Diamondback Energy Inc (FANG)vsEli Lilly and Company (LLY)
FANG
Diamondback Energy Inc
$188.70
-0.92%
ENERGY · Cap: $53.58B
LLY
Eli Lilly and Company
$948.45
-2.72%
HEALTHCARE · Cap: $869.41B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 399% more annual revenue ($72.25B vs $14.47B). LLY leads profitability with a 35.0% profit margin vs 2.0%. LLY appears more attractively valued with a PEG of 1.40. LLY earns a higher WallStSmart Score of 78/100 (B+).
FANG
Hold41
out of 100
Grade: D
LLY
Strong Buy78
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+44.7%
Fair Value
$305.77
Current Price
$188.70
$117.07 discount
Intrinsic value data unavailable for LLY.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Large-cap with strong market position
Mega-cap, among the largest globally
Every $100 of equity generates 108 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 0.5% — below average capital efficiency
2.0% margin — thin
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 27.2x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : FANG
The strongest argument for FANG centers on Price/Book, Market Cap.
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 : FANG
The primary concerns for FANG are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 196.3x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.
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.
Key Dynamics to Monitor
FANG profiles as a value stock while LLY is a growth play — different risk/reward profiles.
LLY carries more volatility with a beta of 0.48 — expect wider price swings.
LLY is growing revenue faster at 55.5% — 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 41/100), backed by strong 35.0% margins and 55.5% revenue growth. FANG offers better value entry with a 44.7% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Diamondback Energy Inc
ENERGY · OIL & GAS E&P · USA
Diamondback Energy is a company engaged in hydrocarbon exploration and headquartered in Midland, Texas.
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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