GDS Holdings Ltd (GDS)vsInfosys Ltd ADR (INFY)
GDS
GDS Holdings Ltd
$34.00
-6.16%
TECHNOLOGY · Cap: $6.52B
INFY
Infosys Ltd ADR
$12.40
-1.35%
TECHNOLOGY · Cap: $52.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Infosys Ltd ADR generates 67% more annual revenue ($20.16B vs $12.08B). GDS leads profitability with a 23.5% profit margin vs 16.4%. GDS appears more attractively valued with a PEG of 1.09. GDS earns a higher WallStSmart Score of 83/100 (A-).
GDS
Exceptional Buy83
out of 100
Grade: A-
INFY
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+18.1%
Fair Value
$56.72
Current Price
$34.00
$22.72 discount
Margin of Safety
+84.2%
Fair Value
$99.78
Current Price
$12.40
$87.38 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 207.0% YoY
Keeps 24 of every $100 in revenue as profit
Reasonable price relative to book value
Strong operational efficiency at 27.0%
Revenue surging 23.6% year-over-year
Every $100 of equity generates 34 in profit
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Attractively priced relative to earnings
Strong operational efficiency at 20.9%
Areas to Watch
Elevated debt levels
Negative free cash flow — burning cash
Distress zone — elevated risk
Expensive relative to growth rate
Trading at 10.2x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : GDS
The strongest argument for GDS centers on EPS Growth, Profit Margin, Price/Book. Profitability is solid with margins at 23.5% and operating margin at 27.0%. Revenue growth of 23.6% demonstrates continued momentum.
Bull Case : INFY
The strongest argument for INFY centers on Return on Equity, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 16.4% and operating margin at 20.9%.
Bear Case : GDS
The primary concerns for GDS are Debt/Equity, Free Cash Flow, Altman Z-Score.
Bear Case : INFY
The primary concerns for INFY are PEG Ratio, Price/Book.
Key Dynamics to Monitor
GDS profiles as a growth stock while INFY is a mature play — different risk/reward profiles.
GDS carries more volatility with a beta of 0.38 — expect wider price swings.
GDS is growing revenue faster at 23.6% — sustainability is the question.
INFY generates stronger free cash flow (833M), providing more financial flexibility.
Bottom Line
GDS scores higher overall (83/100 vs 58/100), backed by strong 23.5% margins and 23.6% revenue growth. INFY offers better value entry with a 84.2% margin of safety. Both earn "Exceptional 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.
GDS Holdings Ltd
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · China
GDS Holdings Limited, develops and operates data centers in the People's Republic of China. The company is headquartered in Shanghai, the People's Republic of China.
Infosys Ltd ADR
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
Infosys Limited offers next generation digital consulting, technology, outsourcing and services in North America, Europe, India and internationally. The company is headquartered in Bengaluru, India.
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