8 Best Robinhood Stocks to Buy According to Analysts

5. Eli Lilly and Company (NYSE:LLY)

Average Upside Potential: ~23.4%

Number of Hedge Fund Holders: 115

Eli Lilly and Company (NYSE:LLY) discovers, develops, and markets human pharmaceuticals. Moody’s Ratings believes that the company has healthy scale and solid competitive position, higher profit margins, and strong cash flow. Furthermore, rapidly growing products such as Mounjaro, Zepbound, Verzenio, Ebglyss, and Kisunla, are expected to sustain strong growth. The firm expects Eli Lilly and Company (NYSE:LLY) to maintain conservative financial policies over time. Analyst Nico Chen from DBS maintained a “Buy” rating on the company’s stock, keeping the price objective at $900.00. The rating is backed by a combination of factors demonstrating its promising growth prospects. One critical reason is its strong pipeline.

Furthermore, the analyst lauded Eli Lilly and Company (NYSE:LLY)’s existing products in the weight-loss segment, like Mounjaro and Zepbound, which have contributed significantly to its revenue. For Q4 2024, worldwide Mounjaro revenue rose 60% to $3.53 billion and the U.S. Zepbound revenue came in at $1.91 billion against $175.8 million in Q4 2023. Also, the healthy market performance of such drugs was strengthened by the clinical superiority over the competitors, says the analyst. Elsewhere, Citi maintained a “Buy” rating with a price objective of $1,190.00.

Parnassus Investments, an investment management company, released its Q4 2024 investor letter. Here is what the fund said:

“Eli Lilly and Company (NYSE:LLY)stock declined following worse-than-expected third quarter results for its weight-loss drug segment. We initiated our position partway through the quarter, after the drawdown and in time for a partial rebound, and our average underweight for the quarter led to a relative contribution.

In the Health Care sector, we added drugmaker Eli Lilly, which has an exceptional GLP-1 franchise and a strong track record of innovation, which position the company for long-term growth. A rare revenue miss and President-elect Trump’s health secretary nomination sparked a sell-off, providing a window of opportunity to gain exposure to the drugmaker’s attractive product suite and pipeline at an attractive valuation.”