10 Best Safe Stocks To Buy According to Analysts

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1. Eli Lilly and Company (NYSE:LLY)

Analyst Upside as of December 9, 2024: 23 %

10-Year Revenue Growth Rate: 7.25%

Number of Hedge Fund Holders: 106

Eli Lilly and Company (NYSE:LLY) ranks first on our list of the safest stocks to buy according to analysts. The pharmaceutical company sells medicines for serious illnesses in 125 countries and has offices in 18. The company reported a blockbuster quarter in terms of financials, with revenue increasing by 20% to $11.44 billion in Q3 2024. The revenue growth was driven by volume growth from its two key drugs, Mounjaro and Zepbound. Consequently, the company increased its full-year revenue guidance to $45.4-$46 billion.

During the quarter, the company received product approvals and launched new pipeline data for crucial drugs. The company also announced an investment of a staggering $4.5 billion to aid the development of a Lilly Medicine Foundry in Indiana, bringing together competencies in research and manufacturing. Eli Lilly and Company (NYSE:LLY) also unveiled its Lilly Seaport Innovation Center, a research and development center expected to serve as a central facility for genetic medicine.

Overall, excluding the divestiture activity from the olanzapine portfolio, the company’s revenue grew by nearly 42% and worldwide volume increased by 36%. The company’s performance and growth trajectory coupled with its diverse portfolio of drugs and medicines contributes to its position on our list. Analysts are also bullish on the stock and their median price target implies an upside of 23% from current levels.

While we acknowledge the potential of LLY to grow, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than LLY but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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