Does Eli Lilly Stock Lead the Pack?
Eli Lilly’s (LLY) stock has significantly outperformed over the past year. However, how does it truly stack up against peers like Merck (MRK) and Pfizer (PFE) in the evolving pharmaceutical landscape? While LLY boasts exceptional LTM revenue growth of 36.8% and a robust operating margin of 43.0%, its premium valuation with a PE ratio of 67.88 and a negative free cash flow margin raise questions about sustained upside compared to more established, value-focused rivals.
- LLY’s 43.0% operating margin, highest among peers, highlights efficient operations and pricing power from its innovative drug portfolio.
- LLY’s 36.8% revenue growth, outpacing peers, stems from surging demand for its GLP-1 drugs, Mounjaro and Zepbound.
- LLY’s 39.5% gain and 67.9 P/E reflect investor confidence in its GLP-1 franchise and robust pipeline, signaling strong future growth.
Here’s how Eli Lilly stacks up across size, valuation, and profitability versus key peers.
| LLY | MRK | PFE | BMY | BDX | |
|---|---|---|---|---|---|
| Market Cap ($ Bil) | 936.8 | 237.0 | 138.7 | 93.5 | 54.4 |
| Revenue ($ Bil) | 53.3 | 64.2 | 62.8 | 48.0 | 21.4 |
| PE Ratio | 67.9 | 12.4 | 14.1 | 15.5 | 34.3 |
| LTM Revenue Growth | 36.8% | 1.7% | 3.9% | 1.3% | 7.9% |
| LTM Operating Margin | 43.0% | 34.9% | 24.6% | 23.8% | 13.8% |
| LTM FCF Margin | -0.1% | 20.3% | 16.5% | 31.9% | 11.9% |
| 12M Market Return | 39.5% | 1.1% | 4.9% | -16.7% | -13.0% |
For more details on Eli Lilly, read Buy or Sell LLY Stock. Below we compare LLY’s growth, margin, and valuation with peers across years
Revenue Growth Comparison
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| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| LLY | 36.8% | 32.0% | 19.6% | 0.8% |
| MRK | 1.7% | 6.7% | 1.4% | 21.7% |
| PFE | 3.9% | 6.8% | -41.1% | 24.5% |
| BMY | 1.3% | 7.3% | -2.5% | -0.5% |
| BDX | 7.9% | 4.2% | 2.7% | -1.4% |
Operating Margin Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| LLY | 43.0% | 38.9% | 31.6% | 30.3% |
| MRK | 34.9% | 31.5% | 4.9% | 30.8% |
| PFE | 24.6% | 23.3% | 7.1% | 36.7% |
| BMY | 23.8% | 12.2% | 18.2% | 19.7% |
| BDX | 13.8% | 14.2% | 12.5% | 13.1% |
PE Ratio Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| LLY | 67.9 | 65.7 | 100.1 | 52.8 |
| MRK | 12.4 | 14.7 | 757.8 | 19.3 |
| PFE | 14.1 | 18.7 | 76.7 | 9.2 |
| BMY | 15.5 | -12.8 | 13.2 | 24.2 |
| BDX | 34.3 | 38.6 | 47.0 | 40.7 |
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