GlaxoSmithKline PLC ADR (GSK)vsPepsiCo Inc (PEP)
GSK
GlaxoSmithKline PLC ADR
$54.71
+3.32%
HEALTHCARE · Cap: $104.12B
PEP
PepsiCo Inc
$151.73
+0.76%
CONSUMER DEFENSIVE · Cap: $205.91B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 188% more annual revenue ($93.92B vs $32.67B). GSK leads profitability with a 17.5% profit margin vs 8.8%. GSK appears more attractively valued with a PEG of 0.50. GSK earns a higher WallStSmart Score of 70/100 (B).
GSK
Strong Buy70
out of 100
Grade: B
PEP
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+66.0%
Fair Value
$172.22
Current Price
$54.71
$117.51 discount
Margin of Safety
+45.9%
Fair Value
$280.33
Current Price
$151.73
$128.60 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Every $100 of equity generates 43 in profit
Earnings expanding 54.7% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Generating 1.5B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Earnings expanding 67.5% YoY
Generating 4.7B in free cash flow
Areas to Watch
Trading at 10.1x book value
Elevated debt levels
Distress zone — elevated risk
Moderate valuation
Trading at 10.2x book value
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : GSK
The strongest argument for GSK centers on PEG Ratio, Return on Equity, EPS Growth. Profitability is solid with margins at 17.5% and operating margin at 18.9%. PEG of 0.50 suggests the stock is reasonably priced for its growth.
Bull Case : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.
Bear Case : GSK
The primary concerns for GSK are Price/Book, Debt/Equity, Altman Z-Score.
Bear Case : PEP
The primary concerns for PEP are P/E Ratio, Price/Book, Piotroski F-Score.
Key Dynamics to Monitor
GSK profiles as a mature stock while PEP is a value play — different risk/reward profiles.
PEP carries more volatility with a beta of 0.38 — expect wider price swings.
GSK is growing revenue faster at 6.2% — sustainability is the question.
PEP generates stronger free cash flow (4.7B), providing more financial flexibility.
Bottom Line
GSK scores higher overall (70/100 vs 59/100), backed by strong 17.5% margins. PEP offers better value entry with a 45.9% 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.
GlaxoSmithKline PLC ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
GlaxoSmithKline plc is dedicated to the creation, discovery, development, manufacture and marketing of pharmaceuticals, vaccines, over-the-counter drugs and health-related consumer products in the UK, US and internationally. The company is headquartered in Brentford, the United Kingdom.
PepsiCo Inc
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
PepsiCo, Inc. is an American based multinational food, snack, and beverage corporation headquartered in Harrison, New York, in the hamlet of Purchase. PepsiCo's business encompasses all aspects of the food and beverage market. It oversees the manufacturing, distribution, and marketing of its products.
Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
Want to dig deeper into these stocks?