COMPARE · Reviewed July 29, 2026
LLY vs ZTS
Verdict: Side-by-side breakdown using the Bull Rankings model. LLY scored 72.0, ZTS scored 78.0 — ZTS leads.
Compare another set
LLY
Eli Lilly and Co
72
$1,160.50 · $1.1T
Score gap
6.0
ZTS leads
ZTS
Zoetis Inc.
78
$76.05
fundamentals as of
Fundamentals, head-to-head
LLY
ZTS
$11.8bA-
FCF
$2.2bB
+47.4%A
Rev
+2.6%C
1.60C
D/E
2.86D
43.8xC
P/E
12.5xA
0.92B+
PEG
1.84C+
Winner per row is the stronger grade in our model; a tie or a missing value shows no highlight.
Valuation · DCF cross-check
LLY
ZTS
141% above
Price vs fair valuelower is cheaper
—
~36%/yr
Growth the price implies10-yr FCF · lower = less priced in
—
-69%
1-yr DCF upside
—
-58%
5-yr DCF upside
—
-36%
10-yr DCF upside
—
The DCF is a cross-check on intrinsic value, separate from the quality-growth score above.
Model signals
LLY
Why this score
- Raising its dividend
- Short track record
ZTS
No notable signals flagged.
The companies
LLYEli Lilly and Co
Why now
Pharmaceuticals · market cap $1.1T. 7% off the 52-week high of $1249.45. Revenue growing +47% — in hypergrowth territory. PEG 0.92 — paying under fair value for the growth rate.
Moat
Net margin 35% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. ROE 101% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. $1.1T market cap places it among the largest companies in the sector — distribution, R&D, and customer-acquisition costs amortize across a base peers can't replicate.
Risk
Trailing P/E 44x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates. P/S 15.3x embeds aggressive forward growth — disappointing top-line guidance would compress the multiple hard. Trial-readout binary — late-stage clinical trials carry approve/reject outcomes that swing valuation 30%+; the equity is effectively a portfolio of these binary events, not a steady cash-flow business.
ZTSZoetis Inc.
Why now
Drug Manufacturers - Specialty & Generic · market cap n/a. Down 53% from 52-week high of $160.48 — deep drawdown territory. 17 sell-side analysts rate this a Buy with a mean 1-yr target of $111.94 (implying +47% upside).
Moat
Net margin 28% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 82% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. Pharma moat is patent runway + pipeline depth — a single approved molecule funds the next generation of bets. Late-stage trials carry binary readouts that swing valuation 30%+.
Risk
D/E 2.86 is elevated — limits strategic flexibility and raises refinancing exposure if rates stay higher for longer. Down 53% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Trial-readout binary — late-stage clinical trials carry approve/reject outcomes that swing valuation 30%+; the equity is effectively a portfolio of these binary events, not a steady cash-flow business.
Verdict — model-derived comparison
Generating verdict… typically 5–10 seconds
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.