WallStSmart

Apple Inc. (AAPL)vsArm Holdings plc American Depositary Shares (ARM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Apple Inc. generates 9076% more annual revenue ($451.44B vs $4.92B). AAPL leads profitability with a 27.2% profit margin vs 18.4%. ARM appears more attractively valued with a PEG of 2.20. AAPL earns a higher WallStSmart Score of 67/100 (B-).

AAPL

Strong Buy

67

out of 100

Grade: B-

Growth: 6.7Profit: 10.0Value: 3.7Quality: 6.5
Piotroski: 7/9Altman Z: 2.42

ARM

Buy

63

out of 100

Grade: C+

Growth: 9.3Profit: 7.5Value: 3.7Quality: 8.5
Piotroski: 3/9Altman Z: 4.04

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AAPL6 strengths · Avg: 9.5/10
Market CapQuality
$4.79T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
115.1%10/10

Every $100 of equity generates 115 in profit

Operating MarginProfitability
32.3%10/10

Strong operational efficiency at 32.3%

Free Cash FlowQuality
$26.73B10/10

Generating 26.7B in free cash flow

Profit MarginProfitability
27.2%9/10

Keeps 27 of every $100 in revenue as profit

Revenue GrowthGrowth
16.6%8/10

16.6% revenue growth

ARM6 strengths · Avg: 9.0/10
Market CapQuality
$285.38B10/10

Mega-cap, among the largest globally

Debt/EquityHealth
0.0610/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.0410/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
29.5%8/10

Strong operational efficiency at 29.5%

Revenue GrowthGrowth
20.1%8/10

Revenue surging 20.1% year-over-year

EPS GrowthGrowth
47.9%8/10

Earnings expanding 47.9% YoY

Areas to Watch

AAPL3 concerns · Avg: 2.7/10
P/E RatioValuation
39.7x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
2.622/10

Expensive relative to growth rate

Price/BookValuation
46.8x2/10

Trading at 46.8x book value

ARM4 concerns · Avg: 2.8/10
PEG RatioValuation
2.204/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
310.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
31.4x2/10

Trading at 31.4x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : AAPL

The strongest argument for AAPL centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.2% and operating margin at 32.3%. Revenue growth of 16.6% demonstrates continued momentum.

Bull Case : ARM

The strongest argument for ARM centers on Market Cap, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 18.4% and operating margin at 29.5%. Revenue growth of 20.1% demonstrates continued momentum.

Bear Case : AAPL

The primary concerns for AAPL are P/E Ratio, PEG Ratio, Price/Book.

Bear Case : ARM

The primary concerns for ARM are PEG Ratio, Piotroski F-Score, P/E Ratio. A P/E of 310.7x leaves little room for execution misses.

Key Dynamics to Monitor

ARM carries more volatility with a beta of 3.77 — expect wider price swings.

ARM is growing revenue faster at 20.1% — sustainability is the question.

AAPL generates stronger free cash flow (26.7B), providing more financial flexibility.

Monitor CONSUMER ELECTRONICS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

AAPL scores higher overall (67/100 vs 63/100), backed by strong 27.2% margins and 16.6% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Apple Inc.

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Apple Inc. is an American multinational technology company that specializes in consumer electronics, computer software, and online services. Apple is the world's largest technology company by revenue (totalling $274.5 billion in 2020) and, since January 2021, the world's most valuable company. As of 2021, Apple is the world's fourth-largest PC vendor by unit sales, and fourth-largest smartphone manufacturer. It is one of the Big Five American information technology companies, along with Amazon, Google, Microsoft, and Facebook.

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Arm Holdings plc American Depositary Shares

TECHNOLOGY · SEMICONDUCTORS · USA

Arm Holdings plc architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers rely on to develop products.

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