WallStSmart

Amazon.com Inc (AMZN)vsSonic Automotive Inc (SAH)

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Smart Verdict

WallStSmart Research — data-driven comparison

Amazon.com Inc generates 4915% more annual revenue ($775.68B vs $15.47B). AMZN leads profitability with a 17.4% profit margin vs 1.4%. SAH appears more attractively valued with a PEG of 0.45. AMZN earns a higher WallStSmart Score of 70/100 (B-).

AMZN

Strong Buy

70

out of 100

Grade: B-

Growth: 8.7Profit: 7.0Value: 4.7Quality: 6.0
Piotroski: 3/9Altman Z: 2.33

SAH

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 5.0Value: 6.7Quality: 5.5
Piotroski: 4/9Altman Z: 3.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AMZNSignificantly Overvalued (-70.0%)

Margin of Safety

-70.0%

Fair Value

$160.38

Current Price

$274.48

$114.10 premium

UndervaluedFair: $160.38Overvalued
SAHSignificantly Overvalued (-26.7%)

Margin of Safety

-26.7%

Fair Value

$48.04

Current Price

$82.44

$34.40 premium

UndervaluedFair: $48.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AMZN4 strengths · Avg: 9.3/10
Market CapQuality
$2.99T10/10

Mega-cap, among the largest globally

EPS GrowthGrowth
242.3%10/10

Earnings expanding 242.3% YoY

Return on EquityProfitability
20.6%9/10

Every $100 of equity generates 21 in profit

Revenue GrowthGrowth
19.6%8/10

19.6% revenue growth

SAH4 strengths · Avg: 9.0/10
PEG RatioValuation
0.4510/10

Growing faster than its price suggests

Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

P/E RatioValuation
14.6x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Areas to Watch

AMZN2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-18.17B2/10

Negative free cash flow — burning cash

SAH4 concerns · Avg: 2.5/10
Profit MarginProfitability
1.4%3/10

1.4% margin — thin

Operating MarginProfitability
3.4%3/10

Operating margin of 3.4%

EPS GrowthGrowth
-12.3%2/10

Earnings declined 12.3%

Free Cash FlowQuality
$-1.50M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : AMZN

The strongest argument for AMZN centers on Market Cap, EPS Growth, Return on Equity. Profitability is solid with margins at 17.4% and operating margin at 13.7%. Revenue growth of 19.6% demonstrates continued momentum.

Bull Case : SAH

The strongest argument for SAH centers on PEG Ratio, Altman Z-Score, P/E Ratio. PEG of 0.45 suggests the stock is reasonably priced for its growth.

Bear Case : AMZN

The primary concerns for AMZN are Piotroski F-Score, Free Cash Flow.

Bear Case : SAH

The primary concerns for SAH are Profit Margin, Operating Margin, EPS Growth. Debt-to-equity of 4.51 is elevated, increasing financial risk. Thin 1.4% margins leave little buffer for downturns.

Key Dynamics to Monitor

AMZN profiles as a growth stock while SAH is a value play — different risk/reward profiles.

AMZN carries more volatility with a beta of 1.45 — expect wider price swings.

AMZN is growing revenue faster at 19.6% — sustainability is the question.

SAH generates stronger free cash flow (-2M), providing more financial flexibility.

Bottom Line

AMZN scores higher overall (70/100 vs 59/100), backed by strong 17.4% margins and 19.6% revenue growth. 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.

Amazon.com Inc

CONSUMER CYCLICAL · INTERNET RETAIL · USA

Amazon.com, Inc. is an American multinational technology company which focuses on e-commerce, cloud computing, digital streaming, and artificial intelligence. It is one of the Big Five companies in the U.S. information technology industry, along with Google, Apple, Microsoft, and Facebook. The company has been referred to as one of the most influential economic and cultural forces in the world, as well as the world's most valuable brand.

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Sonic Automotive Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

Sonic Automotive, Inc. is an automobile retailer in the United States. The company is headquartered in Charlotte, North Carolina.

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