WallStSmart

Graham Holdings Co (GHC)vsSunlands Technology Group (STG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Graham Holdings Co generates 142% more annual revenue ($4.91B vs $2.03B). STG leads profitability with a 18.9% profit margin vs 5.9%. STG trades at a lower P/E of 1.1x. STG earns a higher WallStSmart Score of 69/100 (B-).

GHC

Buy

51

out of 100

Grade: C-

Growth: 4.0Profit: 4.5Value: 4.7Quality: 7.5
Piotroski: 4/9Altman Z: 3.27

STG

Strong Buy

69

out of 100

Grade: B-

Growth: 6.0Profit: 9.0Value: 8.3Quality: 6.0
Piotroski: 6/9Altman Z: 0.67
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GHCSignificantly Overvalued (-145.2%)

Margin of Safety

-145.2%

Fair Value

$452.34

Current Price

$1070.23

$617.89 premium

UndervaluedFair: $452.34Overvalued
STGUndervalued (+97.4%)

Margin of Safety

+97.4%

Fair Value

$194.22

Current Price

$3.86

$190.36 discount

UndervaluedFair: $194.22Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GHC4 strengths · Avg: 9.3/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.2710/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.269/10

Conservative balance sheet, low leverage

P/E RatioValuation
16.0x8/10

Attractively priced relative to earnings

STG6 strengths · Avg: 9.2/10
P/E RatioValuation
1.1x10/10

Attractively priced relative to earnings

Price/BookValuation
0.4x10/10

Reasonable price relative to book value

Return on EquityProfitability
52.8%10/10

Every $100 of equity generates 53 in profit

Debt/EquityHealth
0.159/10

Conservative balance sheet, low leverage

Operating MarginProfitability
26.5%8/10

Strong operational efficiency at 26.5%

EPS GrowthGrowth
42.6%8/10

Earnings expanding 42.6% YoY

Areas to Watch

GHC4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
0.4%4/10

0.4% revenue growth

Return on EquityProfitability
6.5%3/10

ROE of 6.5% — below average capital efficiency

Profit MarginProfitability
5.9%3/10

5.9% margin — thin

PEG RatioValuation
4.042/10

Expensive relative to growth rate

STG2 concerns · Avg: 2.5/10
Market CapQuality
$62.35M3/10

Smaller company, higher risk/reward

Altman Z-ScoreHealth
0.672/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : GHC

The strongest argument for GHC centers on Price/Book, Altman Z-Score, Debt/Equity.

Bull Case : STG

The strongest argument for STG centers on P/E Ratio, Price/Book, Return on Equity. Profitability is solid with margins at 18.9% and operating margin at 26.5%.

Bear Case : GHC

The primary concerns for GHC are Revenue Growth, Return on Equity, Profit Margin.

Bear Case : STG

The primary concerns for STG are Market Cap, Altman Z-Score.

Key Dynamics to Monitor

GHC profiles as a value stock while STG is a mature play — different risk/reward profiles.

STG carries more volatility with a beta of 1.13 — expect wider price swings.

STG is growing revenue faster at 6.5% — sustainability is the question.

Monitor EDUCATION & TRAINING SERVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

STG scores higher overall (69/100 vs 51/100), backed by strong 18.9% margins. 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.

Graham Holdings Co

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Graham Holdings Company is a diversified global media and education company. The company is headquartered in Arlington, Virginia.

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Sunlands Technology Group

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China

Sunlands Technology Group, provides online education services in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.

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