WallStSmart

Eli Lilly and Company (LLY)vsMesoblast Ltd (MESO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 110400% more annual revenue ($72.25B vs $65.38M). LLY leads profitability with a 35.0% profit margin vs -144.3%. LLY earns a higher WallStSmart Score of 76/100 (B+).

LLY

Strong Buy

76

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 4.3Quality: 6.0
Piotroski: 6/9Altman Z: 2.06

MESO

Avoid

25

out of 100

Grade: F

Growth: 7.3Profit: 2.0Value: 6.7Quality: 6.5
Piotroski: 6/9Altman Z: -0.05
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for LLY.

MESOUndervalued (+44.1%)

Margin of Safety

+44.1%

Fair Value

$32.74

Current Price

$15.50

$17.24 discount

UndervaluedFair: $32.74Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LLY6 strengths · Avg: 10.0/10
Market CapQuality
$1.01T10/10

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

MESO2 strengths · Avg: 9.5/10
Revenue GrowthGrowth
1527.0%10/10

Revenue surging 1527.0% year-over-year

Debt/EquityHealth
0.249/10

Conservative balance sheet, low leverage

Areas to Watch

LLY4 concerns · Avg: 2.8/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Debt/EquityHealth
1.393/10

Elevated debt levels

P/E RatioValuation
40.2x2/10

Premium valuation, high expectations priced in

Price/BookValuation
31.6x2/10

Trading at 31.6x book value

MESO4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$1.80B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-18.2%2/10

ROE of -18.2% — below average capital efficiency

Free Cash FlowQuality
$-4.46M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : MESO

The strongest argument for MESO centers on Revenue Growth, Debt/Equity. Revenue growth of 1527.0% demonstrates continued momentum.

Bear Case : LLY

The primary concerns for LLY are PEG Ratio, Debt/Equity, P/E Ratio. A P/E of 40.2x leaves little room for execution misses.

Bear Case : MESO

The primary concerns for MESO are EPS Growth, Market Cap, Return on Equity.

Key Dynamics to Monitor

LLY profiles as a growth stock while MESO is a hypergrowth play — different risk/reward profiles.

MESO carries more volatility with a beta of 0.79 — expect wider price swings.

MESO is growing revenue faster at 1527.0% — sustainability is the question.

LLY generates stronger free cash flow (3.0B), providing more financial flexibility.

Bottom Line

LLY scores higher overall (76/100 vs 25/100), backed by strong 35.0% margins and 55.5% revenue growth. MESO offers better value entry with a 44.1% margin of safety. Both earn "Strong Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

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.

Visit Website →

Mesoblast Ltd

HEALTHCARE · BIOTECHNOLOGY · USA

Mesoblast Limited, a biopharmaceutical company, develops and markets allogeneic cellular drugs. The company is headquartered in Melbourne, Australia.

Want to dig deeper into these stocks?