LLY vs LULU: Which Is the Better Buy?
Side-by-side comparison of Eli Lilly and Company and Lululemon Athletica Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-17.
Eli Lilly and Company · Healthcare
$1,179.09
+31.7% upside to fair value
High Conviction
Grade A
High Quality
VS
Lululemon Athletica Inc. · Consumer Cyclical
$116.33
+45.0% upside to fair value
Med Conviction
Grade B-
QuantHub Verdict
LULU has more upside to fair value
(+45.0%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
LLY |
LULU |
| Current Price |
$1,179.09 |
$116.33 |
| Fair Value Estimate |
$1,552.32 |
$168.68 |
| Upside to Fair Value |
+31.7%
|
+45.0%
|
| Market Cap |
$1,110.4B |
$13.2B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
34.3x
|
5.3x
|
| Price / Sales |
14.6x
|
1.2x
|
| Price / FCF |
77.7x
|
10.3x
|
| Revenue Growth YoY |
+55.5%
|
+4.3%
|
| Gross Margin |
83.5%
|
55.7%
|
| Operating Margin |
45.9%
|
18.2%
|
| Return on Equity |
101.3%
|
31.3%
|
| Dividend Yield |
0.55% |
0% |
| FCF Yield |
1.29%
|
9.69%
|
| Analyst Consensus |
Strong Buy
|
Hold
|
Investment Thesis
Eli Lilly is a global biopharma company whose exceptionally profitable cardiometabolic franchises, led by Mounjaro and Zepbound, are driving a high-quality growth phase: revenue rose 55.5% year over year and earnings rose 168.0% year over year in the most recent quarter, while gross, operating, and net margins were 83.5%, 45.9%, and 35.0%, respectively. Business quality is high because tirzepatid…
Lululemon Athletica is a premium athletic-apparel retailer whose technical-product innovation, powerful brand, direct-to-consumer retail and e-commerce model, and community-led marketing have historically supported high returns, including a 31.3% ROE, 55.7% gross margin, 18.2% operating margin, and 13.0% net margin. The investment case is now a turnaround rather than a clean compounding story: in…
Accumulation Zones
| Metric |
LLY |
LULU |
| Zone Low |
$1,164.24 |
$126.51 |
| Zone High |
$1,319.47 |
$143.38 |
| In Buy Zone? |
Yes
|
Yes
|