Jefferies Comments on Eli Lilly's FY 2010 Earnings (LLY)

Jefferies is out with its report today on Eli Lilly LLY, commenting on LLY's FY 2010 earnings. In a note to clients, Jefferies writes, "Net sales: $23.08bn (+6%CER) vs. JEF: $22.9bn and Cons. $22.9bn revenue beat expectations by 1%. 2010 results are marginally better than consensus expectations primarily due to a stronger top-line performance. However, the lower than expected 2011 management guidance acknowledges tougher times ahead and should disappoint the market. We expect the stock to react negatively to today's results and 2011 guidance." Jefferies maintains Hold and a $35 PT on LLY. At last check, shares of LLY were trading at $35.28, up 0.94% from yesterday's close.