Brookfield Business Corp (BBUC)vsPenske Automotive Group Inc (PAG)
BBUC
Brookfield Business Corp
$30.85
-8.21%
INDUSTRIALS · Cap: $6.96B
PAG
Penske Automotive Group Inc
$173.81
+1.28%
CONSUMER CYCLICAL · Cap: $11.16B
Smart Verdict
WallStSmart Research — data-driven comparison
Penske Automotive Group Inc generates 16% more annual revenue ($31.72B vs $27.46B). PAG leads profitability with a 2.9% profit margin vs -0.1%. PAG earns a higher WallStSmart Score of 51/100 (C-).
BBUC
Hold43
out of 100
Grade: D
PAG
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+88.8%
Fair Value
$324.96
Current Price
$30.85
$294.11 discount
Margin of Safety
-1.7%
Fair Value
$170.26
Current Price
$173.81
$3.55 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
ROE of 2.4% — below average capital efficiency
Revenue declined 4.5%
Currently unprofitable
Expensive relative to growth rate
2.9% margin — thin
Operating margin of 3.7%
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : BBUC
The strongest argument for BBUC centers on Price/Book.
Bull Case : PAG
The strongest argument for PAG centers on P/E Ratio, Price/Book.
Bear Case : BBUC
The primary concerns for BBUC are Return on Equity, Revenue Growth, Profit Margin.
Bear Case : PAG
The primary concerns for PAG are PEG Ratio, Profit Margin, Operating Margin. Debt-to-equity of 1.56 is elevated, increasing financial risk. Thin 2.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
BBUC profiles as a turnaround stock while PAG is a value play — different risk/reward profiles.
BBUC carries more volatility with a beta of 1.38 — expect wider price swings.
PAG is growing revenue faster at -1.1% — sustainability is the question.
PAG generates stronger free cash flow (152M), providing more financial flexibility.
Bottom Line
PAG scores higher overall (51/100 vs 43/100). BBUC offers better value entry with a 88.8% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Brookfield Business Corp
INDUSTRIALS · CONGLOMERATES · USA
Brookfield Business Corporation focuses on healthcare, construction and wastewater services in the United States, Europe, Australia, the United Kingdom, Canada and Brazil. The company is headquartered in New York, New York.
Penske Automotive Group Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Penske Automotive Group, Inc., a diversified transportation services company, operates commercial and automotive truck dealerships. The company is headquartered in Bloomfield Hills, Michigan.
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