Aristotle Atlantic Partners, LLC, an investment advisor, released its “Large Cap Growth Strategy” third quarter 2024 investor letter. A copy of the letter can be downloaded here. The U.S. equity market continued its rise to new record highs, with the S&P 500 Index increasing by 5.89% during this period. In the third quarter, Aristotle Atlantic’s Large Cap Growth Strategy delivered 1.26% gross of fees (1.11% net of fees) underperforming the Russell 1000 Growth Index’s return of 3.19%. Security selection led the portfolio to underperform in the quarter. Security selection in Information Technology and Health Care detracted the most from the relative performance while security selection in Consumer Discretionary and Real Estate detracted the least. In addition, please check the fund’s top five holdings to know its best picks in 2024.
Aristotle Large Cap Growth Strategy highlighted stocks like Eli Lilly and Company (NYSE:LLY) in the third quarter 2024 investor letter. Eli Lilly and Company (NYSE:LLY) is a pharmaceutical company, headquartered in Indianapolis, Indiana. The one-month return of Eli Lilly and Company (NYSE:LLY) was -13.90%, and its shares gained 32.60% of their value over the last 52 weeks. On November 6, 2024, Eli Lilly and Company (NYSE:LLY) stock closed at $776.38 per share with a market capitalization of $744.131 billion.
Aristotle Large Cap Growth Strategy stated the following regarding Eli Lilly and Company (NYSE:LLY) in its Q3 2024 investor letter:
“Eli Lilly and Company (NYSE:LLY) is a leading pharmaceutical company that develops diabetes, oncology, immunology and neuroscience medicines. The company generates over half of its revenue in the U.S. from its leading drugs Trulicity, Verzenio and Taltz. The company operates in a single business segment: human pharmaceutical products.
Eli Lilly has a deep pipeline in treatment areas focused on metabolic disorders, oncology, immunology and central nervous system disorders. Currently, there are two phase-three assets: orforglipron, an oral GLP-1, and retatrutide, a triple incretin agonist, which could possibly expand upon the potential success of Mounjaro. We believe that Mounjaro has the potential to commercialize beyond Type 2 diabetes and obesity, potentially in the areas mentioned above of heart disease, sleep apnea, fatty liver disease and chronic kidney disease. We believe the premium valuation is supported by this outsized growth profile.”
An array of pharmaceutical pills with the company’s logo on the bottle.
Eli Lilly and Company (NYSE:LLY) is on 19th position on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 100 hedge fund portfolios held Eli Lilly and Company (NYSE:LLY) at the end of the second quarter which was 109 in the previous quarter. While we acknowledge the potential of Eli Lilly and Company (NYSE:LLY) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed Eli Lilly and Company (NYSE:LLY) and shared top stocks from Jim Cramer November portfolio. In addition, please check out our hedge fund investor letters Q3 2024 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.