WallStSmart

AstraZeneca PLC (AZN)vsEli Lilly and Company (LLY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 11% more annual revenue ($65.18B vs $58.74B). LLY leads profitability with a 31.7% profit margin vs 17.4%. LLY appears more attractively valued with a PEG of 1.06. LLY earns a higher WallStSmart Score of 78/100 (B+).

AZN

Buy

64

out of 100

Grade: C+

Growth: 6.7Profit: 8.0Value: 10.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

LLY

Strong Buy

78

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 8.7Quality: 8.0
Piotroski: 6/9Altman Z: 2.06
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AZNUndervalued (+32.8%)

Margin of Safety

+32.8%

Fair Value

$306.07

Current Price

$188.93

$117.14 discount

UndervaluedFair: $306.07Overvalued
LLYUndervalued (+14.6%)

Margin of Safety

+14.6%

Fair Value

$1074.06

Current Price

$918.05

$156.01 discount

UndervaluedFair: $1074.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AZN5 strengths · Avg: 9.0/10
Market CapQuality
$296.55B10/10

Mega-cap, among the largest globally

EPS GrowthGrowth
53.9%10/10

Earnings expanding 53.9% YoY

Return on EquityProfitability
22.8%9/10

Every $100 of equity generates 23 in profit

Operating MarginProfitability
21.6%8/10

Strong operational efficiency at 21.6%

Free Cash FlowQuality
$1.38B8/10

Generating 1.4B in free cash flow

LLY6 strengths · Avg: 10.0/10
Market CapQuality
$885.28B10/10

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

AZN4 concerns · Avg: 3.5/10
PEG RatioValuation
1.564/10

Expensive relative to growth rate

P/E RatioValuation
29.3x4/10

Moderate valuation

Revenue GrowthGrowth
4.1%4/10

4.1% revenue growth

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

LLY3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.603/10

Elevated debt levels

P/E RatioValuation
43.1x2/10

Premium valuation, high expectations priced in

Price/BookValuation
31.0x2/10

Trading at 31.0x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : AZN

The strongest argument for AZN centers on Market Cap, EPS Growth, Return on Equity. Profitability is solid with margins at 17.4% and operating margin at 21.6%.

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 : AZN

The primary concerns for AZN are PEG Ratio, P/E Ratio, Revenue Growth.

Bear Case : LLY

The primary concerns for LLY are Debt/Equity, P/E Ratio, Price/Book. A P/E of 43.1x leaves little room for execution misses. Debt-to-equity of 1.60 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

LLY carries more volatility with a beta of 0.43 — expect wider price swings.

LLY is growing revenue faster at 42.6% — sustainability is the question.

AZN generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

LLY scores higher overall (78/100 vs 64/100), backed by strong 31.7% margins and 42.6% revenue growth. AZN offers better value entry with a 32.8% margin of safety. 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.

AstraZeneca PLC

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

AstraZeneca PLC discovers, develops, manufactures and markets prescription drugs in the areas of oncology, cardiovascular, renal and metabolism, respiratory, infections, neuroscience and gastroenterology worldwide. The company is headquartered in Cambridge, the United Kingdom.

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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