Centrais Elétricas Brasileiras S.A. - Eletrobrás (EBR-B)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)
EBR-B
Centrais Elétricas Brasileiras S.A. - Eletrobrás
$11.68
0.00%
UTILITIES · Cap: $24.82B
SBS
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
$33.63
+2.09%
UTILITIES · Cap: $118.61B
Smart Verdict
WallStSmart Research — data-driven comparison
Centrais Elétricas Brasileiras S.A. - Eletrobrás generates 12% more annual revenue ($42.64B vs $38.09B). SBS leads profitability with a 22.2% profit margin vs -14.1%. EBR-B trades at a lower P/E of 21.6x. SBS earns a higher WallStSmart Score of 77/100 (B+).
EBR-B
Avoid31
out of 100
Grade: F
SBS
Strong Buy77
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for EBR-B.
Margin of Safety
-3.2%
Fair Value
$28.67
Current Price
$33.63
$4.96 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Generating 3.7B in free cash flow
Growing faster than its price suggests
Strong operational efficiency at 34.6%
Revenue surging 43.9% year-over-year
Earnings expanding 87.2% YoY
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Areas to Watch
ROE of -5.2% — below average capital efficiency
Revenue declined 9.4%
Earnings declined 0.2%
Currently unprofitable
Grey zone — moderate risk
Weak financial health signals
Premium valuation, high expectations priced in
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : EBR-B
The strongest argument for EBR-B centers on Price/Book, Free Cash Flow.
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 : EBR-B
The primary concerns for EBR-B are Return on Equity, Revenue Growth, EPS Growth.
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
EBR-B profiles as a turnaround stock while SBS is a growth play — different risk/reward profiles.
EBR-B carries more volatility with a beta of 0.30 — expect wider price swings.
SBS is growing revenue faster at 43.9% — sustainability is the question.
EBR-B generates stronger free cash flow (3.7B), providing more financial flexibility.
Bottom Line
SBS scores higher overall (77/100 vs 31/100), backed by strong 22.2% margins and 43.9% revenue growth. Both earn "Strong 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.
Centrais Elétricas Brasileiras S.A. - Eletrobrás
UTILITIES · UTILITIES - RENEWABLE · USA
Centrais Eltricas Brasileiras SA - Eletrobras, is dedicated to the generation, transmission and distribution of electrical energy in Brazil. The company is headquartered in Rio de Janeiro, Brazil.
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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