LLY is a leading AI biotech stock with strong fundamentals and attractive valuation.

Now, kicking things off here with the relatively safer pick first, we have the juggernaut biotech, Eli Liy, ticker symbol LLY, who's been making enormous strides in what we call peptidebased medicines.

C peptides are short chains of amino acid that are inherently modular, meaning that they're almost like biological building blocks that AI can more effectively design and modify with extreme precision.

It's almost like editing lines of computer code for it.

Well, that exact underlying science is what actually powered the recent breakthroughs in GLP1 weight loss and diabetes treatments. They're generating, you know, tens of billions of dollars now across healthcare. um really throughout.

And Eli Liy uh just happens to be one of the absolute leaders of course of this revolution primarily through their Mound Jarro and Zepbound treatments that together generated about $15 billion of revenue last quarter alone with Mount Jarro uh just itself growing a monstrous 91% year-over-year.

Not to mention their new oral pill called Foundo that just barely released too and will likely be ramping up throughout the year.

And what a lot of retail investors miss altogether is that Lily is actually using AI across the rest of their pipeline too and even forming strategic partnerships wherever necessary to maintain their lead.

In fact, just earlier this year, they completed their brand new supercomput called Lily Pod, which is currently considered the most powerful biotech supercomputer in the entire world and is powered by over a thousand nextG Blackwell GPUs from Nvidia.

Like I said, Lily is even forming numerous collaborations, too, like they already have with OpenAI for the discovery of novel antimicrobials. The $400 million deal with AI startup Genetic Leap to develop nextgen RNA targeted medicines.

They just signed an even bigger $2.75 billion deal with an AI biotech called Encilico Medicine for an end-to-end generative AI engine that basically compresses like early stage drug discovery from taking, you know, several years to complete down to just a matter of months.

And they're even using neural networks to screen billions of peptide structures to improve their entire process even further, too. Now, speaking of which, going back to weight loss for a second here.

Well, these technologies are what's also helping them develop their nextgen experimental drugs like Raida True Tide, which is basically their upcoming triple threat weight loss peptide that targets three separate hunger hormones at the exact same time to drive even greater fat loss in clinical trials.

And it's already seen like really promising results and there's a lot of hype behind it.

And yet, not only is all of this AIdriven efficiency super promising for their future, but already the results are starting to show uh in their financial um statements, they're starting to see some traction there.

For example, going back to that earnings report, their key drugs portfolio includes some of their newest treatments grew by triple digits yearover-year. That's when within um immunology, oncology, and neuroscience.

In other words, Lily isn't just a play on the very hyped up trend of weight loss, although they are, you know, of course, perfect for that. Really, the probably the best play on it.

But on top of it, they're also expanding in many other areas, too. And it's why analysts project both their sales and profits to skyrocket in the coming years.

The results being that even though the stock is uh currently trading near record highs, a Lily's PEG ratio that factors in all that future growth, it's actually sitting around 15% lower than the sector median.

That's pretty attractive for a company that is, you know, firing on all cylinders right now.

And that still holds lots more future promise long term as AI pushes their business even further, especially for like, you know, AI peptides. um that that market really I think Lily is um I think they're really the gold standard for that to be honest.

As for me though, um I like my pharma giants to uh pay a nice dividend if I can get one, which uh don't get me wrong, Lily has some excellent growth metrics on theirs, but at only around half a percent yield, it's just too small to really get me um very excited or or anyone else to to really notice.