WallStSmart

Eli Lilly and Company (LLY)vsMesoblast Ltd (MESO)

VS
⚡

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 71802% more annual revenue ($86.46B vs $120.25M). LLY leads profitability with a 31.9% profit margin vs -47.8%. LLY earns a higher WallStSmart Score of 74/100 (B).

LLY

Strong Buy

74

out of 100

Grade: B

Growth: 9.3Profit: 10.0Value: 5.0Quality: 6.0
Piotroski: 6/9Altman Z: 2.16

MESO

Avoid

25

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 6.7Quality: 6.5
Piotroski: 5/9Altman Z: -0.15
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for LLY.

MESOUndervalued (+67.9%)

Margin of Safety

+67.9%

Fair Value

$57.02

Current Price

$13.10

$43.92 discount

UndervaluedFair: $57.02Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LLY6 strengths · Avg: 9.7/10
Market CapQuality
$1.26T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
68.5%10/10

Every $100 of equity generates 68 in profit

Profit MarginProfitability
31.9%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
53.7%10/10

Strong operational efficiency at 53.7%

Revenue GrowthGrowth
38.6%10/10

Revenue surging 38.6% year-over-year

Free Cash FlowQuality
$8.22B8/10

Generating 8.2B in free cash flow

MESO3 strengths · Avg: 9.0/10
Revenue GrowthGrowth
390.7%10/10

Revenue surging 390.7% year-over-year

Debt/EquityHealth
0.229/10

Conservative balance sheet, low leverage

Price/BookValuation
3.0x8/10

Reasonable price relative to book value

Areas to Watch

LLY3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.233/10

Elevated debt levels

P/E RatioValuation
46.0x2/10

Premium valuation, high expectations priced in

Price/BookValuation
31.6x2/10

Trading at 31.6x book value

MESO4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$1.82B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-18.2%2/10

ROE of -18.2% — below average capital efficiency

Free Cash FlowQuality
$-2.46M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : LLY

The strongest argument for LLY centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 31.9% and operating margin at 53.7%. Revenue growth of 38.6% demonstrates continued momentum.

Bull Case : MESO

The strongest argument for MESO centers on Revenue Growth, Debt/Equity, Price/Book. Revenue growth of 390.7% demonstrates continued momentum.

Bear Case : LLY

The primary concerns for LLY are Debt/Equity, P/E Ratio, Price/Book. A P/E of 46.0x leaves little room for execution misses.

Bear Case : MESO

The primary concerns for MESO are EPS Growth, Market Cap, Return on Equity.

Key Dynamics to Monitor

LLY profiles as a growth stock while MESO is a hypergrowth play — different risk/reward profiles.

MESO carries more volatility with a beta of 0.91 — expect wider price swings.

MESO is growing revenue faster at 390.7% — sustainability is the question.

LLY generates stronger free cash flow (8.2B), providing more financial flexibility.

Bottom Line

LLY scores higher overall (74/100 vs 25/100), backed by strong 31.9% margins and 38.6% revenue growth. MESO offers better value entry with a 67.9% margin of safety. Both earn "Strong Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

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.

Visit Website →

Mesoblast Ltd

HEALTHCARE · BIOTECHNOLOGY · USA

Mesoblast Limited, a biopharmaceutical company, develops and markets allogeneic cellular drugs. The company is headquartered in Melbourne, Australia.

Want to dig deeper into these stocks?