WallStSmart

Centrais Elétricas Brasileiras S.A. - Eletrobrás (EBR-B)vsStem Inc (STEM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Centrais Elétricas Brasileiras S.A. - Eletrobrás generates 28705% more annual revenue ($42.64B vs $148.03M). EBR-B leads profitability with a -14.1% profit margin vs -49.4%. STEM earns a higher WallStSmart Score of 32/100 (F).

EBR-B

Avoid

31

out of 100

Grade: F

Growth: 3.3Profit: 2.0Value: 6.3Quality: 5.5
Piotroski: 4/9Altman Z: 1.12

STEM

Avoid

32

out of 100

Grade: F

Growth: 2.7Profit: 2.0Value: 6.7Quality: 5.0
Piotroski: 5/9Altman Z: -4.55
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EBR-BUndervalued (+22.2%)

Margin of Safety

+22.2%

Fair Value

$15.01

Current Price

$11.68

$3.33 discount

UndervaluedFair: $15.01Overvalued
STEMUndervalued (+59.6%)

Margin of Safety

+59.6%

Fair Value

$28.49

Current Price

$4.63

$23.86 discount

UndervaluedFair: $28.49Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EBR-B2 strengths · Avg: 9.0/10
Price/BookValuation
0.2x10/10

Reasonable price relative to book value

Free Cash FlowQuality
$3.66B8/10

Generating 3.7B in free cash flow

STEM1 strengths · Avg: 10.0/10
Debt/EquityHealth
-1.3610/10

Conservative balance sheet, low leverage

Areas to Watch

EBR-B4 concerns · Avg: 2.0/10
Return on EquityProfitability
-5.5%2/10

ROE of -5.5% — below average capital efficiency

Revenue GrowthGrowth
-9.4%2/10

Revenue declined 9.4%

EPS GrowthGrowth
-0.2%2/10

Earnings declined 0.2%

Altman Z-ScoreHealth
1.122/10

Distress zone — elevated risk

STEM4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$53.04M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-5921.0%2/10

ROE of -5921.0% — below average capital efficiency

Revenue GrowthGrowth
-12.3%2/10

Revenue declined 12.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : EBR-B

The strongest argument for EBR-B centers on Price/Book, Free Cash Flow.

Bull Case : STEM

The strongest argument for STEM centers on Debt/Equity.

Bear Case : EBR-B

The primary concerns for EBR-B are Return on Equity, Revenue Growth, EPS Growth.

Bear Case : STEM

The primary concerns for STEM are EPS Growth, Market Cap, Return on Equity.

Key Dynamics to Monitor

STEM carries more volatility with a beta of 1.51 — expect wider price swings.

EBR-B is growing revenue faster at -9.4% — sustainability is the question.

EBR-B generates stronger free cash flow (3.7B), providing more financial flexibility.

Monitor UTILITIES - RENEWABLE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

STEM scores higher overall (32/100 vs 31/100). EBR-B offers better value entry with a 22.2% margin of safety. Both earn "Avoid" 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.

Stem Inc

UTILITIES · UTILITIES - RENEWABLE · USA

Stem, Inc. is an energy technology company in the United States. The company is headquartered in Millbrae, California.

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