WallStSmart

Analog Devices Inc (ADI)vsAmerican Express Company (AXP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

American Express Company generates 470% more annual revenue ($66.97B vs $11.76B). ADI leads profitability with a 23.0% profit margin vs 16.2%. ADI appears more attractively valued with a PEG of 0.77. ADI earns a higher WallStSmart Score of 75/100 (B).

ADI

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 7.0Value: 4.7Quality: 5.0

AXP

Strong Buy

66

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 10.0Quality: 5.0
Piotroski: 4/9Altman Z: 0.13
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ADISignificantly Overvalued (-25.8%)

Margin of Safety

-25.8%

Fair Value

$256.00

Current Price

$322.03

$66.03 premium

UndervaluedFair: $256.00Overvalued
AXPUndervalued (+41.4%)

Margin of Safety

+41.4%

Fair Value

$512.74

Current Price

$300.24

$212.50 discount

UndervaluedFair: $512.74Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ADI6 strengths · Avg: 9.3/10
Operating MarginProfitability
33.1%10/10

Strong operational efficiency at 33.1%

Revenue GrowthGrowth
30.4%10/10

Revenue surging 30.4% year-over-year

EPS GrowthGrowth
116.7%10/10

Earnings expanding 116.7% YoY

Market CapQuality
$157.12B9/10

Large-cap with strong market position

Profit MarginProfitability
23.0%9/10

Keeps 23 of every $100 in revenue as profit

PEG RatioValuation
0.778/10

Growing faster than its price suggests

AXP3 strengths · Avg: 9.3/10
Market CapQuality
$208.03B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.0%10/10

Every $100 of equity generates 34 in profit

Free Cash FlowQuality
$2.35B8/10

Generating 2.3B in free cash flow

Areas to Watch

ADI2 concerns · Avg: 2.5/10
Return on EquityProfitability
7.9%3/10

ROE of 7.9% — below average capital efficiency

P/E RatioValuation
58.8x2/10

Premium valuation, high expectations priced in

AXP3 concerns · Avg: 3.0/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Debt/EquityHealth
1.733/10

Elevated debt levels

Altman Z-ScoreHealth
0.132/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ADI

The strongest argument for ADI centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 23.0% and operating margin at 33.1%. Revenue growth of 30.4% demonstrates continued momentum.

Bull Case : AXP

The strongest argument for AXP centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 16.2% and operating margin at 17.5%. Revenue growth of 10.6% demonstrates continued momentum.

Bear Case : ADI

The primary concerns for ADI are Return on Equity, P/E Ratio. A P/E of 58.8x leaves little room for execution misses.

Bear Case : AXP

The primary concerns for AXP are PEG Ratio, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.73 is elevated, increasing financial risk.

Key Dynamics to Monitor

ADI profiles as a growth stock while AXP is a mature play — different risk/reward profiles.

AXP carries more volatility with a beta of 1.15 — expect wider price swings.

ADI is growing revenue faster at 30.4% — sustainability is the question.

AXP generates stronger free cash flow (2.3B), providing more financial flexibility.

Bottom Line

ADI scores higher overall (75/100 vs 66/100), backed by strong 23.0% margins and 30.4% revenue growth. AXP offers better value entry with a 41.4% margin of safety. Both earn "Strong Buy" and "Strong 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.

Analog Devices Inc

TECHNOLOGY · SEMICONDUCTORS · USA

Analog Devices, Inc. (ADI), also known simply as Analog, is an American multinational semiconductor company specializing in data conversion, signal processing and power management technology, headquartered in Wilmington, Massachusetts.

American Express Company

FINANCIAL SERVICES · CREDIT SERVICES · USA

The American Express Company is a multinational financial services corporation headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Manhattan in New York City.

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