CVS Health Corp (CVS)vsEli Lilly and Company (LLY)
CVS
CVS Health Corp
$105.92
-3.13%
HEALTHCARE · Cap: $137.90B
LLY
Eli Lilly and Company
$1,210.32
-0.87%
HEALTHCARE · Cap: $1.02T
Smart Verdict
WallStSmart Research — data-driven comparison
CVS Health Corp generates 461% more annual revenue ($405.62B vs $72.25B). LLY leads profitability with a 35.0% profit margin vs 0.7%. CVS appears more attractively valued with a PEG of 0.31. LLY earns a higher WallStSmart Score of 76/100 (B+).
CVS
Buy65
out of 100
Grade: C+
LLY
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+45.0%
Fair Value
$139.93
Current Price
$105.92
$34.01 discount
Intrinsic value data unavailable for LLY.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 63.1% YoY
Large-cap with strong market position
Reasonable price relative to book value
Generating 3.4B in free cash flow
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
ROE of 3.8% — below average capital efficiency
0.7% margin — thin
Operating margin of 4.1%
Elevated debt levels
Expensive relative to growth rate
Elevated debt levels
Premium valuation, high expectations priced in
Trading at 34.7x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CVS
The strongest argument for CVS centers on PEG Ratio, EPS Growth, Market Cap. PEG of 0.31 suggests the stock is reasonably priced for its growth.
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 : CVS
The primary concerns for CVS are Return on Equity, Profit Margin, Operating Margin. A P/E of 48.5x leaves little room for execution misses. Thin 0.7% margins leave little buffer for downturns.
Bear Case : LLY
The primary concerns for LLY are PEG Ratio, Debt/Equity, P/E Ratio. A P/E of 41.8x leaves little room for execution misses.
Key Dynamics to Monitor
CVS profiles as a value stock while LLY is a growth play — different risk/reward profiles.
CVS carries more volatility with a beta of 0.60 — expect wider price swings.
LLY is growing revenue faster at 55.5% — sustainability is the question.
CVS generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
LLY scores higher overall (76/100 vs 65/100), backed by strong 35.0% margins and 55.5% revenue growth. CVS offers better value entry with a 45.0% 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.
CVS Health Corp
HEALTHCARE · HEALTHCARE PLANS · USA
CVS Health (previously CVS Corporation and CVS Caremark Corporation) is an American healthcare company that owns CVS Pharmacy, a retail pharmacy chain; CVS Caremark, a pharmacy benefits manager; Aetna, a health insurance provider, among many other brands. The company's headquarters is in Woonsocket, Rhode Island.
Visit Website →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 →Compare with Other HEALTHCARE PLANS Stocks
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