WallStSmart

Eli Lilly and Company (LLY)vsPenumbra Inc (PEN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 5194% more annual revenue ($79.67B vs $1.50B). LLY leads profitability with a 33.5% profit margin vs 10.7%. LLY appears more attractively valued with a PEG of 1.11. LLY earns a higher WallStSmart Score of 76/100 (B+).

LLY

Strong Buy

76

out of 100

Grade: B+

Growth: 9.3Profit: 10.0Value: 5.0Quality: 6.0
Piotroski: 6/9Altman Z: 2.16

PEN

Hold

42

out of 100

Grade: D

Growth: 5.3Profit: 6.0Value: 2.7Quality: 9.0
Piotroski: 4/9Altman Z: 4.15
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for LLY.

PENOvervalued (-8.9%)

Margin of Safety

-8.9%

Fair Value

$310.61

Current Price

$318.78

$8.17 premium

UndervaluedFair: $310.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LLY6 strengths · Avg: 9.7/10
Market CapQuality
$994.92B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
78.8%10/10

Every $100 of equity generates 79 in profit

Profit MarginProfitability
33.5%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
54.2%10/10

Strong operational efficiency at 54.2%

Revenue GrowthGrowth
47.7%10/10

Revenue surging 47.7% year-over-year

EPS GrowthGrowth
26.2%8/10

Earnings expanding 26.2% YoY

PEN2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
4.1510/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.149/10

Conservative balance sheet, low leverage

Areas to Watch

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

Premium valuation, high expectations priced in

Debt/EquityHealth
1.623/10

Elevated debt levels

Price/BookValuation
30.8x2/10

Trading at 30.8x book value

PEN4 concerns · Avg: 2.5/10
Price/BookValuation
8.2x4/10

Trading at 8.2x book value

PEG RatioValuation
3.582/10

Expensive relative to growth rate

P/E RatioValuation
78.0x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-23.5%2/10

Earnings declined 23.5%

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 33.5% and operating margin at 54.2%. Revenue growth of 47.7% demonstrates continued momentum.

Bull Case : PEN

The strongest argument for PEN centers on Altman Z-Score, Debt/Equity. Revenue growth of 14.9% demonstrates continued momentum.

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.

Bear Case : PEN

The primary concerns for PEN are Price/Book, PEG Ratio, P/E Ratio. A P/E of 78.0x leaves little room for execution misses.

Key Dynamics to Monitor

LLY profiles as a growth stock while PEN is a value play — different risk/reward profiles.

PEN carries more volatility with a beta of 0.70 — 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 42/100), backed by strong 33.5% margins and 47.7% revenue growth. Both earn "Strong Buy" and "Hold" 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.

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Penumbra Inc

HEALTHCARE · MEDICAL DEVICES · USA

Penumbra, Inc. designs, develops, manufactures, and markets medical devices in the United States, Europe, Canada, Australia, and internationally. The company is headquartered in Alameda, California.

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