05/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/07/2025 | 10-Q |
| 12/31/2024 | 02/25/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/08/2024 | 10-Q |
| 03/31/2024 | 05/08/2024 | 10-Q |
| 12/31/2023 | 02/26/2024 | 10-K |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 08/07/2023 | 10-Q |
| 03/31/2023 | 05/09/2023 | 10-Q |
| 12/31/2022 | 03/01/2023 | 10-K |
| 09/30/2022 | 11/08/2022 | 10-Q |
| 06/30/2022 | 08/08/2022 | 10-Q |
| Report Date | Filing Date | Filing |
|---|---|---|
| 03/31/2026 | 05/06/2026 | 10-Q |
| 12/31/2025 | 02/24/2026 | 10-K |
| 09/30/2025 | 11/05/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/07/2025 | 10-Q |
| 12/31/2024 | 02/25/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/08/2024 | 10-Q |
| 03/31/2024 | 05/08/2024 | 10-Q |
| 12/31/2023 | 02/26/2024 | 10-K |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 08/07/2023 | 10-Q |
| 03/31/2023 | 05/09/2023 | 10-Q |
| 12/31/2022 | 03/01/2023 | 10-K |
| 09/30/2022 | 11/08/2022 | 10-Q |
| 06/30/2022 | 08/08/2022 | 10-Q |
| 03/31/2022 | 05/09/2022 | 10-Q |
| 12/31/2021 | 02/28/2022 | 10-K |
| 09/30/2021 | 11/05/2021 | 10-Q |
| 06/30/2021 | 08/09/2021 | 10-Q |
| 03/31/2021 | 05/07/2021 | 10-Q |
| 12/31/2020 | 03/01/2021 | 10-K |
| 09/30/2020 | 11/06/2020 | 10-Q |
| 06/30/2020 | 07/30/2020 | 10-Q |
| 03/31/2020 | 05/07/2020 | 10-Q |
| 12/31/2019 | 02/28/2020 | 10-K |
| 09/30/2019 | 11/08/2019 | 10-Q |
| 06/30/2019 | 08/13/2019 | 10-Q |
Recent Forward Guidance
Updated 5/31/2026Latest: Q1 2026 Earnings Reported 5/6/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q2 2026 Revenue | 1.30 Bil | 1.31 Bil | 1.32 Bil | 1.5% | Raised | Guidance: 1.29 Bil for Q1 2026 | |
| Q2 2026 Adjusted EBITDA | 240.00 Mil | 250.00 Mil | 260.00 Mil | -16.7% | Lowered | Guidance: 300.00 Mil for Q1 2026 | |
| Q2 2026 Adjusted Earnings per Share | 0.25 | 0.27 | 0.28 | -23.2% | Lowered | Guidance: 0.34 for Q1 2026 | |
| 2026 Revenue | 5.01 Bil | 5.05 Bil | 5.08 Bil | 1.3% | Raised | Guidance: 4.99 Bil for 2026 | |
| 2026 Adjusted EBITDA | 975.00 Mil | 990.00 Mil | 1.00 Bil | 2.1% | Raised | Guidance: 970.00 Mil for 2026 | |
| 2026 Adjusted Earnings per Share | 1.03 | 1.06 | 1.09 | 2.9% | Raised | Guidance: 1.03 for 2026 | |
| 2026 Innovation Revenue | 1.20 Bil | 4.3% | Raised | Guidance: 1.15 Bil for 2026 | |||
Prior: Q4 2025 Earnings Reported 2/24/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2026 Revenue | 1.28 Bil | 1.29 Bil | 1.30 Bil | 17.8% | Higher New | Actual: 1.10 Bil for Q4 2025 | |
| Q1 2026 Adjusted EBITDA | 290.00 Mil | 300.00 Mil | 310.00 Mil | 68.5% | Higher New | Actual: 178.00 Mil for Q4 2025 | |
| Q1 2026 Adjusted EPS | 0.33 | 0.34 | 0.36 | 228.6% | Higher New | Actual: 0.1 for Q4 2025 | |
| 2026 Revenue | 4.95 Bil | 4.99 Bil | 5.02 Bil | 7.0% | Higher New | Actual: 4.66 Bil for 2025 | |
| 2026 Adjusted EBITDA | 955.00 Mil | 970.00 Mil | 985.00 Mil | 9.0% | Higher New | Actual: 890.00 Mil for 2025 | |
| 2026 Adjusted EPS | 1 | 1.03 | 1.06 | 11.4% | Higher New | Actual: 0.93 for 2025 | |
| 2026 Innovation Revenue | 1.15 Bil | 33.7% | Raised | Actual: 860.00 Mil for 2025 | |||
| 2026 Net Leverage Ratio | 3.1 | 3.2 | 3.3 | Higher New | |||
Insider Activity
Updated 6/16/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Modi, Rajeev A | SEE REMARKS | Direct | Buy | 5192026 | 20.35 | 4,911 | 99,939 | 3,272,524 | Form |
| 2 | Simmons, Jeffrey N | PRESIDENT, CEO AND DIRECTOR | Revocable Trust | Buy | 5192026 | 20.09 | 4,971 | 99,843 | 3,454,038 | Form |
| 3 | Kurzius, Lawrence Erik | Direct | Buy | 12162025 | 21.30 | 10,000 | 213,000 | 2,806,765 | Form | |
| 4 | Modi, Rajeev A | SEE REMARKS | Direct | Buy | 12152025 | 21.33 | 4,500 | 95,985 | 2,625,339 | Form |
| 5 | Vanhimbergen, Robert M | EVP and CFO | Direct | Buy | 12152025 | 21.64 | 6,950 | 150,426 | 2,688,911 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Modi, Rajeev A | SEE REMARKS | Direct | Buy | 5192026 | 20.35 | 4,911 | 99,939 | 3,272,524 | Form |
| 2 | Simmons, Jeffrey N | PRESIDENT, CEO AND DIRECTOR | Revocable Trust | Buy | 5192026 | 20.09 | 4,971 | 99,843 | 3,454,038 | Form |
| 3 | Kurzius, Lawrence Erik | Direct | Buy | 12162025 | 21.30 | 10,000 | 213,000 | 2,806,765 | Form | |
| 4 | Modi, Rajeev A | SEE REMARKS | Direct | Buy | 12152025 | 21.33 | 4,500 | 95,985 | 2,625,339 | Form |
| 5 | Vanhimbergen, Robert M | EVP and CFO | Direct | Buy | 12152025 | 21.64 | 6,950 | 150,426 | 2,688,911 | Form |
| 6 | Simmons, Jeffrey N | PRESIDENT, CEO AND DIRECTOR | Revocable Trust | Buy | 12152025 | 21.75 | 22,000 | 478,496 | 3,632,217 | Form |
Elanco Animal Health — Investor Video Playlist






Industry Resources
| Health Care Resources |
| U.S. National Library of Medicine |
| ClinicalTrials.gov |
| Modern Healthcare |
| Healthcare Dive |
| Fierce Healthcare |
| Health Affairs |
| Health Data Management |
| FDA Tracker |
| Pharmaceuticals Resources |
| Fierce Pharma |
| Pharm Exec |
| Endpoints News |
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| SeekingAlpha | ValueLine |
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| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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