14 Hedge Fund Favorites with Strong Setup in 2026

12. Eli Lilly and Company (NYSE:LLY)

Eli Lilly and Company (NYSE:LLY) earns a place on our list of the 14 hedge fund favorites with strong setup in 2026.

On March 30, 2026, Guggenheim updated its model ahead of the first-quarter data and lowered the firm’s price target for Eli Lilly and Company (NYSE:LLY) from $1,168 to $1,163, while keeping a “Buy” rating. The update came in anticipation of the company’s Q1 2026 results.

This update coincides with ongoing analyst attention toward Eli Lilly and Company (NYSE:LLY)’s positioning in the rapidly expanding oral obesity market.

RBC Capital reaffirmed its “Outperform” rating and $1,250 price target for the stock on March 16, 2026. The firm highlighted that the updated 44-week Phase 2 ACCESS II data for Structure Therapeutics’ aleniglipron appear similar to Eli Lilly and Company (NYSE:LLY)’s Phase 2 data for orforglipron, with no visibly superior profile.

According to the investment firm, the data contribute to the competitive debate about oral obesity therapies and may indicate the emergence of a new competitor for market share.

However, Eli Lilly and Company (NYSE:LLY)’s own catalyst remains the firm’s primary focus, with orforglipron’s April 10, 2026, PDUFA date and potential launch expected to be the more significant driver of the stock.

Eli Lilly and Company (NYSE:LLY) is a healthcare company that specializes in human pharmaceutical products and offers cardiometabolic health & oncology products.