Eli Lilly and Company (LLY)vsNovartis AG ADR (NVS)
LLY
Eli Lilly and Company
$963.33
+3.07%
HEALTHCARE · Cap: $760.43B
NVS
Novartis AG ADR
$146.57
-0.87%
HEALTHCARE · Cap: $282.11B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 15% more annual revenue ($65.18B vs $56.58B). LLY leads profitability with a 31.7% profit margin vs 23.9%. LLY appears more attractively valued with a PEG of 1.29. LLY earns a higher WallStSmart Score of 78/100 (B+).
LLY
Strong Buy78
out of 100
Grade: B+
NVS
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for LLY.
Margin of Safety
-52.2%
Fair Value
$109.78
Current Price
$146.57
$36.79 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Strong operational efficiency at 30.5%
Keeps 24 of every $100 in revenue as profit
Generating 2.9B in free cash flow
Areas to Watch
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 32.5x book value
Expensive relative to growth rate
Grey zone — moderate risk
Revenue declined 0.7%
Earnings declined 9.3%
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : NVS
The strongest argument for NVS centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 23.9% and operating margin at 30.5%.
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.
Bear Case : NVS
The primary concerns for NVS are PEG Ratio, Altman Z-Score, Revenue Growth.
Key Dynamics to Monitor
LLY profiles as a growth stock while NVS is a declining play — different risk/reward profiles.
NVS carries more volatility with a beta of 0.52 — expect wider price swings.
LLY is growing revenue faster at 42.6% — 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 51/100), backed by strong 31.7% margins and 42.6% 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.
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 →Novartis AG ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Novartis AG researches, develops, manufactures and markets medical devices worldwide. The company is headquartered in Basel, Switzerland.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
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