WallStSmart

American Express Company (AXP)vsThe Coca-Cola Company (KO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

American Express Company generates 40% more annual revenue ($68.81B vs $49.28B). KO leads profitability with a 27.8% profit margin vs 16.3%. AXP appears more attractively valued with a PEG of 1.55. AXP earns a higher WallStSmart Score of 68/100 (B-).

AXP

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 5.0Quality: 3.5
Piotroski: 4/9Altman Z: 0.13

KO

Strong Buy

65

out of 100

Grade: B-

Growth: 6.0Profit: 9.5Value: 3.3Quality: 6.0
Piotroski: 6/9Altman Z: 2.49
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for AXP.

KOSignificantly Overvalued (-22.2%)

Margin of Safety

-22.2%

Fair Value

$64.19

Current Price

$78.42

$14.23 premium

UndervaluedFair: $64.19Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AXP4 strengths · Avg: 9.0/10
Market CapQuality
$217.45B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.4%10/10

Every $100 of equity generates 34 in profit

Operating MarginProfitability
21.2%8/10

Strong operational efficiency at 21.2%

Free Cash FlowQuality
$2.65B8/10

Generating 2.7B in free cash flow

KO5 strengths · Avg: 9.4/10
Market CapQuality
$337.40B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
43.4%10/10

Every $100 of equity generates 43 in profit

Operating MarginProfitability
35.1%10/10

Strong operational efficiency at 35.1%

Profit MarginProfitability
27.8%9/10

Keeps 28 of every $100 in revenue as profit

Free Cash FlowQuality
$1.75B8/10

Generating 1.8B in free cash flow

Areas to Watch

AXP3 concerns · Avg: 3.0/10
PEG RatioValuation
1.554/10

Expensive relative to growth rate

Debt/EquityHealth
1.733/10

Elevated debt levels

Altman Z-ScoreHealth
0.132/10

Distress zone — elevated risk

KO3 concerns · Avg: 3.0/10
Price/BookValuation
10.0x4/10

Trading at 10.0x book value

Debt/EquityHealth
1.413/10

Elevated debt levels

PEG RatioValuation
4.032/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : AXP

The strongest argument for AXP centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 16.3% and operating margin at 21.2%. Revenue growth of 11.6% demonstrates continued momentum.

Bull Case : KO

The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.8% and operating margin at 35.1%. Revenue growth of 12.1% demonstrates continued momentum.

Bear Case : AXP

The primary concerns for AXP are PEG Ratio, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.73 is elevated, increasing financial risk.

Bear Case : KO

The primary concerns for KO are Price/Book, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

AXP carries more volatility with a beta of 1.08 — expect wider price swings.

KO is growing revenue faster at 12.1% — sustainability is the question.

AXP generates stronger free cash flow (2.7B), providing more financial flexibility.

Monitor CREDIT SERVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

AXP scores higher overall (68/100 vs 65/100), backed by strong 16.3% margins and 11.6% revenue growth. Both earn "Strong Buy" and "Strong 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 Express Company

FINANCIAL SERVICES · CREDIT SERVICES · USA

The American Express Company is a multinational financial services corporation headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Manhattan in New York City.

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The Coca-Cola Company

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.

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