Rare Outflow Signals Hit Eli Lilly Shares

But at MoneyFlows, we try to remove emotion and focus on data. Specifically, we believe in Big Money and outlier stocks.

Big Money is powerful, market-moving institutional investors. And outliers are high quality stocks with great fundamentals that receive outsized Big Money inflows.

Great Companies at Sale Prices

But no stock rises constantly. Even outliers are sold off sometimes. These are times to pounce.

Buying low on outliers with historical Big Money support means you’re getting great companies at sale prices. Let me show you what I mean.

Take Netflix, Inc. ( NFLX ), the streaming video leader. Its fundamentals are fantastic:

Source: FactSet

But since 2021, there have been some periods with heavy, sustained outflows:

Rare Outflow Signals Hit Eli Lilly Shares

Based on the current price, buying at any of those outflow times would have produced a minimum 2x return.

Outlier Opportunities Right Now

The holy grail of investing is buying great companies on sale. And there are some outlier opportunities right now – chances to buy low.

For instance, global semiconductor firm Broadcom Inc., ( AVGO ) has a strong financial track record:

And it’s had Big Money outflows recently:

Rare Outflow Signals Hit Eli Lilly Shares

We can see it with health care giant Eli Lilly and Company ( LLY ) too. Several rare outflow signals hit Eli Lilly shares:

Rare Outflow Signals Hit Eli Lilly Shares

Despite the outflows, LLY has excellent financial metrics:

A final example of an outlier on sale is Ulta Beauty Inc. ( ULTA ), the huge beauty retailer. It recovered some after multiple selloffs over the last year:

Rare Outflow Signals Hit Eli Lilly Shares

The fundamental picture is solid here too:

Taking advantage of outliers’ low points is how the big gains are made. With MoneyFlow data, you can see when Big Money is offloading shares.

And as I’ve shown you with NFLX, buying at those times can produce truly JUICY returns! Similar rises could be ahead for other outliers too.

Spot the Sold-Off Outliers

When Big Money sells outliers it’s often a near-term low point for the shares. And quite often, time will bring them better days.

With MoneyFlows, you can spot the sold-off outliers and historical Big Money action. So, when Big Money dumps great stocks, it could mean an attractive entry point for long-term growth.

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