5 Stocks Reddit’s WallStreetBets is Buying Before Earnings

4. Eli Lilly and Company (NYSE: LLY)

Number of Hedge Fund Holders: 55     

Eli Lilly and Company (NYSE: LLY) is placed fourth on our list of 10 stocks Reddit’s WallStreetBets is buying before earnings. The company makes and sells pharmaceuticals and is headquartered in Indiana. The firm will post second quarter results before the opening of the market on August 3. On July 29, the firm revealed the results of an analysis into a clinical study into a new drug being developed by the firm for the treatment of Alzheimer’s. The firm said early results showed slower cognitive declines in patients who took the drug. 

On July 26, investment advisory Truist initiated coverage of Eli Lilly and Company (NYSE: LLY) stock with a Buy rating and a price target of $262, identifying some potential risks to the stock that could hinder growth over the next few months. 

Out of the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in Eli Lilly and Company (NYSE: LLY) with 6 million shares worth $1.4 billion.  

In its Q1 2020 investor letter, Amana Mutual Funds Trust highlighted a few stocks and Eli Lilly and Company (NYSE: LLY) was one of them. Here is what the fund said:

“Even so, Lilly stood out as one, among a handful, of companies that registered a positive return for the first quarter. In January, Lilly reported excellent fourth quarter results, with revenue growing at a faster clip than over the first three quarters of the year. Lilly is also financially strong with debt equivalent to only two times EBITDA3 and 12% of market capitalization. Johnson & Johnson, while trailing Lilly, shares many of the same characteristics and also outperformed.”