Gilead Sciences Inc (GILD)vsEli Lilly and Company (LLY)
GILD
Gilead Sciences Inc
$137.21
-2.76%
HEALTHCARE · Cap: $170.34B
LLY
Eli Lilly and Company
$906.70
-1.18%
HEALTHCARE · Cap: $811.51B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 121% more annual revenue ($65.18B vs $29.44B). LLY leads profitability with a 31.7% profit margin vs 28.9%. GILD appears more attractively valued with a PEG of 0.38. LLY earns a higher WallStSmart Score of 80/100 (A-).
GILD
Strong Buy72
out of 100
Grade: B
LLY
Exceptional Buy80
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+54.3%
Fair Value
$299.95
Current Price
$137.21
$162.74 discount
Margin of Safety
+15.6%
Fair Value
$1073.59
Current Price
$906.70
$166.89 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Every $100 of equity generates 41 in profit
Strong operational efficiency at 37.4%
Large-cap with strong market position
Keeps 29 of every $100 in revenue as profit
Earnings expanding 23.4% YoY
Mega-cap, among the largest globally
Every $100 of equity generates 101 in profit
Keeps 32 of every $100 in revenue as profit
Strong operational efficiency at 44.9%
Revenue surging 42.6% year-over-year
Earnings expanding 51.4% YoY
Areas to Watch
4.7% revenue growth
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 30.6x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : GILD
The strongest argument for GILD centers on PEG Ratio, Return on Equity, Operating Margin. Profitability is solid with margins at 28.9% and operating margin at 37.4%. PEG of 0.38 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 31.7% and operating margin at 44.9%. Revenue growth of 42.6% demonstrates continued momentum.
Bear Case : GILD
The primary concerns for GILD are Revenue Growth.
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
GILD 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.
GILD generates stronger free cash flow (3.1B), providing more financial flexibility.
Bottom Line
LLY scores higher overall (80/100 vs 72/100), backed by strong 31.7% margins and 42.6% revenue growth. GILD offers better value entry with a 54.3% margin of safety. Both earn "Exceptional Buy" and "Strong 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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