WallStSmart

Quest Diagnostics Incorporated (DGX)vsEli Lilly and Company (LLY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 541% more annual revenue ($72.25B vs $11.28B). LLY leads profitability with a 35.0% profit margin vs 9.1%. LLY appears more attractively valued with a PEG of 1.42. LLY earns a higher WallStSmart Score of 78/100 (B+).

DGX

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 6.0Value: 4.7Quality: 5.3
Piotroski: 2/9Altman Z: 2.29

LLY

Strong Buy

78

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 5.0Quality: 6.5
Piotroski: 6/9Altman Z: 2.06
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DGXSignificantly Overvalued (-26.0%)

Margin of Safety

-26.0%

Fair Value

$166.17

Current Price

$189.13

$22.96 premium

UndervaluedFair: $166.17Overvalued

Intrinsic value data unavailable for LLY.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DGX1 strengths · Avg: 8.0/10
Price/BookValuation
2.9x8/10

Reasonable price relative to book value

LLY6 strengths · Avg: 10.0/10
Market CapQuality
$862.01B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
101.2%10/10

Every $100 of equity generates 101 in profit

Profit MarginProfitability
35.0%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
49.4%10/10

Strong operational efficiency at 49.4%

Revenue GrowthGrowth
55.5%10/10

Revenue surging 55.5% year-over-year

EPS GrowthGrowth
169.8%10/10

Earnings expanding 169.8% YoY

Areas to Watch

DGX1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

LLY3 concerns · Avg: 3.0/10
P/E RatioValuation
34.3x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.603/10

Elevated debt levels

Price/BookValuation
33.3x2/10

Trading at 33.3x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : DGX

The strongest argument for DGX centers on Price/Book. PEG of 1.49 suggests the stock is reasonably priced for its growth.

Bull Case : LLY

The strongest argument for LLY centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 35.0% and operating margin at 49.4%. Revenue growth of 55.5% demonstrates continued momentum.

Bear Case : DGX

The primary concerns for DGX are Piotroski F-Score.

Bear Case : LLY

The primary concerns for LLY are P/E Ratio, Debt/Equity, Price/Book. Debt-to-equity of 1.60 is elevated, increasing financial risk.

Key Dynamics to Monitor

DGX profiles as a value stock while LLY is a growth play — different risk/reward profiles.

DGX carries more volatility with a beta of 0.65 — expect wider price swings.

LLY is growing revenue faster at 55.5% — sustainability is the question.

LLY generates stronger free cash flow (3.0B), providing more financial flexibility.

Bottom Line

LLY scores higher overall (78/100 vs 63/100), backed by strong 35.0% margins and 55.5% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Quest Diagnostics Incorporated

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

Quest Diagnostics is an American clinical laboratory. A Fortune 500 company, Quest operates in the United States, Puerto Rico, Mexico, and Brazil. Quest also maintains collaborative agreements with various hospitals and clinics across the globe.

Eli Lilly and Company

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

Eli Lilly and Company is an American pharmaceutical company headquartered in Indianapolis, Indiana, with offices in 18 countries. Its products are sold in approximately 125 countries.

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