WallStSmart

Eli Lilly and Company (LLY)vsSotera Health Co (SHC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eli Lilly and Company generates 5976% more annual revenue ($72.25B vs $1.19B). LLY leads profitability with a 35.0% profit margin vs 9.9%. LLY appears more attractively valued with a PEG of 1.52. LLY earns a higher WallStSmart Score of 76/100 (B+).

LLY

Strong Buy

76

out of 100

Grade: B+

Growth: 10.0Profit: 10.0Value: 4.3Quality: 6.0
Piotroski: 6/9Altman Z: 2.06

SHC

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 4.3Quality: 4.5
Piotroski: 4/9Altman Z: 0.71

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LLY6 strengths · Avg: 10.0/10
Market CapQuality
$1.01T10/10

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

SHC2 strengths · Avg: 10.0/10
Operating MarginProfitability
31.3%10/10

Strong operational efficiency at 31.3%

EPS GrowthGrowth
175.4%10/10

Earnings expanding 175.4% YoY

Areas to Watch

LLY4 concerns · Avg: 2.8/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Debt/EquityHealth
1.393/10

Elevated debt levels

P/E RatioValuation
40.2x2/10

Premium valuation, high expectations priced in

Price/BookValuation
31.6x2/10

Trading at 31.6x book value

SHC4 concerns · Avg: 3.0/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

P/E RatioValuation
39.5x4/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-16.73M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.712/10

Distress zone — elevated risk

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 : SHC

The strongest argument for SHC centers on Operating Margin, EPS Growth.

Bear Case : LLY

The primary concerns for LLY are PEG Ratio, Debt/Equity, P/E Ratio. A P/E of 40.2x leaves little room for execution misses.

Bear Case : SHC

The primary concerns for SHC are PEG Ratio, P/E Ratio, Free Cash Flow. Debt-to-equity of 3.65 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

SHC carries more volatility with a beta of 1.80 — 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 (76/100 vs 68/100), backed by strong 35.0% margins and 55.5% revenue growth. Both earn "Strong Buy" and "Strong 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.

Visit Website →

Sotera Health Co

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

Sotera Health Company provides sterilization, laboratory testing, and advisory services to the medical device, pharmaceutical, and food industries in the Americas, Europe, and Asia. The company is headquartered in Broadview Heights, Ohio.

Want to dig deeper into these stocks?