Midland Wealth Advisors Reduces Stake in Eli Lilly by 4.1%
Midland Wealth Advisors LLC has reduced its stake in Eli Lilly and Company (NYSE: LLY) by 4.1%, selling 121 shares during the second quarter of 2023. According to the most recent Form 13F filing with the Securities and Exchange Commission, the firm now holds 2,852 shares valued at approximately $2.22 million. This adjustment marks a strategic shift as the firm reassesses its investment portfolio amid changing market dynamics.
Several other institutional investors have also modified their positions in Eli Lilly recently. Notably, PNC Financial Services Group Inc. significantly increased its holdings by 97.5% in the first quarter, acquiring an additional 50 million shares, bringing its total to 101,305,650 shares worth about $83.67 billion. Meanwhile, Vanguard Group Inc. raised its stake by 6.7%, now owning over 79 million shares valued at $65.43 billion. Wellington Management Group LLP also grew its position slightly by 0.6%, while Goldman Sachs Group Inc. increased its holdings by 13.3% during the same period. Collectively, institutional investors and hedge funds own approximately 82.53% of Eli Lilly’s stock.
Analysts Adjust Price Targets for Eli Lilly
In light of these developments, various brokerages have issued updated ratings for Eli Lilly. Guggenheim reaffirmed a “buy” rating with a target price set at $948.00. DZ Bank upgraded the company from a “hold” to a “strong-buy” rating, while HSBC Global Research raised its rating from “moderate sell” to “hold.” Goldman Sachs has increased its target price from $876.00 to $879.00 and maintains a “buy” rating. Currently, one analyst has rated the stock as a “strong buy,” with sixteen recommending a buy and seven suggesting a hold. The consensus rating is classified as “moderate buy,” with an average price target of $983.76.
Recent Insider Activity and Stock Performance
In addition to the institutional changes, insider trading activity has been notable. Director Gabrielle Sulzberger purchased 117 shares at an average price of $641.18 per share, increasing her total holdings to 2,703 shares, valued at approximately $1.73 million. CEO David A. Ricks also acquired 1,632 shares at an average price of $644.77, raising his stake to 546,601 shares, worth around $352.43 million. Over the past three months, insiders have acquired a total of 4,314 shares valued at approximately $2.77 million.
As of Monday, shares of Eli Lilly opened at $923.35, reflecting a 1.5% decline. The stock has fluctuated between a fifty-two week low of $623.78 and a high of $955.46. The company has a market capitalization of $872.92 billion, with a P/E ratio of 60.35.
Eli Lilly reported its quarterly earnings on October 30, 2023, announcing earnings per share (EPS) of $7.02, surpassing analysts’ expectations of $6.42 by $0.60. The company generated revenue of $17.60 billion, exceeding forecasts of $16.09 billion and reflecting a year-over-year revenue increase of 53.9%. Eli Lilly’s return on equity stands at 92.72%, with a net margin of 25.91%.
Furthermore, Eli Lilly recently declared a quarterly dividend of $1.50 per share, set to be paid on December 10, 2023, to shareholders of record as of November 14, 2023. This dividend represents an annualized yield of 0.6% and indicates a dividend payout ratio of approximately 29.35%.
Eli Lilly and Company operates globally, focusing on the discovery, development, and marketing of human pharmaceuticals, including products for diabetes and obesity management. As the company navigates changing market conditions, investor sentiment and stock performance remain closely monitored by analysts and stakeholders alike.
