WallStSmart

Elevance Health Inc (ELV)vsEli Lilly and Company (LLY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Elevance Health Inc generates 206% more annual revenue ($199.13B vs $65.18B). LLY leads profitability with a 31.7% profit margin vs 2.8%. LLY appears more attractively valued with a PEG of 0.98. LLY earns a higher WallStSmart Score of 80/100 (A-).

ELV

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 5.0Value: 8.7Quality: 5.0
Piotroski: 3/9

LLY

Exceptional Buy

80

out of 100

Grade: A-

Growth: 10.0Profit: 10.0Value: 6.7Quality: 6.5
Piotroski: 6/9Altman Z: 2.06
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ELVUndervalued (+75.7%)

Margin of Safety

+75.7%

Fair Value

$1179.36

Current Price

$286.39

$892.97 discount

UndervaluedFair: $1179.36Overvalued
LLYUndervalued (+18.1%)

Margin of Safety

+18.1%

Fair Value

$1072.66

Current Price

$878.24

$194.42 discount

UndervaluedFair: $1072.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ELV4 strengths · Avg: 9.3/10
P/E RatioValuation
11.4x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Market CapQuality
$63.21B9/10

Large-cap with strong market position

EPS GrowthGrowth
36.3%8/10

Earnings expanding 36.3% YoY

LLY6 strengths · Avg: 10.0/10
Market CapQuality
$786.04B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
101.2%10/10

Every $100 of equity generates 101 in profit

Profit MarginProfitability
31.7%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
44.9%10/10

Strong operational efficiency at 44.9%

Revenue GrowthGrowth
42.6%10/10

Revenue surging 42.6% year-over-year

EPS GrowthGrowth
51.4%10/10

Earnings expanding 51.4% YoY

Areas to Watch

ELV4 concerns · Avg: 2.8/10
Profit MarginProfitability
2.8%3/10

2.8% margin — thin

Operating MarginProfitability
1.5%3/10

Operating margin of 1.5%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-209.00M2/10

Negative free cash flow — burning cash

LLY3 concerns · Avg: 3.0/10
P/E RatioValuation
38.3x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.603/10

Elevated debt levels

Price/BookValuation
29.6x2/10

Trading at 29.6x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : ELV

The strongest argument for ELV centers on P/E Ratio, Price/Book, Market Cap. PEG of 1.10 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 31.7% and operating margin at 44.9%. Revenue growth of 42.6% demonstrates continued momentum.

Bear Case : ELV

The primary concerns for ELV are Profit Margin, Operating Margin, Piotroski F-Score. Thin 2.8% margins leave little buffer for downturns.

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

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

ELV carries more volatility with a beta of 0.47 — 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 (80/100 vs 67/100), backed by strong 31.7% margins and 42.6% revenue growth. ELV offers better value entry with a 75.7% margin of safety. Both earn "Exceptional Buy" and "Strong 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.

Elevance Health Inc

HEALTHCARE · HEALTHCARE PLANS · USA

Elevance Health Inc. is a health benefits company. The company is headquartered in Indianapolis, 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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