WallStSmart

HealthEquity Inc (HQY)vsEli Lilly and Company (LLY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 5303% more annual revenue ($72.25B vs $1.34B). LLY leads profitability with a 35.0% profit margin vs 17.2%. HQY appears more attractively valued with a PEG of 1.25. LLY earns a higher WallStSmart Score of 78/100 (B+).

HQY

Strong Buy

66

out of 100

Grade: B-

Growth: 8.0Profit: 7.5Value: 6.7Quality: 7.8
Piotroski: 7/9

LLY

Strong Buy

78

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 5.0Quality: 6.0
Piotroski: 6/9Altman Z: 2.06
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HQYUndervalued (+49.2%)

Margin of Safety

+49.2%

Fair Value

$151.32

Current Price

$88.67

$62.65 discount

UndervaluedFair: $151.32Overvalued

Intrinsic value data unavailable for LLY.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HQY2 strengths · Avg: 8.0/10
Operating MarginProfitability
29.3%8/10

Strong operational efficiency at 29.3%

EPS GrowthGrowth
34.4%8/10

Earnings expanding 34.4% YoY

LLY6 strengths · Avg: 10.0/10
Market CapQuality
$948.95B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
81.0%10/10

Every $100 of equity generates 81 in profit

Profit MarginProfitability
35.0%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
49.4%10/10

Strong operational efficiency at 49.4%

Revenue GrowthGrowth
55.5%10/10

Revenue surging 55.5% year-over-year

EPS GrowthGrowth
169.9%10/10

Earnings expanding 169.9% YoY

Areas to Watch

HQY1 concerns · Avg: 4.0/10
P/E RatioValuation
33.0x4/10

Premium valuation, high expectations priced in

LLY3 concerns · Avg: 3.0/10
P/E RatioValuation
37.7x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.393/10

Elevated debt levels

Price/BookValuation
32.4x2/10

Trading at 32.4x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : HQY

The strongest argument for HQY centers on Operating Margin, EPS Growth. Profitability is solid with margins at 17.2% and operating margin at 29.3%. PEG of 1.25 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 : HQY

The primary concerns for HQY are P/E Ratio.

Bear Case : LLY

The primary concerns for LLY are P/E Ratio, Debt/Equity, Price/Book.

Key Dynamics to Monitor

HQY profiles as a mature 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 66/100), backed by strong 35.0% margins and 55.5% revenue growth. HQY offers better value entry with a 49.2% margin of safety. Both earn "Strong 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.

HealthEquity Inc

HEALTHCARE · HEALTH INFORMATION SERVICES · USA

HealthEquity, Inc. provides technology-enabled service platforms to consumers and employers in the United States. The company is headquartered in Draper, Utah.

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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