WallStSmart

Arm Holdings plc American Depositary Shares (ARM)vsStryker Corporation (SYK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Stryker Corporation generates 438% more annual revenue ($25.12B vs $4.67B). ARM leads profitability with a 17.2% profit margin vs 12.9%. SYK appears more attractively valued with a PEG of 1.60. SYK earns a higher WallStSmart Score of 65/100 (C+).

ARM

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 7.0Value: 4.7Quality: 7.8
Piotroski: 5/9Altman Z: 3.75

SYK

Buy

65

out of 100

Grade: C+

Growth: 8.0Profit: 7.5Value: 9.3Quality: 7.0
Piotroski: 3/9Altman Z: 2.18
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ARMSignificantly Overvalued (-2323.2%)

Margin of Safety

-2323.2%

Fair Value

$5.17

Current Price

$157.07

$151.90 premium

UndervaluedFair: $5.17Overvalued
SYKUndervalued (+16.8%)

Margin of Safety

+16.8%

Fair Value

$393.59

Current Price

$327.65

$65.94 discount

UndervaluedFair: $393.59Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARM3 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
3.7510/10

Safe zone — low bankruptcy risk

Market CapQuality
$143.33B9/10

Large-cap with strong market position

Revenue GrowthGrowth
26.3%8/10

Revenue surging 26.3% year-over-year

SYK4 strengths · Avg: 8.8/10
EPS GrowthGrowth
55.9%10/10

Earnings expanding 55.9% YoY

Market CapQuality
$125.72B9/10

Large-cap with strong market position

Operating MarginProfitability
27.2%8/10

Strong operational efficiency at 27.2%

Free Cash FlowQuality
$1.88B8/10

Generating 1.9B in free cash flow

Areas to Watch

ARM4 concerns · Avg: 2.5/10
PEG RatioValuation
1.904/10

Expensive relative to growth rate

P/E RatioValuation
177.6x2/10

Premium valuation, high expectations priced in

Price/BookValuation
21.4x2/10

Trading at 21.4x book value

EPS GrowthGrowth
-12.3%2/10

Earnings declined 12.3%

SYK3 concerns · Avg: 3.7/10
PEG RatioValuation
1.604/10

Expensive relative to growth rate

P/E RatioValuation
39.1x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : ARM

The strongest argument for ARM centers on Altman Z-Score, Market Cap, Revenue Growth. Profitability is solid with margins at 17.2% and operating margin at 15.4%. Revenue growth of 26.3% demonstrates continued momentum.

Bull Case : SYK

The strongest argument for SYK centers on EPS Growth, Market Cap, Operating Margin. Revenue growth of 11.4% demonstrates continued momentum.

Bear Case : ARM

The primary concerns for ARM are PEG Ratio, P/E Ratio, Price/Book. A P/E of 177.6x leaves little room for execution misses.

Bear Case : SYK

The primary concerns for SYK are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

ARM profiles as a growth stock while SYK is a value play — different risk/reward profiles.

ARM carries more volatility with a beta of 4.13 — expect wider price swings.

ARM is growing revenue faster at 26.3% — sustainability is the question.

SYK generates stronger free cash flow (1.9B), providing more financial flexibility.

Bottom Line

SYK scores higher overall (65/100 vs 52/100) and 11.4% revenue growth. 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.

Arm Holdings plc American Depositary Shares

TECHNOLOGY · SEMICONDUCTORS · USA

Arm Holdings plc architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers rely on to develop products.

Stryker Corporation

HEALTHCARE · MEDICAL DEVICES · USA

Stryker Corporation is an American multinational medical technologies corporation based in Kalamazoo, Michigan. Stryker's products include implants used in joint replacement and trauma surgeries; surgical equipment and surgical navigation systems; endoscopic and communications systems; patient handling and emergency medical equipment; neurosurgical, neurovascular and spinal devices; as well as other medical device products used in a variety of medical specialties.

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