WallStSmart

Eli Lilly and Company (LLY)vsKoninklijke Philips NV ADR (PHG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 310% more annual revenue ($72.25B vs $17.64B). LLY leads profitability with a 35.0% profit margin vs 5.5%. PHG appears more attractively valued with a PEG of 0.87. 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: 6.0
Piotroski: 6/9Altman Z: 2.06

PHG

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 5.5Value: 5.3Quality: 5.5
Piotroski: 5/9Altman Z: 1.55
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for LLY.

PHGSignificantly Overvalued (-55.6%)

Margin of Safety

-55.6%

Fair Value

$20.61

Current Price

$26.11

$5.50 premium

UndervaluedFair: $20.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

PHG3 strengths · Avg: 8.7/10
EPS GrowthGrowth
97.2%10/10

Earnings expanding 97.2% YoY

PEG RatioValuation
0.878/10

Growing faster than its price suggests

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Areas to Watch

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

PHG3 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.554/10

Distress zone — elevated risk

Profit MarginProfitability
5.5%3/10

5.5% margin — thin

Revenue GrowthGrowth
-4.7%2/10

Revenue declined 4.7%

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 : PHG

The strongest argument for PHG centers on EPS Growth, PEG Ratio, Price/Book. PEG of 0.87 suggests the stock is reasonably priced for its growth.

Bear Case : LLY

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

Bear Case : PHG

The primary concerns for PHG are Altman Z-Score, Profit Margin, Revenue Growth.

Key Dynamics to Monitor

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

PHG carries more volatility with a beta of 0.93 — 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 57/100), backed by strong 35.0% margins and 55.5% revenue growth. Both earn "Strong Buy" and "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.

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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Koninklijke Philips NV ADR

HEALTHCARE · MEDICAL DEVICES · USA

Koninklijke Philips NV is a healthcare technology company in North America, Greater China and internationally. The company is headquartered in Amsterdam, the Netherlands.

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