WallStSmart

Bristol-Myers Squibb Company (BMY)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Bristol-Myers Squibb Company generates 27% more annual revenue ($48.48B vs $38.09B). SBS leads profitability with a 22.2% profit margin vs 15.0%. SBS appears more attractively valued with a PEG of 0.47. SBS earns a higher WallStSmart Score of 77/100 (B+).

BMY

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 9.0Value: 6.7Quality: 4.5
Piotroski: 6/9Altman Z: 1.42

SBS

Strong Buy

77

out of 100

Grade: B+

Growth: 9.3Profit: 8.5Value: 5.3Quality: 4.3
Piotroski: 2/9Altman Z: 1.81
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BMYUndervalued (+32.0%)

Margin of Safety

+32.0%

Fair Value

$88.10

Current Price

$56.59

$31.51 discount

UndervaluedFair: $88.10Overvalued
SBSFair Value (-3.2%)

Margin of Safety

-3.2%

Fair Value

$28.67

Current Price

$33.29

$4.62 premium

UndervaluedFair: $28.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BMY4 strengths · Avg: 8.8/10
Return on EquityProfitability
38.7%10/10

Every $100 of equity generates 39 in profit

Market CapQuality
$118.87B9/10

Large-cap with strong market position

P/E RatioValuation
16.3x8/10

Attractively priced relative to earnings

Operating MarginProfitability
29.3%8/10

Strong operational efficiency at 29.3%

SBS6 strengths · Avg: 9.7/10
PEG RatioValuation
0.4710/10

Growing faster than its price suggests

Operating MarginProfitability
34.6%10/10

Strong operational efficiency at 34.6%

Revenue GrowthGrowth
43.9%10/10

Revenue surging 43.9% year-over-year

EPS GrowthGrowth
87.2%10/10

Earnings expanding 87.2% YoY

Market CapQuality
$118.61B9/10

Large-cap with strong market position

Return on EquityProfitability
21.3%9/10

Every $100 of equity generates 21 in profit

Areas to Watch

BMY4 concerns · Avg: 2.3/10
Revenue GrowthGrowth
2.6%4/10

2.6% revenue growth

PEG RatioValuation
23.182/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.422/10

Distress zone — elevated risk

Debt/EquityHealth
2.551/10

Elevated debt levels

SBS4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.814/10

Grey zone — moderate risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
67.2x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-8.22B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : BMY

The strongest argument for BMY centers on Return on Equity, Market Cap, P/E Ratio.

Bull Case : SBS

The strongest argument for SBS centers on PEG Ratio, Operating Margin, Revenue Growth. Profitability is solid with margins at 22.2% and operating margin at 34.6%. Revenue growth of 43.9% demonstrates continued momentum.

Bear Case : BMY

The primary concerns for BMY are Revenue Growth, PEG Ratio, Altman Z-Score. Debt-to-equity of 2.55 is elevated, increasing financial risk.

Bear Case : SBS

The primary concerns for SBS are Altman Z-Score, Piotroski F-Score, P/E Ratio. A P/E of 67.2x leaves little room for execution misses.

Key Dynamics to Monitor

BMY profiles as a value stock while SBS is a growth play — different risk/reward profiles.

BMY carries more volatility with a beta of 0.27 — expect wider price swings.

SBS is growing revenue faster at 43.9% — sustainability is the question.

BMY generates stronger free cash flow (757M), providing more financial flexibility.

Bottom Line

SBS scores higher overall (77/100 vs 58/100), backed by strong 22.2% margins and 43.9% revenue growth. BMY offers better value entry with a 32.0% margin of safety. 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.

Bristol-Myers Squibb Company

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

Bristol Myers Squibb (BMS) is an American multinational pharmaceutical company, headquartered in New York City. Bristol Myers Squibb manufactures prescription pharmaceuticals and biologics in several therapeutic areas, including cancer, AIDS, cardiovascular disease, diabetes, hepatitis, rheumatoid arthritis and psychiatric disorders.

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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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