WallStSmart

Compass Diversified Holdings (CODI)vsPACCAR Inc (PCAR)

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Smart Verdict

WallStSmart Research — data-driven comparison

PACCAR Inc generates 1383% more annual revenue ($27.78B vs $1.87B). PCAR leads profitability with a 8.9% profit margin vs -12.1%. PCAR appears more attractively valued with a PEG of 1.18. PCAR earns a higher WallStSmart Score of 52/100 (C-).

CODI

Avoid

34

out of 100

Grade: F

Growth: 2.7Profit: 3.5Value: 5.7Quality: 2.5
Piotroski: 2/9Altman Z: -0.40

PCAR

Buy

52

out of 100

Grade: C-

Growth: 4.0Profit: 6.0Value: 4.7Quality: 4.5
Piotroski: 1/9
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Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CODIUndervalued (+82.0%)

Margin of Safety

+82.0%

Fair Value

$37.03

Current Price

$11.35

$25.68 discount

UndervaluedFair: $37.03Overvalued
PCARSignificantly Overvalued (-24.7%)

Margin of Safety

-24.7%

Fair Value

$103.83

Current Price

$118.80

$14.97 premium

UndervaluedFair: $103.83Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CODI0 strengths · Avg: 0/10

No standout strengths identified

PCAR1 strengths · Avg: 9.0/10
Market CapQuality
$62.52B9/10

Large-cap with strong market position

Areas to Watch

CODI4 concerns · Avg: 2.5/10
Market CapQuality
$864.46M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.652/10

Expensive relative to growth rate

Return on EquityProfitability
-53.7%2/10

ROE of -53.7% — below average capital efficiency

PCAR3 concerns · Avg: 3.0/10
P/E RatioValuation
25.3x4/10

Moderate valuation

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Revenue GrowthGrowth
-8.9%2/10

Revenue declined 8.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : CODI

CODI has a balanced fundamental profile.

Bull Case : PCAR

The strongest argument for PCAR centers on Market Cap. PEG of 1.18 suggests the stock is reasonably priced for its growth.

Bear Case : CODI

The primary concerns for CODI are Market Cap, Piotroski F-Score, PEG Ratio. Debt-to-equity of 3.62 is elevated, increasing financial risk.

Bear Case : PCAR

The primary concerns for PCAR are P/E Ratio, Piotroski F-Score, Revenue Growth.

Key Dynamics to Monitor

CODI profiles as a turnaround stock while PCAR is a value play — different risk/reward profiles.

PCAR carries more volatility with a beta of 1.06 — expect wider price swings.

CODI is growing revenue faster at -5.1% — sustainability is the question.

PCAR generates stronger free cash flow (778M), providing more financial flexibility.

Bottom Line

PCAR scores higher overall (52/100 vs 34/100). CODI offers better value entry with a 82.0% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Compass Diversified Holdings

INDUSTRIALS · CONGLOMERATES · USA

Compass Diversified Holdings (CODI) is a leading private equity firm that specializes in acquiring and managing a diversified portfolio of middle-market companies across multiple sectors, including consumer products, industrials, and outdoor goods. The firm employs a proactive operational improvement strategy aimed at driving sustainable growth and enhancing the performance of its investments. Leveraging its deep industry expertise and a disciplined investment approach, CODI is strategically positioned in the alternative investment space, committed to delivering long-term value and compelling risk-adjusted returns for institutional investors.

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PACCAR Inc

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

PACCAR Inc is an American Fortune 500 company and counts among the largest manufacturers of medium- and heavy-duty trucks in the world. PACCAR is engaged in the design, manufacture and customer support of light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt, Leyland Trucks, and DAF nameplates. PACCAR also designs and manufactures powertrains, provides financial services and information technology, and distributes truck parts related to its principal business.

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