A Smart Eli Lilly & Co. (LLY) Investor Does What Now?

Eli Lilly & Co. (NYSE:LLY) was in 35 hedge funds’ portfolio at the end of March. LLY investors should be aware of a decrease in hedge fund interest recently. There were 36 hedge funds in our database with LLY positions at the end of the previous quarter.

In the financial world, there are a multitude of metrics shareholders can use to track stocks. A pair of the most useful are hedge fund and insider trading interest. At Insider Monkey, our research analyses have shown that, historically, those who follow the top picks of the top hedge fund managers can outperform the market by a very impressive margin (see just how much).

Equally as important, positive insider trading sentiment is another way to break down the stock market universe. There are lots of stimuli for an upper level exec to drop shares of his or her company, but just one, very obvious reason why they would buy. Plenty of empirical studies have demonstrated the impressive potential of this method if investors understand where to look (learn more here).

With these “truths” under our belt, we’re going to take a gander at the recent action surrounding Eli Lilly & Co. (NYSE:LLY).

How have hedgies been trading Eli Lilly & Co. (NYSE:LLY)?

At the end of the first quarter, a total of 35 of the hedge funds we track were long in this stock, a change of -3% from the previous quarter. With hedgies’ capital changing hands, there exists a select group of notable hedge fund managers who were boosting their stakes substantially.

Eli Lilly & Co. (NYSE:LLY)When looking at the hedgies we track, Renaissance Technologies, managed by Jim Simons, holds the most valuable position in Eli Lilly & Co. (NYSE:LLY). Renaissance Technologies has a $599.5 million position in the stock, comprising 1.5% of its 13F portfolio. The second largest stake is held by Peter Rathjens, Bruce Clarke and John Campbell of Arrowstreet Capital, with a $204.8 million position; the fund has 1.6% of its 13F portfolio invested in the stock. Remaining hedgies that are bullish include Cliff Asness’s AQR Capital Management, Stanley Druckenmiller’s Duquesne Capital and Jerome Pfund and Michael Sjostrom’s Sectoral Asset Management.

Due to the fact that Eli Lilly & Co. (NYSE:LLY) has witnessed a declination in interest from hedge fund managers, it’s safe to say that there is a sect of hedge funds that decided to sell off their full holdings at the end of the first quarter. Intriguingly, Stephen DuBois’s Camber Capital Management sold off the biggest stake of the “upper crust” of funds we watch, totaling close to $49 million in call options, and Stephen DuBois of Camber Capital Management was right behind this move, as the fund dropped about $24.5 million worth. These transactions are intriguing to say the least, as aggregate hedge fund interest was cut by 1 funds at the end of the first quarter.

How are insiders trading Eli Lilly & Co. (NYSE:LLY)?

Insider trading activity, especially when it’s bullish, is particularly usable when the company we’re looking at has seen transactions within the past half-year. Over the last six-month time period, Eli Lilly & Co. (NYSE:LLY) has experienced zero unique insiders purchasing, and 7 insider sales (see the details of insider trades here).

With the returns exhibited by our tactics, everyday investors should always keep an eye on hedge fund and insider trading activity, and Eli Lilly & Co. (NYSE:LLY) applies perfectly to this mantra.

Click here to learn why you should track hedge funds

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

Best States To Practice Medicine

The 10 Best States to Have a Business

The 12 Most Expensive Apple (AAPL) Apps in the Market

The 10 Richest Billionaires in the World

10 Biggest Kickstarter Failures

The 10 Best Places to Work At

The Top 10 of Google Inc (GOOGL)’s Most Expensive Acquisitions

13 Best Cities to Visit in South America

10 Most Expensive Works of Art of All Time

The 10 Richest Banks in the World

The 10 Best-Paying Jobs in America (2014)

7 Most Expensive Foods in the World

The World’s Top 10 Earning Authors

Five Wicked and Very Expensive Items (and Other “Stuff”) Sold on eBay

10 Biggest Celebrity Bankruptcies

The Top 10 Highest Paid CEOs in 2014

The 10 Most Expensive Real Estate Cities in America

10 Most Expensive States To Live In America

The 10 Best Airlines in the World

The 10 Best-Selling Cars in 2014

The 10 Best Industries to Invest In

The 10 Most Expensive States to Own a Car In

Top 10 Business Schools in US: 2014 Rankings

Top 20 Female Billionaires in 2014

6 Movies That You Should Watch to Better Understand The Cold War

Top 15 Best Paying Jobs for Women in 2014

Top 6 Things Rich People Do Differently Every Day

5 Retirement Mistakes To Avoid (and Einstein’s Famous Quote)

11 Smartest People in the World

6 Films About the Financial World You Need To Watch (While “The Wolf” is Not Around)

Warren Buffett and Billionaires Are Crazy About These 7 Stocks

The Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top 6 Tax Scams and How to Protect Yourself

Top Businesses to Invest In

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!