FNY Investment Advisers Boosts Stake in Eli Lilly by 441.9%

FNY Investment Advisers LLC significantly increased its investment in Eli Lilly and Company (NYSE: LLY) during the second quarter of 2023, raising its stake by an impressive 441.9%. According to a recent filing with the Securities and Exchange Commission, the firm acquired an additional 928 shares during the period, bringing its total holdings to 1,138 shares. By the end of the quarter, these shares were valued at approximately $887,000.

Other institutional investors have also adjusted their positions in Eli Lilly, reflecting growing interest in the pharmaceutical giant. For instance, Chokshi & Queen Wealth Advisors Inc increased its stake by 9.5%, now owning 1,036 shares worth around $807,000 after acquiring an additional 90 shares. Similarly, D.A. Davidson & CO. raised its investment by 5.0%, resulting in a total of 46,111 shares valued at $35.9 million following a purchase of 2,211 shares.

Blume Capital Management Inc. and Gables Capital Management Inc. have also expanded their holdings. Blume Capital increased its stake by 46.7%, owning now 44 shares valued at $34,000, while Gables Capital raised its position by 10.6%, acquiring 278 shares for a total of $2.26 million. Cullen Frost Bankers Inc. increased its ownership by 1.0%, now owning 103,839 shares worth approximately $80.9 million. Currently, institutional investors hold 82.53% of Eli Lilly’s stock.

Wall Street Analysts Update on Eli Lilly

Recent evaluations from analysts highlight a mixed outlook for Eli Lilly’s stock. On August 8, 2023, UBS Group revised its price target down from $1,050.00 to $895.00, maintaining a “buy” rating. Goldman Sachs followed suit, raising its target from $876.00 to $879.00 with a “buy” recommendation on October 10, 2023.

Guggenheim also reaffirmed its “buy” rating with a price target of $948.00 on October 16, 2023. In contrast, HSBC Global Research upgraded its rating from “moderate sell” to “hold” on August 27, 2023. Morgan Stanley adjusted its price target from $1,028.00 to $1,023.00, maintaining an “overweight” rating on October 3, 2023. Overall, the stock has received one “Strong Buy,” fifteen “Buy,” and nine “Hold” ratings, leading to an average rating of “Moderate Buy” and a consensus target price of $938.61.

Eli Lilly’s Financial Performance

Eli Lilly’s stock opened at $799.85 on Wednesday. The company demonstrates a solid financial profile, with a debt-to-equity ratio of 1.86, a quick ratio of 1.00, and a current ratio of 1.28. Analysts have noted a 50-day simple moving average of $759.77 and a 200-day average of $766.43. With a market capitalization of $757.03 billion, Eli Lilly maintains a price-to-earnings (P/E) ratio of 52.28 and a P/E/G ratio of 1.16.

The company reported robust earnings results on August 7, 2023, with earnings per share (EPS) of $6.31, surpassing analysts’ expectations of $5.59 by $0.72. Eli Lilly’s revenue for the quarter reached $15.56 billion, exceeding the consensus estimate of $14.40 billion. The company achieved a return on equity of 92.72% and a net margin of 25.91%, with quarterly revenue increasing by 37.6% year-over-year.

Eli Lilly has set its fiscal year 2025 guidance within the range of $21.75 to $23.00 EPS, while analysts forecast an EPS of $23.48 for the current fiscal year.

Insider Transactions

Recent insider activity indicates confidence in the company’s prospects. On August 8, 2023, Director Jamere Jackson purchased 200 shares at an average price of $639.56 per share, totaling $127,912.00. Following this transaction, Jackson owns 9,402 shares, valued at $6,013,143.12, marking a 2.17% increase in ownership.

Additionally, Executive Vice President Daniel Skovronsky bought 1,000 shares on August 12, 2023, at an average cost of $634.40 per share, amounting to $634,400.00. Skovronsky now holds 137,660 shares, valued at approximately $87.33 million, reflecting a 0.73% ownership increase. Over the last quarter, insiders have acquired a total of 4,514 shares valued at $2,894,841, with 0.14% of the stock owned by insiders.

Eli Lilly and Company is a leading global pharmaceutical firm dedicated to discovering, developing, and marketing innovative medicines. The company offers a range of products, including diabetes treatments and medications for various other health conditions, reinforcing its important role in the healthcare sector.