Elanco Animal Health (ELAN)vsEli Lilly and Company (LLY)
ELAN
Elanco Animal Health
$21.80
-1.58%
HEALTHCARE · Cap: $10.89B
LLY
Eli Lilly and Company
$934.60
+9.80%
HEALTHCARE · Cap: $760.43B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 1282% more annual revenue ($65.18B vs $4.71B). LLY leads profitability with a 31.7% profit margin vs -4.9%. LLY appears more attractively valued with a PEG of 1.29. LLY earns a higher WallStSmart Score of 78/100 (B+).
ELAN
Buy51
out of 100
Grade: C-
LLY
Strong Buy78
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+17.2%
Fair Value
$31.06
Current Price
$21.80
$9.26 discount
Intrinsic value data unavailable for LLY.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 116.7% YoY
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 101 in profit
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 44.9%
Revenue surging 42.6% year-over-year
Earnings expanding 51.4% YoY
Areas to Watch
Operating margin of 2.3%
Expensive relative to growth rate
ROE of -3.7% — below average capital efficiency
Distress zone — elevated risk
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 31.5x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ELAN
The strongest argument for ELAN centers on EPS Growth, Price/Book. Revenue growth of 12.2% demonstrates continued momentum.
Bull Case : LLY
The strongest argument for LLY centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 31.7% and operating margin at 44.9%. Revenue growth of 42.6% demonstrates continued momentum.
Bear Case : ELAN
The primary concerns for ELAN are Operating Margin, PEG Ratio, Return on Equity.
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
ELAN profiles as a turnaround stock while LLY is a growth play — different risk/reward profiles.
ELAN carries more volatility with a beta of 1.88 — expect wider price swings.
LLY is growing revenue faster at 42.6% — sustainability is the question.
LLY generates stronger free cash flow (678M), providing more financial flexibility.
Bottom Line
LLY scores higher overall (78/100 vs 51/100), backed by strong 31.7% margins and 42.6% revenue growth. ELAN offers better value entry with a 17.2% margin of safety. 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.
Elanco Animal Health
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Elanco Animal Health Incorporated, an animal health company, innovates, develops, manufactures and markets products for pets and farm animals. The company is headquartered in Greenfield, Indiana.
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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