Redditors Are Buying Eli Lilly And Co (LLY) Ahead of Potential End of AI Trade. Here’s Why

Core Insights - Eli Lilly And Co (NYSE: LLY) is experiencing strong growth driven by its diabetes and weight-loss products, making it a favored stock among Reddit investors ahead of a potential market bubble burst [1] - The company recently reached a $1 trillion market cap, with its stock price increasing by 36% year-to-date, supported by robust revenue growth from various treatments [2] - Despite a recent decline in stock price due to disappointing Phase 3 trial results for its oral obesity treatment, Eli Lilly is viewed as having manageable risks and a leading position in the GLP-1 drug market, which is expected to grow significantly [3] Financial Performance - Eli Lilly reported approximately 45% revenue growth over the past 12 months, outperforming its peers [2] - The stock's price-to-earnings (P/E) ratio remains elevated, but analysts argue it deserves a premium due to its strong revenue growth [2] Market Position and Future Outlook - Eli Lilly is recognized for its GLP-1 treatments for diabetes and obesity, with expectations that the GLP-1 drug class will become the standard of care, potentially representing a market exceeding $150 billion [3] - The company is anticipated to nearly double its total revenues by 2030, driven by the continued adoption of GLP-1 therapies [3]