WallStSmart

Smith AO Corporation (AOS)vsGE Aerospace (GE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

GE Aerospace generates 1161% more annual revenue ($48.31B vs $3.83B). GE leads profitability with a 17.9% profit margin vs 14.3%. AOS appears more attractively valued with a PEG of 1.34. AOS earns a higher WallStSmart Score of 63/100 (C+).

AOS

Buy

63

out of 100

Grade: C+

Growth: 5.3Profit: 8.0Value: 6.7Quality: 8.0
Piotroski: 6/9Altman Z: 4.78

GE

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 8.0Value: 3.7Quality: 5.3
Piotroski: 4/9Altman Z: 1.69
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AOSUndervalued (+11.9%)

Margin of Safety

+11.9%

Fair Value

$91.08

Current Price

$63.68

$27.40 discount

UndervaluedFair: $91.08Overvalued

Intrinsic value data unavailable for GE.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AOS4 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
4.7810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
29.2%9/10

Every $100 of equity generates 29 in profit

Debt/EquityHealth
0.109/10

Conservative balance sheet, low leverage

P/E RatioValuation
16.5x8/10

Attractively priced relative to earnings

GE5 strengths · Avg: 8.8/10
Market CapQuality
$296.28B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
45.4%10/10

Every $100 of equity generates 45 in profit

Operating MarginProfitability
20.2%8/10

Strong operational efficiency at 20.2%

Revenue GrowthGrowth
24.7%8/10

Revenue surging 24.7% year-over-year

Free Cash FlowQuality
$1.50B8/10

Generating 1.5B in free cash flow

Areas to Watch

AOS1 concerns · Avg: 4.0/10
Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

GE4 concerns · Avg: 3.5/10
P/E RatioValuation
35.2x4/10

Premium valuation, high expectations priced in

Price/BookValuation
15.9x4/10

Trading at 15.9x book value

Altman Z-ScoreHealth
1.694/10

Distress zone — elevated risk

PEG RatioValuation
6.822/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : AOS

The strongest argument for AOS centers on Altman Z-Score, Return on Equity, Debt/Equity. PEG of 1.34 suggests the stock is reasonably priced for its growth.

Bull Case : GE

The strongest argument for GE centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.9% and operating margin at 20.2%. Revenue growth of 24.7% demonstrates continued momentum.

Bear Case : AOS

The primary concerns for AOS are Revenue Growth.

Bear Case : GE

The primary concerns for GE are P/E Ratio, Price/Book, Altman Z-Score.

Key Dynamics to Monitor

AOS profiles as a value stock while GE is a growth play — different risk/reward profiles.

GE carries more volatility with a beta of 1.43 — expect wider price swings.

GE is growing revenue faster at 24.7% — sustainability is the question.

GE generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

AOS scores higher overall (63/100 vs 59/100). Both earn "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.

Smith AO Corporation

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

A. O. Smith Corporation is an American manufacturer of both residential and commercial water heaters and boilers and the largest manufacturer and marketer of water heaters in North America. It also supplies water treatment products in the Asian market.

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GE Aerospace

INDUSTRIALS · AEROSPACE & DEFENSE · USA

General Electric Company (GE) is an American multinational conglomerate incorporated in New York City and headquartered in Boston. As of 2018, the company operates through the following segments: aviation, healthcare, power, renewable energy, digital industry, additive manufacturing and venture capital and finance.

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