WallStSmart

Eli Lilly and Company (LLY)vsPharming Group NV (PHAR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 19454% more annual revenue ($72.25B vs $369.49M). LLY leads profitability with a 35.0% profit margin vs 3.3%. LLY trades at a lower P/E of 34.7x. LLY earns a higher WallStSmart Score of 78/100 (B+).

LLY

Strong Buy

78

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 5.0Quality: 6.5
Piotroski: 6/9Altman Z: 2.06

PHAR

Avoid

33

out of 100

Grade: F

Growth: 7.3Profit: 4.0Value: 5.0Quality: 6.3
Piotroski: 4/9Altman Z: 1.49
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for LLY.

PHARUndervalued (+15.4%)

Margin of Safety

+15.4%

Fair Value

$18.40

Current Price

$12.98

$5.42 discount

UndervaluedFair: $18.40Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LLY6 strengths · Avg: 10.0/10
Market CapQuality
$869.41B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
107.5%10/10

Every $100 of equity generates 108 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

PHAR1 strengths · Avg: 10.0/10
EPS GrowthGrowth
104.2%10/10

Earnings expanding 104.2% YoY

Areas to Watch

LLY3 concerns · Avg: 3.0/10
P/E RatioValuation
34.7x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.603/10

Elevated debt levels

Price/BookValuation
27.2x2/10

Trading at 27.2x book value

PHAR4 concerns · Avg: 2.8/10
Market CapQuality
$847.50M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.0%3/10

ROE of 5.0% — below average capital efficiency

Profit MarginProfitability
3.3%3/10

3.3% margin — thin

P/E RatioValuation
300.0x2/10

Premium valuation, high expectations priced in

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 : PHAR

The strongest argument for PHAR centers on EPS 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.

Bear Case : PHAR

The primary concerns for PHAR are Market Cap, Return on Equity, Profit Margin. A P/E of 300.0x leaves little room for execution misses. Thin 3.3% margins leave little buffer for downturns.

Key Dynamics to Monitor

LLY profiles as a growth stock while PHAR is a value 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 33/100), backed by strong 35.0% margins and 55.5% revenue growth. PHAR offers better value entry with a 15.4% 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.

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Pharming Group NV

HEALTHCARE · BIOTECHNOLOGY · USA

Pharming Group NV, a specialty pharmaceutical company, develops products for the treatment of rare diseases and unmet medical needs in the United States, Europe, and internationally. The company is headquartered in Leiden, the Netherlands.

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