GlaxoSmithKline PLC ADR (GSK)vsEli Lilly and Company (LLY)
GSK
GlaxoSmithKline PLC ADR
$51.84
-1.01%
HEALTHCARE · Cap: $104.38B
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 100% more annual revenue ($65.18B vs $32.67B). LLY leads profitability with a 31.7% profit margin vs 17.5%. GSK appears more attractively valued with a PEG of 0.50. LLY earns a higher WallStSmart Score of 80/100 (A-).
GSK
Strong Buy70
out of 100
Grade: B
LLY
Exceptional Buy80
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+66.2%
Fair Value
$173.16
Current Price
$51.84
$121.32 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 43 in profit
Earnings expanding 54.7% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Generating 1.5B in free cash flow
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
Trading at 9.5x book value
Elevated debt levels
Distress zone — elevated risk
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 30.6x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : GSK
The strongest argument for GSK centers on PEG Ratio, Return on Equity, EPS Growth. Profitability is solid with margins at 17.5% and operating margin at 18.9%. PEG of 0.50 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 : GSK
The primary concerns for GSK are Price/Book, Debt/Equity, Altman Z-Score.
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
GSK profiles as a mature 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.
GSK generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
LLY scores higher overall (80/100 vs 70/100), backed by strong 31.7% margins and 42.6% revenue growth. GSK offers better value entry with a 66.2% 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.
GlaxoSmithKline PLC ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
GlaxoSmithKline plc is dedicated to the creation, discovery, development, manufacture and marketing of pharmaceuticals, vaccines, over-the-counter drugs and health-related consumer products in the UK, US and internationally. The company is headquartered in Brentford, 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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