Eli Lilly (LLY) is a Great Momentum Stock: Should You Buy?

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Overview: Eli Lilly (LLY) - Eli Lilly currently holds a Momentum Style Score of B and a Zacks Rank of 2 (Buy), indicating strong potential for outperformance in the market [2] - The stock has shown a price increase of 0.76% over the past week, while the Zacks Large Cap Pharmaceuticals industry has increased by 1.08% during the same period [3] - Over the last month, Eli Lilly's shares have risen by 20.59%, significantly outperforming the industry average of 6.36% [3] Long-Term Performance Metrics - Eli Lilly's shares have increased by 10.48% over the past quarter and 71.36% over the last year, compared to the S&P 500's gains of 5.01% and 23.98%, respectively [4] - The average 20-day trading volume for Eli Lilly is 3,298,897 shares, which serves as a bullish indicator when combined with rising stock prices [4] Earnings Outlook - In the past two months, 10 earnings estimates for Eli Lilly have been revised upwards, while only 1 has been revised downwards, leading to an increase in the consensus estimate from $13.61 to$16.23 [5] - For the next fiscal year, 8 estimates have moved upwards with no downward revisions, indicating positive sentiment regarding future earnings [5] Conclusion - Given the strong momentum indicators and positive earnings outlook, Eli Lilly is positioned as a solid buy candidate for investors seeking short-term gains [6][7]