American Water Works (AWK)vsSociedad Quimica y Minera de Chile SA ADR B (SQM)
AWK
American Water Works
$125.68
-0.29%
UTILITIES · Cap: $24.87B
SQM
Sociedad Quimica y Minera de Chile SA ADR B
$93.46
+0.89%
BASIC MATERIALS · Cap: $26.47B
Smart Verdict
WallStSmart Research — data-driven comparison
American Water Works generates 14% more annual revenue ($5.21B vs $4.58B). AWK leads profitability with a 21.2% profit margin vs 12.9%. SQM appears more attractively valued with a PEG of 0.59. SQM earns a higher WallStSmart Score of 66/100 (B-).
AWK
Buy60
out of 100
Grade: C
SQM
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-10.7%
Fair Value
$111.75
Current Price
$125.68
$13.93 premium
Margin of Safety
+9.0%
Fair Value
$82.67
Current Price
$93.46
$10.79 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 33.2%
Keeps 21 of every $100 in revenue as profit
Reasonable price relative to book value
Earnings expanding 52.3% YoY
Growing faster than its price suggests
Strong operational efficiency at 28.3%
Revenue surging 23.3% year-over-year
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Earnings declined 4.8%
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
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 21.2% and operating margin at 33.2%.
Bull Case : SQM
The strongest argument for SQM centers on EPS Growth, PEG Ratio, Operating Margin. Revenue growth of 23.3% demonstrates continued momentum. PEG of 0.59 suggests the stock is reasonably priced for its growth.
Bear Case : AWK
The primary concerns for AWK are PEG Ratio, Piotroski F-Score, EPS Growth.
Bear Case : SQM
The primary concerns for SQM are P/E Ratio. A P/E of 45.0x leaves little room for execution misses.
Key Dynamics to Monitor
AWK profiles as a mature stock while SQM is a growth play — different risk/reward profiles.
SQM carries more volatility with a beta of 1.03 — expect wider price swings.
SQM is growing revenue faster at 23.3% — sustainability is the question.
SQM generates stronger free cash flow (317M), providing more financial flexibility.
Bottom Line
SQM scores higher overall (66/100 vs 60/100) and 23.3% 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.
Sociedad Quimica y Minera de Chile SA ADR B
BASIC MATERIALS · SPECIALTY CHEMICALS · USA
Sociedad Qumica y Minera de Chile SA produces and distributes specialty plant nutrients, iodine and its derivatives, lithium and its derivatives, potassium chloride and sulfate, industrial chemicals and other products and services worldwide. The company is headquartered in Santiago, Chile.
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