Can Eli Lilly Outrun Elanco Animal Health in the Next Rally?

ELAN: Elanco Animal Health logo
ELAN
Elanco Animal Health

Elanco Animal Health surged 10% during the past Week. You may be tempted to buy more, or may want to reduce your exposure. But there is an entirely different perspective you might be missing. Is there a better alternative? Turns out, its peer Eli Lilly gives you more. Eli Lilly (LLY) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Elanco Animal Health (ELAN) stock, suggesting you may be better off investing in LLY

  • LLY’s quarterly revenue growth was 37.6%, vs. ELAN’s 10.4%.
  • In addition, its Last 12 Months revenue growth came in at 36.8%, ahead of ELAN’s 3.1%.
  • LLY leads on profitability over both periods – LTM margin of 43.0% and 3-year average of 35.6%.

These differences become even clearer when you look at the financials side by side. The table highlights how ELAN’s fundamentals stack up against those of LLY on growth, margins, momentum, and valuation multiples.

Valuation & Performance Overview

  ELAN LLY Preferred
     
Valuation      
P/EBIT Ratio 46.4 41.4 LLY
     
Revenue Growth      
Last Quarter 10.4% 37.6% LLY
Last 12 Months 3.1% 36.8% LLY
Last 3 Year Average 0.4% 23.4% LLY
     
Operating Margins      
Last 12 Months 5.2% 43.0% LLY
Last 3 Year Average 6.2% 35.6% LLY
     
Momentum      
Last 3 Year Return 87.1% 200.0% LLY

Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: ELAN Revenue Comparison | LLY Revenue Comparison
See more margin details: ELAN Operating Income Comparison | LLY Operating Income Comparison

Relevant Articles
  1. Is CAVA Stock’s Recent Rally Sustainable?
  2. Why Isn’t Chevron Stock Moving in 2025?
  3. What’s Next With Affirm Stock?
  4. What’s Behind Tilray’s 3.5X Surge?
  5. This Strategy Pays You 8.7% While Lining Up MPWR at Bargain Prices
  6. What Could Light a Fire Under Microsoft Stock

See detailed fundamentals on Buy or Sell LLY Stock and Buy or Sell ELAN Stock. Below we compare market return and related metrics across years.

Historical Market Performance

  2020 2021 2022 2023 2024 2025 Total [1] Avg Best
Returns
ELAN Return 4% -7% -57% 22% -19% 79% -26%    
LLY Return 31% 66% 34% 61% 33% 39% 769%   <===
S&P 500 Return 16% 27% -19% 24% 23% 16% 110%  
Monthly Win Rates [3]
ELAN Win Rate 58% 42% 25% 58% 42% 50%   46%  
LLY Win Rate 50% 58% 75% 58% 58% 58%   60%  
S&P 500 Win Rate 58% 75% 42% 67% 75% 73%   65% <===
Max Drawdowns [4]
ELAN Max Drawdown -43% -10% -60% -34% -22% -33%   -34%  
LLY Max Drawdown -9% -3% -15% -15% 0% -19%   -10% <===
S&P 500 Max Drawdown -31% -1% -25% -1% -2% -15%   -12%  

[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 12/16/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year

No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read ELAN Dip Buyer Analyses to see how the stock has fallen and recovered in the past.

Still not sure about ELAN or LLY? Consider portfolio approach.

The Right Way To Invest Is Through Portfolios

Individual stocks are unpredictable. A smart portfolio keeps you invested, limits downside shocks, and provides upside exposure

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.