WallStSmart

Alcon AG (ALC)vsResMed Inc (RMD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alcon AG generates 93% more annual revenue ($10.40B vs $5.40B). RMD leads profitability with a 27.5% profit margin vs 9.4%. RMD appears more attractively valued with a PEG of 1.39. RMD earns a higher WallStSmart Score of 70/100 (B).

ALC

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 5.0Value: 7.3Quality: 7.3
Piotroski: 4/9

RMD

Strong Buy

70

out of 100

Grade: B

Growth: 6.7Profit: 9.5Value: 8.7Quality: 8.3
Piotroski: 6/9Altman Z: 4.34
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ALCSignificantly Overvalued (-489.8%)

Margin of Safety

-489.8%

Fair Value

$13.46

Current Price

$73.65

$60.19 premium

UndervaluedFair: $13.46Overvalued
RMDUndervalued (+14.3%)

Margin of Safety

+14.3%

Fair Value

$303.00

Current Price

$225.99

$77.01 discount

UndervaluedFair: $303.00Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ALC2 strengths · Avg: 8.5/10
Debt/EquityHealth
0.249/10

Conservative balance sheet, low leverage

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

RMD4 strengths · Avg: 9.5/10
Operating MarginProfitability
35.2%10/10

Strong operational efficiency at 35.2%

Altman Z-ScoreHealth
4.3410/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
25.7%9/10

Every $100 of equity generates 26 in profit

Profit MarginProfitability
27.5%9/10

Keeps 28 of every $100 in revenue as profit

Areas to Watch

ALC4 concerns · Avg: 3.3/10
PEG RatioValuation
1.704/10

Expensive relative to growth rate

P/E RatioValuation
37.2x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
4.5%3/10

ROE of 4.5% — below average capital efficiency

EPS GrowthGrowth
-22.2%2/10

Earnings declined 22.2%

RMD0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : ALC

The strongest argument for ALC centers on Debt/Equity, Price/Book.

Bull Case : RMD

The strongest argument for RMD centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 27.5% and operating margin at 35.2%. Revenue growth of 11.0% demonstrates continued momentum.

Bear Case : ALC

The primary concerns for ALC are PEG Ratio, P/E Ratio, Return on Equity.

Bear Case : RMD

No major red flags identified for RMD, but monitor valuation.

Key Dynamics to Monitor

ALC profiles as a value stock while RMD is a mature play — different risk/reward profiles.

RMD carries more volatility with a beta of 0.89 — expect wider price swings.

RMD is growing revenue faster at 11.0% — sustainability is the question.

ALC generates stronger free cash flow (489M), providing more financial flexibility.

Bottom Line

RMD scores higher overall (70/100 vs 49/100), backed by strong 27.5% margins and 11.0% revenue growth. Both earn "Strong 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.

Alcon AG

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

Alcon, Inc., an eye care company, researches, develops, manufactures, distributes and sells eye care products for eye care professionals and their patients around the world. The company is headquartered in Geneva, Switzerland.

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ResMed Inc

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

ResMed is a San Diego, California-based medical equipment company. It primarily provides cloud-connectable medical devices for the treatment of sleep apnea (such as CPAP devices and masks), chronic obstructive pulmonary disease (COPD), and other respiratory conditions.

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