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HSBC vs. LLY: A Head-to-Head Stock Comparison

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Here’s a clear look at HSBC and LLY, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

HSBC trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, LLY is a standard domestic listing.

SymbolHSBCLLY
Company NameHSBC Holdings plcEli Lilly and Company
CountryUnited KingdomUnited States
GICS SectorFinancialsHealth Care
GICS IndustryBanksPharmaceuticals
Market Capitalization246.16 billion USD739.95 billion USD
ExchangeNYSENYSE
Listing DateJuly 16, 1999June 1, 1972
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of HSBC and LLY by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

HSBC vs. LLY: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolHSBCLLY
5-Day Price Return0.75%2.85%
13-Week Price Return20.03%-2.12%
26-Week Price Return16.67%-7.71%
52-Week Price Return54.59%-13.08%
Month-to-Date Return10.38%4.15%
Year-to-Date Return33.07%-1.17%
10-Day Avg. Volume19.68M4.02M
3-Month Avg. Volume14.39M4.14M
3-Month Volatility15.95%41.96%
Beta1.570.41

Profitability

Return on Equity (TTM)

HSBC

13.86%

Banks Industry

Max
25.40%
Q3
15.55%
Median
12.00%
Q1
8.98%
Min
-0.10%

HSBC’s Return on Equity of 13.86% is on par with the norm for the Banks industry, indicating its profitability relative to shareholder equity is typical for the sector.

LLY

88.36%

Pharmaceuticals Industry

Max
38.59%
Q3
19.84%
Median
11.85%
Q1
5.40%
Min
-10.91%

LLY’s Return on Equity of 88.36% is exceptionally high, placing it well beyond the typical range for the Pharmaceuticals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

HSBC vs. LLY: A comparison of their Return on Equity (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Net Profit Margin (TTM)

HSBC

34.16%

Banks Industry

Max
54.20%
Q3
35.73%
Median
28.97%
Q1
22.56%
Min
6.98%

HSBC’s Net Profit Margin of 34.16% is aligned with the median group of its peers in the Banks industry. This indicates its ability to convert revenue into profit is typical for the sector.

LLY

25.91%

Pharmaceuticals Industry

Max
40.67%
Q3
19.07%
Median
12.31%
Q1
4.50%
Min
-9.91%

A Net Profit Margin of 25.91% places LLY in the upper quartile for the Pharmaceuticals industry, signifying strong profitability and more effective cost management than most of its peers.

HSBC vs. LLY: A comparison of their Net Profit Margin (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Operating Profit Margin (TTM)

HSBC

40.44%

Banks Industry

Max
63.35%
Q3
44.73%
Median
37.24%
Q1
28.25%
Min
12.28%

HSBC’s Operating Profit Margin of 40.44% is around the midpoint for the Banks industry, indicating that its efficiency in managing core business operations is typical for the sector.

LLY

32.37%

Pharmaceuticals Industry

Max
45.78%
Q3
23.14%
Median
16.68%
Q1
7.98%
Min
-7.13%

An Operating Profit Margin of 32.37% places LLY in the upper quartile for the Pharmaceuticals industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

HSBC vs. LLY: A comparison of their Operating Profit Margin (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Profitability at a Glance

SymbolHSBCLLY
Return on Equity (TTM)13.86%88.36%
Return on Assets (TTM)0.85%16.02%
Net Profit Margin (TTM)34.16%25.91%
Operating Profit Margin (TTM)40.44%32.37%
Gross Profit Margin (TTM)--82.64%

Financial Strength

Current Ratio (MRQ)

HSBC

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

For the Banks industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

LLY

1.28

Pharmaceuticals Industry

Max
4.65
Q3
2.64
Median
1.85
Q1
1.26
Min
0.78

LLY’s Current Ratio of 1.28 aligns with the median group of the Pharmaceuticals industry, indicating that its short-term liquidity is in line with its sector peers.

HSBC vs. LLY: A comparison of their Current Ratio (MRQ) against their respective Banks and Pharmaceuticals industry benchmarks.

Debt-to-Equity Ratio (MRQ)

HSBC

1.91

Banks Industry

Max
5.78
Q3
2.66
Median
1.05
Q1
0.40
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Banks industry.

LLY

2.18

Pharmaceuticals Industry

Max
1.75
Q3
0.82
Median
0.35
Q1
0.13
Min
0.00

With a Debt-to-Equity Ratio of 2.18, LLY operates with exceptionally high leverage compared to the Pharmaceuticals industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

HSBC vs. LLY: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Banks and Pharmaceuticals industry benchmarks.

