WallStSmart

Enact Holdings Inc (ACT)vsWells Fargo & Company (WFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 6590% more annual revenue ($83.03B vs $1.24B). ACT leads profitability with a 54.5% profit margin vs 27.2%. ACT trades at a lower P/E of 10.1x. WFC earns a higher WallStSmart Score of 76/100 (B+).

ACT

Buy

54

out of 100

Grade: C-

Growth: 4.7Profit: 8.5Value: 6.7Quality: 7.8
Piotroski: 4/9

WFC

Strong Buy

76

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 5.7Quality: 3.0
Piotroski: 4/9Altman Z: -0.38

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACT5 strengths · Avg: 9.8/10
P/E RatioValuation
10.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Profit MarginProfitability
54.5%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
72.3%10/10

Strong operational efficiency at 72.3%

Debt/EquityHealth
0.149/10

Conservative balance sheet, low leverage

WFC6 strengths · Avg: 8.8/10
Market CapQuality
$264.46B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
37.1%10/10

Strong operational efficiency at 37.1%

Profit MarginProfitability
27.2%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.0%8/10

Earnings expanding 25.0% YoY

Areas to Watch

ACT1 concerns · Avg: 4.0/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

WFC3 concerns · Avg: 2.3/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.382/10

Distress zone — elevated risk

Debt/EquityHealth
2.551/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : ACT

The strongest argument for ACT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 54.5% and operating margin at 72.3%.

Bull Case : WFC

The strongest argument for WFC centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 27.2% and operating margin at 37.1%.

Bear Case : ACT

The primary concerns for ACT are Revenue Growth.

Bear Case : WFC

The primary concerns for WFC are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.55 is elevated, increasing financial risk.

Key Dynamics to Monitor

ACT profiles as a value stock while WFC is a mature play — different risk/reward profiles.

WFC carries more volatility with a beta of 0.92 — expect wider price swings.

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

WFC generates stronger free cash flow (9.1B), providing more financial flexibility.

Bottom Line

WFC scores higher overall (76/100 vs 54/100), backed by strong 27.2% 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.

Enact Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Enact Holdings Inc (ACT) is a prominent player in the U.S. housing sector, specializing in private mortgage insurance and comprehensive risk management solutions that enhance the affordability and accessibility of homeownership. The company is characterized by a strong capital foundation and a commitment to innovation, driven by strategic collaborations that optimize lender operations and navigate complex market dynamics. With a focus on proactive risk management and sustainable housing practices, Enact is well-positioned to seize emerging growth opportunities within the evolving real estate landscape, highlighting its essential role in supporting the housing market.

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Wells Fargo & Company

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.

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