Arcutis Biotherapeutics Inc (ARQT)vsEli Lilly and Company (LLY)
ARQT
Arcutis Biotherapeutics Inc
$21.23
-3.28%
HEALTHCARE · Cap: $3.05B
LLY
Eli Lilly and Company
$1,131.42
-2.41%
HEALTHCARE · Cap: $948.95B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 17283% more annual revenue ($72.25B vs $415.62M). LLY leads profitability with a 35.0% profit margin vs -0.6%. LLY earns a higher WallStSmart Score of 78/100 (B+).
ARQT
Avoid32
out of 100
Grade: F
LLY
Strong Buy78
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+79.8%
Fair Value
$131.70
Current Price
$21.23
$110.47 discount
Intrinsic value data unavailable for LLY.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 60.1% year-over-year
Conservative balance sheet, low leverage
Mega-cap, among the largest globally
Every $100 of equity generates 81 in profit
Keeps 35 of every $100 in revenue as profit
Strong operational efficiency at 49.4%
Revenue surging 55.5% year-over-year
Earnings expanding 169.9% YoY
Areas to Watch
Trading at 14.0x book value
0.0% earnings growth
Weak financial health signals
ROE of -1.3% — below average capital efficiency
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 32.4x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ARQT
The strongest argument for ARQT centers on Revenue Growth, Debt/Equity. Revenue growth of 60.1% 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 35.0% and operating margin at 49.4%. Revenue growth of 55.5% demonstrates continued momentum.
Bear Case : ARQT
The primary concerns for ARQT are Price/Book, EPS Growth, Piotroski F-Score.
Bear Case : LLY
The primary concerns for LLY are P/E Ratio, Debt/Equity, Price/Book.
Key Dynamics to Monitor
ARQT profiles as a hypergrowth stock while LLY is a growth play — different risk/reward profiles.
ARQT carries more volatility with a beta of 1.52 — expect wider price swings.
ARQT is growing revenue faster at 60.1% — 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 32/100), backed by strong 35.0% margins and 55.5% revenue growth. ARQT offers better value entry with a 79.8% 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.
Arcutis Biotherapeutics Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Arcutis Biotherapeutics, Inc., a biopharmaceutical company, focuses on developing and commercializing treatments for dermatological diseases. The company is headquartered in Westlake Village, California.
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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