Interest Coverage Ratio (TTM)

HSBC

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks industry.

LLY

20.36

Pharmaceuticals Industry

Max
103.95
Q3
43.60
Median
9.83
Q1
2.37
Min
-42.71

LLY’s Interest Coverage Ratio of 20.36 is positioned comfortably within the norm for the Pharmaceuticals industry, indicating a standard and healthy capacity to cover its interest payments.

HSBC vs. LLY: A comparison of their Interest Coverage Ratio (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Financial Strength at a Glance

SymbolHSBCLLY
Current Ratio (MRQ)--1.28
Quick Ratio (MRQ)--0.53
Debt-to-Equity Ratio (MRQ)1.912.18
Interest Coverage Ratio (TTM)--20.36

Growth

Revenue Growth

HSBC vs. LLY: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

HSBC vs. LLY: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

HSBC

5.60%

Banks Industry

Max
11.03%
Q3
6.00%
Median
3.87%
Q1
2.41%
Min
0.00%

HSBC’s Dividend Yield of 5.60% is consistent with its peers in the Banks industry, providing a dividend return that is standard for its sector.

LLY

0.68%

Pharmaceuticals Industry

Max
7.14%
Q3
3.45%
Median
2.17%
Q1
0.33%
Min
0.00%

LLY’s Dividend Yield of 0.68% is consistent with its peers in the Pharmaceuticals industry, providing a dividend return that is standard for its sector.

HSBC vs. LLY: A comparison of their Dividend Yield (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Dividend Payout Ratio (TTM)

HSBC

71.79%

Banks Industry

Max
134.24%
Q3
79.39%
Median
55.09%
Q1
36.09%
Min
0.00%

HSBC’s Dividend Payout Ratio of 71.79% is within the typical range for the Banks industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

LLY

36.46%

Pharmaceuticals Industry

Max
199.58%
Q3
97.17%
Median
53.47%
Q1
22.97%
Min
0.00%

LLY’s Dividend Payout Ratio of 36.46% is within the typical range for the Pharmaceuticals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

HSBC vs. LLY: A comparison of their Dividend Payout Ratio (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Dividend at a Glance

SymbolHSBCLLY
Dividend Yield (TTM)5.60%0.68%
Dividend Payout Ratio (TTM)71.79%36.46%

Valuation

Price-to-Earnings Ratio (TTM)

HSBC

9.25

Banks Industry

Max
22.69
Q3
13.75
Median
10.32
Q1
7.73
Min
2.59

HSBC’s P/E Ratio of 9.25 is within the middle range for the Banks industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

LLY

53.86

Pharmaceuticals Industry

Max
45.19
Q3
27.91
Median
20.59
Q1
15.08
Min
3.79

At 53.86, LLY’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Pharmaceuticals industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

HSBC vs. LLY: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Price-to-Sales Ratio (TTM)

HSBC

1.74

Banks Industry

Max
4.90
Q3
2.98
Median
2.24
Q1
1.59
Min
0.45

The P/S Ratio is often not a primary valuation tool in the Banks industry.

LLY

13.96

Pharmaceuticals Industry

Max
8.87
Q3
4.56
Median
2.14
Q1
1.58
Min
0.11

With a P/S Ratio of 13.96, LLY trades at a valuation that eclipses even the highest in the Pharmaceuticals industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

HSBC vs. LLY: A comparison of their Price-to-Sales Ratio (TTM) against their respective Banks and Pharmaceuticals industry benchmarks.

Price-to-Book Ratio (MRQ)

HSBC

1.08

Banks Industry

Max
2.09
Q3
1.40
Median
1.11
Q1
0.86
Min
0.29

HSBC’s P/B Ratio of 1.08 is within the conventional range for the Banks industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

LLY

40.43

Pharmaceuticals Industry

Max
9.78
Q3
4.99
Median
2.48
Q1
1.53
Min
0.59

At 40.43, LLY’s P/B Ratio is at an extreme premium to the Pharmaceuticals industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

HSBC vs. LLY: A comparison of their Price-to-Book Ratio (MRQ) against their respective Banks and Pharmaceuticals industry benchmarks.

Valuation at a Glance

SymbolHSBCLLY
Price-to-Earnings Ratio (TTM)9.2553.86
Price-to-Sales Ratio (TTM)1.7413.96
Price-to-Book Ratio (MRQ)1.0840.43
Price-to-Free Cash Flow Ratio (TTM)5.10369.87