WallStSmart

Fresenius Medical Care Corporation (FMS)vsLumentum Holdings Inc (LITE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fresenius Medical Care Corporation generates 678% more annual revenue ($19.36B vs $2.49B). LITE leads profitability with a 17.7% profit margin vs 4.9%. LITE appears more attractively valued with a PEG of 0.63. LITE earns a higher WallStSmart Score of 74/100 (B).

FMS

Buy

50

out of 100

Grade: C-

Growth: 2.7Profit: 5.0Value: 9.3Quality: 6.0
Piotroski: 6/9Altman Z: 1.82

LITE

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.0Value: 5.0Quality: 3.8
Piotroski: 4/9Altman Z: 0.58
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FMSUndervalued (+76.3%)

Margin of Safety

+76.3%

Fair Value

$101.47

Current Price

$22.03

$79.44 discount

UndervaluedFair: $101.47Overvalued

Intrinsic value data unavailable for LITE.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FMS3 strengths · Avg: 9.3/10
P/E RatioValuation
11.5x10/10

Attractively priced relative to earnings

Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.708/10

Growing faster than its price suggests

LITE6 strengths · Avg: 9.0/10
Revenue GrowthGrowth
90.1%10/10

Revenue surging 90.1% year-over-year

EPS GrowthGrowth
71.1%10/10

Earnings expanding 71.1% YoY

Market CapQuality
$69.44B9/10

Large-cap with strong market position

Return on EquityProfitability
22.8%9/10

Every $100 of equity generates 23 in profit

PEG RatioValuation
0.638/10

Growing faster than its price suggests

Operating MarginProfitability
21.8%8/10

Strong operational efficiency at 21.8%

Areas to Watch

FMS4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.824/10

Grey zone — moderate risk

Return on EquityProfitability
7.8%3/10

ROE of 7.8% — below average capital efficiency

Profit MarginProfitability
4.9%3/10

4.9% margin — thin

Revenue GrowthGrowth
-5.5%2/10

Revenue declined 5.5%

LITE3 concerns · Avg: 2.0/10
P/E RatioValuation
156.3x2/10

Premium valuation, high expectations priced in

Price/BookValuation
76.2x2/10

Trading at 76.2x book value

Altman Z-ScoreHealth
0.582/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : FMS

The strongest argument for FMS centers on P/E Ratio, Price/Book, PEG Ratio. PEG of 0.70 suggests the stock is reasonably priced for its growth.

Bull Case : LITE

The strongest argument for LITE centers on Revenue Growth, EPS Growth, Market Cap. Profitability is solid with margins at 17.7% and operating margin at 21.8%. Revenue growth of 90.1% demonstrates continued momentum.

Bear Case : FMS

The primary concerns for FMS are Altman Z-Score, Return on Equity, Profit Margin. Thin 4.9% margins leave little buffer for downturns.

Bear Case : LITE

The primary concerns for LITE are P/E Ratio, Price/Book, Altman Z-Score. A P/E of 156.3x leaves little room for execution misses.

Key Dynamics to Monitor

FMS profiles as a value stock while LITE is a growth play — different risk/reward profiles.

LITE carries more volatility with a beta of 1.53 — expect wider price swings.

LITE is growing revenue faster at 90.1% — sustainability is the question.

LITE generates stronger free cash flow (204M), providing more financial flexibility.

Bottom Line

LITE scores higher overall (74/100 vs 50/100), backed by strong 17.7% margins and 90.1% revenue growth. FMS offers better value entry with a 76.3% 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.

Fresenius Medical Care Corporation

HEALTHCARE · MEDICAL CARE FACILITIES · USA

Fresenius Medical Care AG & Co. KGaA provides dialysis care and related dialysis care services in Germany, North America and internationally. The company is headquartered in Bad Homburg, Germany.

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Lumentum Holdings Inc

TECHNOLOGY · COMMUNICATION EQUIPMENT · USA

Lumentum Holdings Inc. manufactures and sells optical and photonic products in the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company is headquartered in San Jose, California.

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