American Water Works (AWK)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)
AWK
American Water Works
$135.31
+0.36%
UTILITIES · Cap: $26.66B
SBS
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
$5.31
-1.12%
UTILITIES · Cap: $19.11B
Smart Verdict
WallStSmart Research — data-driven comparison
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 650% more annual revenue ($39.63B vs $5.28B). SBS leads profitability with a 22.0% profit margin vs 21.3%. SBS appears more attractively valued with a PEG of 0.47. SBS earns a higher WallStSmart Score of 79/100 (B+).
AWK
Buy64
out of 100
Grade: C+
SBS
Strong Buy79
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-22.6%
Fair Value
$100.90
Current Price
$135.31
$34.41 premium
Intrinsic value data unavailable for SBS.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 40.7%
Keeps 21 of every $100 in revenue as profit
Reasonable price relative to book value
Growing faster than its price suggests
Attractively priced relative to earnings
Strong operational efficiency at 33.9%
Keeps 22 of every $100 in revenue as profit
Reasonable price relative to book value
18.3% revenue growth
Areas to Watch
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : AWK
The strongest argument for AWK centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 21.3% and operating margin at 40.7%.
Bull Case : SBS
The strongest argument for SBS centers on PEG Ratio, P/E Ratio, Operating Margin. Profitability is solid with margins at 22.0% and operating margin at 33.9%. Revenue growth of 18.3% demonstrates continued momentum.
Bear Case : AWK
The primary concerns for AWK are Debt/Equity, Piotroski F-Score, PEG Ratio.
Bear Case : SBS
The primary concerns for SBS are Altman Z-Score, Debt/Equity, Piotroski F-Score.
Key Dynamics to Monitor
AWK profiles as a mature stock while SBS is a growth play — different risk/reward profiles.
AWK carries more volatility with a beta of 0.60 — expect wider price swings.
SBS is growing revenue faster at 18.3% — sustainability is the question.
SBS generates stronger free cash flow (722M), providing more financial flexibility.
Bottom Line
SBS scores higher overall (79/100 vs 64/100), backed by strong 22.0% margins and 18.3% 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.
American Water Works
UTILITIES · UTILITIES - REGULATED WATER · USA
American Water is an American public utility company operating in the United States and Canada.
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
UTILITIES · UTILITIES - REGULATED WATER · USA
Companhia de Saneamento Basico do Estado de So Paulo - SABESP provides water and sewerage services to residential, commercial, industrial and government clients. The company is headquartered in So Paulo, Brazil.
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