On August 8, 2023, Lilly Endowment Inc., a private philanthropic foundation, reduced its stake in Eli Lilly and Co., a leading drug firm. This article provides an in-depth analysis of the transaction, the profiles of the guru and the traded company, and the potential implications of the transaction on the stock market.
Details of the Transaction
Lilly Endowment Inc. reduced its holdings in Eli Lilly and Co. by 204,409 shares on August 8, 2023. The shares were traded at a price of $523.74 each. Following the transaction, Lilly Endowment Inc. now holds a total of 100,823,810 shares in Eli Lilly and Co., representing 111.7% of its portfolio and 10.62% of the traded company's stock. The transaction had a -0.23% impact on the guru's portfolio and resulted in a -0.20% change in the traded company's stock.
Profile of the Guru: Lilly Endowment Inc.
Lilly Endowment Inc. is a private philanthropic foundation based in Indianapolis. Founded in 1937 by the Lilly family, the foundation supports causes of religion, education, and community development. The company's financial foundation is primarily made up of assets from Eli Lilly and Company, a pharmaceutical business. Lilly Endowment Inc. currently has a market value of $9.5 billion and its top holding is Eli Lilly and Co. 
Overview of the Traded Company: Eli Lilly and Co.
Eli Lilly and Co., with a market capitalization of $499.55 billion, is a drug firm focusing on neuroscience, cardiometabolic, cancer, and immunology. The company's key products include Verzenio for cancer; Mounjaro, Jardiance, Trulicity, Humalog, and Humulin for diabetes; and Taltz and Olumiant for immunology. The company's stock, with the symbol LLY, is currently priced at $526.23, which is significantly overvalued according to the GF Value Rank. The GF Score of the stock is 75/100, indicating good outperformance potential. 
Analysis of the Traded Stock
Eli Lilly and Co.'s stock has shown a year-to-date price change ratio of 44.18% and a price change ratio of 12893.33% since its Initial Public Offering (IPO) on July 9, 1970. The company's Profitability Rank is 9/10, indicating high profitability, and its Growth Rank is 8/10, suggesting strong growth potential. However, the company's Financial Strength is ranked 6/10, indicating moderate financial stability.
Comparison with Other Gurus
Other gurus who also hold Eli Lilly and Co.'s stock include Ken Fisher (Trades, Portfolio), Dodge & Cox, and Jefferies Group (Trades, Portfolio). The largest guru holding the traded stock is Vanguard Health Care Fund (Trades, Portfolio).
Conclusion
The recent transaction by Lilly Endowment Inc. has slightly reduced its stake in Eli Lilly and Co., but the guru still holds a significant position in the traded company. The transaction's impact on the guru's portfolio and the traded company's stock is minimal. However, given the traded company's strong profitability and growth potential, the transaction could have implications for the stock's future performance.
All data and rankings are accurate as of August 10, 2023.
