WallStSmart

Albertsons Companies (ACI)vsPepsiCo Inc (PEP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PepsiCo Inc generates 15% more annual revenue ($95.45B vs $83.17B). PEP leads profitability with a 9.2% profit margin vs 0.3%. ACI appears more attractively valued with a PEG of 1.46. PEP earns a higher WallStSmart Score of 63/100 (C+).

ACI

Hold

48

out of 100

Grade: D+

Growth: 4.0Profit: 5.0Value: 6.7Quality: 4.5
Piotroski: 3/9Altman Z: 3.04

PEP

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 8.0Value: 5.3Quality: 4.8
Piotroski: 3/9Altman Z: 2.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ACIUndervalued (+81.4%)

Margin of Safety

+81.4%

Fair Value

$95.31

Current Price

$16.14

$79.17 discount

UndervaluedFair: $95.31Overvalued
PEPUndervalued (+0.2%)

Margin of Safety

+0.2%

Fair Value

$154.83

Current Price

$154.59

$0.24 discount

UndervaluedFair: $154.83Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACI1 strengths · Avg: 10.0/10
Altman Z-ScoreHealth
3.0410/10

Safe zone — low bankruptcy risk

PEP3 strengths · Avg: 9.3/10
Market CapQuality
$215.17B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
43.9%10/10

Every $100 of equity generates 44 in profit

EPS GrowthGrowth
27.8%8/10

Earnings expanding 27.8% YoY

Areas to Watch

ACI4 concerns · Avg: 2.8/10
Profit MarginProfitability
0.3%3/10

0.3% margin — thin

Operating MarginProfitability
1.7%3/10

Operating margin of 1.7%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
41.5x2/10

Premium valuation, high expectations priced in

PEP4 concerns · Avg: 3.3/10
PEG RatioValuation
1.704/10

Expensive relative to growth rate

Price/BookValuation
9.9x4/10

Trading at 9.9x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-406.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : ACI

The strongest argument for ACI centers on Altman Z-Score. PEG of 1.46 suggests the stock is reasonably priced for its growth.

Bull Case : PEP

The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.

Bear Case : ACI

The primary concerns for ACI are Profit Margin, Operating Margin, Piotroski F-Score. A P/E of 41.5x leaves little room for execution misses. Debt-to-equity of 6.17 is elevated, increasing financial risk.

Bear Case : PEP

The primary concerns for PEP are PEG Ratio, Price/Book, Piotroski F-Score.

Key Dynamics to Monitor

PEP carries more volatility with a beta of 0.41 — expect wider price swings.

PEP is growing revenue faster at 8.5% — sustainability is the question.

ACI generates stronger free cash flow (291M), providing more financial flexibility.

Monitor GROCERY STORES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PEP scores higher overall (63/100 vs 48/100). ACI offers better value entry with a 81.4% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Albertsons Companies

CONSUMER DEFENSIVE · GROCERY STORES · USA

Albertsons Companies, Inc. participates in the pharmacy and food operation in the United States.

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PepsiCo Inc

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

PepsiCo, Inc. is an American based multinational food, snack, and beverage corporation headquartered in Harrison, New York, in the hamlet of Purchase. PepsiCo's business encompasses all aspects of the food and beverage market. It oversees the manufacturing, distribution, and marketing of its products.

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