WallStSmart

Ambev SA ADR (ABEV)vsVertex Pharmaceuticals Inc (VRTX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ambev SA ADR generates 635% more annual revenue ($88.24B vs $12.00B). VRTX leads profitability with a 32.9% profit margin vs 17.6%. ABEV appears more attractively valued with a PEG of 2.02. VRTX earns a higher WallStSmart Score of 66/100 (B-).

ABEV

Buy

55

out of 100

Grade: C

Growth: 2.7Profit: 8.5Value: 7.3Quality: 5.8
Piotroski: 5/9Altman Z: 2.39

VRTX

Strong Buy

66

out of 100

Grade: B-

Growth: 8.0Profit: 9.0Value: 10.0Quality: 8.0
Piotroski: 3/9Altman Z: 3.62
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ABEVSignificantly Overvalued (-136.4%)

Margin of Safety

-136.4%

Fair Value

$1.29

Current Price

$2.85

$1.56 premium

UndervaluedFair: $1.29Overvalued
VRTXUndervalued (+36.5%)

Margin of Safety

+36.5%

Fair Value

$716.04

Current Price

$454.97

$261.07 discount

UndervaluedFair: $716.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ABEV4 strengths · Avg: 8.5/10
Free Cash FlowQuality
$11.62B10/10

Generating 11.6B in free cash flow

P/E RatioValuation
14.6x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.2%8/10

Strong operational efficiency at 28.2%

VRTX6 strengths · Avg: 9.5/10
Profit MarginProfitability
32.9%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
39.6%10/10

Strong operational efficiency at 39.6%

Altman Z-ScoreHealth
3.6210/10

Safe zone — low bankruptcy risk

Market CapQuality
$113.95B9/10

Large-cap with strong market position

Return on EquityProfitability
22.5%9/10

Every $100 of equity generates 23 in profit

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Areas to Watch

ABEV3 concerns · Avg: 2.7/10
PEG RatioValuation
2.024/10

Expensive relative to growth rate

Revenue GrowthGrowth
-8.2%2/10

Revenue declined 8.2%

EPS GrowthGrowth
-10.1%2/10

Earnings declined 10.1%

VRTX3 concerns · Avg: 3.7/10
PEG RatioValuation
2.194/10

Expensive relative to growth rate

P/E RatioValuation
29.3x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : ABEV

The strongest argument for ABEV centers on Free Cash Flow, P/E Ratio, Price/Book. Profitability is solid with margins at 17.6% and operating margin at 28.2%.

Bull Case : VRTX

The strongest argument for VRTX centers on Profit Margin, Operating Margin, Altman Z-Score. Profitability is solid with margins at 32.9% and operating margin at 39.6%.

Bear Case : ABEV

The primary concerns for ABEV are PEG Ratio, Revenue Growth, EPS Growth.

Bear Case : VRTX

The primary concerns for VRTX are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

ABEV profiles as a declining stock while VRTX is a mature play — different risk/reward profiles.

VRTX carries more volatility with a beta of 0.32 — expect wider price swings.

VRTX is growing revenue faster at 9.5% — sustainability is the question.

ABEV generates stronger free cash flow (11.6B), providing more financial flexibility.

Bottom Line

VRTX scores higher overall (66/100 vs 55/100), backed by strong 32.9% margins. 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.

Ambev SA ADR

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Ambev SA produces, distributes and sells beer, draft beer, carbonated soft drinks (CSD), other non-alcoholic beverages, malt and food products in the Americas. The company is headquartered in So Paulo, Brazil.

Vertex Pharmaceuticals Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Vertex Pharmaceuticals, Inc. is an American biopharmaceutical company based in Boston, Massachusetts.

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