We are investigating Elanco Animal Health Incorporated (ELAN) (“Elanco” or the “Company”) for potential violations of the federal securities laws. On May 7, 2020, before the market opened, Elanco announced its financial results for the first quarter of 2020, reporting revenue of $657.7 million and earnings per share of -$0.12, reflecting “a reduction of approximately $60 million in channel inventory.” Elanco’s Chief Executive Officer attributed the disappointing results to “distributor performance,” among other issues, and stated that Elanco planned “to tighten [its] approach across many facets of [its] distributor relationships.” On this news, Elanco’s stock price fell $3.05 per share, or 13.3%, to close at $19.88 per share on May 7, 2020.