Eli Lilly and Company (LLY)vsUnited Therapeutics Corporation (UTHR)
LLY
Eli Lilly and Company
$903.02
-0.83%
HEALTHCARE · Cap: $814.96B
UTHR
United Therapeutics Corporation
$531.82
+2.03%
HEALTHCARE · Cap: $22.98B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 1948% more annual revenue ($65.18B vs $3.18B). UTHR leads profitability with a 41.9% profit margin vs 31.7%. LLY appears more attractively valued with a PEG of 0.98. LLY earns a higher WallStSmart Score of 80/100 (A-).
LLY
Exceptional Buy80
out of 100
Grade: A-
UTHR
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+15.9%
Fair Value
$1073.59
Current Price
$903.02
$170.57 discount
Margin of Safety
+62.9%
Fair Value
$1282.02
Current Price
$531.82
$750.20 discount
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
Keeps 42 of every $100 in revenue as profit
Strong operational efficiency at 45.0%
Safe zone — low bankruptcy risk
Earnings expanding 24.5% YoY
Areas to Watch
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 30.4x book value
Expensive relative to growth rate
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 : UTHR
The strongest argument for UTHR centers on Profit Margin, Operating Margin, Altman Z-Score. Profitability is solid with margins at 41.9% and operating margin at 45.0%.
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 : UTHR
The primary concerns for UTHR are PEG Ratio.
Key Dynamics to Monitor
LLY profiles as a growth stock while UTHR is a mature play — different risk/reward profiles.
UTHR carries more volatility with a beta of 0.86 — 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. UTHR offers better value entry with a 62.9% 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.
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 →United Therapeutics Corporation
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
United Therapeutics Corporation, a biotechnology company, is dedicated to the development and commercialization of products to address the unmet medical needs of patients with chronic and life-threatening diseases in the United States and internationally. The company is headquartered in Silver Spring, Maryland.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
Want to dig deeper into these stocks?