WallStSmart

Eli Lilly and Company (LLY)vsRedhill Biopharma Ltd (RDHL)

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Smart Verdict

WallStSmart Research — data-driven comparison

LLY leads profitability with a 33.5% profit margin vs 0.0%. 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

RDHL

Avoid

34

out of 100

Grade: F

Growth: 5.3Profit: 3.0Value: 5.0Quality: 4.5
Piotroski: 3/9Altman Z: -24.37

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LLY6 strengths · Avg: 9.7/10
Market CapQuality
$1.12T10/10

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

RDHL3 strengths · Avg: 9.7/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
58.6%10/10

Revenue surging 58.6% year-over-year

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

Areas to Watch

LLY3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.623/10

Elevated debt levels

P/E RatioValuation
42.2x2/10

Premium valuation, high expectations priced in

Price/BookValuation
33.9x2/10

Trading at 33.9x book value

RDHL4 concerns · Avg: 3.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$3.75M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Operating MarginProfitability
0.0%3/10

Operating margin of 0.0%

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 : RDHL

The strongest argument for RDHL centers on Price/Book, Revenue Growth, Debt/Equity. Revenue growth of 58.6% demonstrates continued momentum.

Bear Case : LLY

The primary concerns for LLY are Debt/Equity, P/E Ratio, Price/Book. A P/E of 42.2x leaves little room for execution misses. Debt-to-equity of 1.62 is elevated, increasing financial risk.

Bear Case : RDHL

The primary concerns for RDHL are EPS Growth, Market Cap, Profit Margin.

Key Dynamics to Monitor

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

RDHL carries more volatility with a beta of 4.90 — expect wider price swings.

RDHL is growing revenue faster at 58.6% — 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 34/100), backed by strong 33.5% margins and 47.7% revenue growth. 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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Redhill Biopharma Ltd

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

RedHill Biopharma Ltd., a specialty biopharmaceutical company, primarily focused on gastrointestinal and infectious diseases. The company is headquartered in Tel Aviv, Israel.

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