Gilead Sciences Inc (GILD)vsEli Lilly and Company (LLY)
GILD
Gilead Sciences Inc
$143.72
-0.75%
HEALTHCARE · Cap: $179.56B
LLY
Eli Lilly and Company
$1,115.70
-0.65%
HEALTHCARE · Cap: $994.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 162% more annual revenue ($79.67B vs $30.46B). LLY leads profitability with a 33.5% profit margin vs -10.6%. LLY appears more attractively valued with a PEG of 1.11. LLY earns a higher WallStSmart Score of 76/100 (B+).
GILD
Buy54
out of 100
Grade: C-
LLY
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+35.7%
Fair Value
$223.50
Current Price
$143.72
$79.78 discount
Intrinsic value data unavailable for LLY.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 33.7%
Earnings expanding 54.8% YoY
Large-cap with strong market position
Generating 3.5B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 79 in profit
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 54.2%
Revenue surging 47.7% year-over-year
Earnings expanding 26.2% YoY
Areas to Watch
Expensive relative to growth rate
Trading at 15.1x book value
Grey zone — moderate risk
ROE of -27.4% — below average capital efficiency
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 29.4x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : GILD
The strongest argument for GILD centers on Operating Margin, EPS Growth, Market Cap. Revenue growth of 10.2% 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 33.5% and operating margin at 54.2%. Revenue growth of 47.7% demonstrates continued momentum.
Bear Case : GILD
The primary concerns for GILD are PEG Ratio, Price/Book, Altman Z-Score. Debt-to-equity of 2.22 is elevated, increasing financial risk.
Bear Case : LLY
The primary concerns for LLY are P/E Ratio, Debt/Equity, Price/Book. Debt-to-equity of 1.62 is elevated, increasing financial risk.
Key Dynamics to Monitor
GILD profiles as a turnaround stock while LLY is a growth play — different risk/reward profiles.
LLY carries more volatility with a beta of 0.50 — expect wider price swings.
LLY is growing revenue faster at 47.7% — sustainability is the question.
LLY generates stronger free cash flow (7.8B), providing more financial flexibility.
Bottom Line
LLY scores higher overall (76/100 vs 54/100), backed by strong 33.5% margins and 47.7% revenue growth. GILD offers better value entry with a 35.7% 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.
Gilead Sciences Inc
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Gilead Sciences, Inc. is an American biopharmaceutical company headquartered in Foster City, California, that focuses on researching and developing antiviral drugs used in the treatment of HIV, hepatitis B, hepatitis C, and influenza, including Harvoni and Sovaldi.
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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