Colgate-Palmolive Company (CL)vsYum! Brands Inc (YUM)
CL
Colgate-Palmolive Company
$87.55
+0.22%
CONSUMER DEFENSIVE · Cap: $69.90B
YUM
Yum! Brands Inc
$151.95
-3.37%
CONSUMER CYCLICAL · Cap: $43.34B
Smart Verdict
WallStSmart Research — data-driven comparison
Colgate-Palmolive Company generates 145% more annual revenue ($20.80B vs $8.49B). YUM leads profitability with a 20.5% profit margin vs 10.0%. CL appears more attractively valued with a PEG of 1.55. YUM earns a higher WallStSmart Score of 65/100 (C+).
CL
Buy58
out of 100
Grade: C
YUM
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+16.8%
Fair Value
$104.97
Current Price
$87.55
$17.42 discount
Margin of Safety
-76.3%
Fair Value
$90.20
Current Price
$151.95
$61.75 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 36 in profit
Large-cap with strong market position
Strong operational efficiency at 20.9%
Strong operational efficiency at 31.0%
Earnings expanding 72.2% YoY
Keeps 21 of every $100 in revenue as profit
15.2% revenue growth
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Weak financial health signals
Trading at 1250.7x book value
Expensive relative to growth rate
Moderate valuation
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : CL
The strongest argument for CL centers on Return on Equity, Market Cap, Operating Margin.
Bull Case : YUM
The strongest argument for YUM centers on Operating Margin, EPS Growth, Profit Margin. Profitability is solid with margins at 20.5% and operating margin at 31.0%. Revenue growth of 15.2% demonstrates continued momentum.
Bear Case : CL
The primary concerns for CL are PEG Ratio, P/E Ratio, Piotroski F-Score. Debt-to-equity of 147.93 is elevated, increasing financial risk.
Bear Case : YUM
The primary concerns for YUM are PEG Ratio, P/E Ratio, Return on Equity.
Key Dynamics to Monitor
CL profiles as a value stock while YUM is a growth play — different risk/reward profiles.
YUM carries more volatility with a beta of 0.60 — expect wider price swings.
YUM is growing revenue faster at 15.2% — sustainability is the question.
CL generates stronger free cash flow (609M), providing more financial flexibility.
Bottom Line
YUM scores higher overall (65/100 vs 58/100), backed by strong 20.5% margins and 15.2% revenue growth. CL offers better value entry with a 16.8% margin of safety. Both earn "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.
Colgate-Palmolive Company
CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA
Colgate-Palmolive Company is an American multinational consumer products company headquartered on Park Avenue in Midtown Manhattan, New York City. It specializes in the production, distribution and provision of household, health care, personal care and veterinary products.
Visit Website →Yum! Brands Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Yum! Brands, Inc. is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.
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