Eli Lilly and Company (LLY)vsR1 RCM Inc (RCM)
LLY
Eli Lilly and Company
$1,131.42
-2.41%
HEALTHCARE · Cap: $948.95B
RCM
R1 RCM Inc
$14.31
0.00%
HEALTHCARE · Cap: $6.04B
Smart Verdict
WallStSmart Research — data-driven comparison
Eli Lilly and Company generates 2833% more annual revenue ($72.25B vs $2.46B). LLY leads profitability with a 35.0% profit margin vs -2.5%. LLY appears more attractively valued with a PEG of 1.45. LLY earns a higher WallStSmart Score of 78/100 (B+).
LLY
Strong Buy78
out of 100
Grade: B+
RCM
Hold39
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for LLY.
Margin of Safety
+27.7%
Fair Value
$19.79
Current Price
$14.31
$5.48 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 81 in profit
Keeps 35 of every $100 in revenue as profit
Strong operational efficiency at 49.4%
Revenue surging 55.5% year-over-year
Earnings expanding 169.9% YoY
Reasonable price relative to book value
Areas to Watch
Premium valuation, high expectations priced in
Elevated debt levels
Trading at 32.4x book value
Expensive relative to growth rate
Operating margin of 3.8%
ROE of -2.2% — below average capital efficiency
Earnings declined 99.3%
Comparative Analysis Report
WallStSmart ResearchBull 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 : RCM
The strongest argument for RCM centers on Price/Book. Revenue growth of 14.7% demonstrates continued momentum.
Bear Case : LLY
The primary concerns for LLY are P/E Ratio, Debt/Equity, Price/Book.
Bear Case : RCM
The primary concerns for RCM are PEG Ratio, Operating Margin, Return on Equity.
Key Dynamics to Monitor
LLY profiles as a growth stock while RCM is a turnaround play — different risk/reward profiles.
RCM carries more volatility with a beta of 0.84 — 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 39/100), backed by strong 35.0% margins and 55.5% revenue growth. RCM offers better value entry with a 27.7% margin of safety. 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.
Visit Website →R1 RCM Inc
HEALTHCARE · HEALTH INFORMATION SERVICES · USA
R1 RCM Inc (RCM) is a leading provider of technology-driven revenue cycle management solutions that significantly enhance the financial performance of healthcare organizations across the United States. By leveraging advanced analytics and deep industry expertise, R1 RCM offers comprehensive services that optimize billing processes and improve operational efficiency for hospitals and outpatient facilities alike. The company’s innovative approach not only enhances revenue capture but also elevates patient experiences, establishing R1 RCM as a critical player in the evolving healthcare sector. With a strong emphasis on expanding its service offerings and increasing market share, R1 RCM is strategically positioned to capitalize on the growing demand for sophisticated revenue cycle management services.
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