WallStSmart

GlaxoSmithKline PLC ADR (GSK)vsSAP SE ADR (SAP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SAP SE ADR generates 13% more annual revenue ($36.80B vs $32.67B). SAP leads profitability with a 19.5% profit margin vs 17.5%. GSK appears more attractively valued with a PEG of 0.50. GSK earns a higher WallStSmart Score of 70/100 (B).

GSK

Strong Buy

70

out of 100

Grade: B

Growth: 6.7Profit: 8.5Value: 10.0Quality: 5.5
Piotroski: 5/9Altman Z: 1.24

SAP

Buy

58

out of 100

Grade: C

Growth: 5.3Profit: 8.5Value: 7.3Quality: 8.0
Piotroski: 6/9Altman Z: 3.09
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GSKUndervalued (+66.0%)

Margin of Safety

+66.0%

Fair Value

$172.22

Current Price

$54.71

$117.51 discount

UndervaluedFair: $172.22Overvalued
SAPSignificantly Overvalued (-88.8%)

Margin of Safety

-88.8%

Fair Value

$104.04

Current Price

$168.95

$64.91 premium

UndervaluedFair: $104.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GSK6 strengths · Avg: 9.2/10
PEG RatioValuation
0.5010/10

Growing faster than its price suggests

Return on EquityProfitability
43.3%10/10

Every $100 of equity generates 43 in profit

EPS GrowthGrowth
54.7%10/10

Earnings expanding 54.7% YoY

Market CapQuality
$104.12B9/10

Large-cap with strong market position

P/E RatioValuation
14.1x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.48B8/10

Generating 1.5B in free cash flow

SAP6 strengths · Avg: 8.8/10
Market CapQuality
$217.55B10/10

Mega-cap, among the largest globally

Altman Z-ScoreHealth
3.0910/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.798/10

Growing faster than its price suggests

Operating MarginProfitability
29.2%8/10

Strong operational efficiency at 29.2%

Free Cash FlowQuality
$1.09B8/10

Generating 1.1B in free cash flow

Areas to Watch

GSK3 concerns · Avg: 3.0/10
Price/BookValuation
10.1x4/10

Trading at 10.1x book value

Debt/EquityHealth
1.103/10

Elevated debt levels

Altman Z-ScoreHealth
1.242/10

Distress zone — elevated risk

SAP2 concerns · Avg: 4.0/10
P/E RatioValuation
26.3x4/10

Moderate valuation

Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

Comparative Analysis Report

WallStSmart Research

Bull 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 : SAP

The strongest argument for SAP centers on Market Cap, Altman Z-Score, Debt/Equity. Profitability is solid with margins at 19.5% and operating margin at 29.2%. PEG of 0.79 suggests the stock is reasonably priced for its growth.

Bear Case : GSK

The primary concerns for GSK are Price/Book, Debt/Equity, Altman Z-Score.

Bear Case : SAP

The primary concerns for SAP are P/E Ratio, Revenue Growth.

Key Dynamics to Monitor

GSK profiles as a mature stock while SAP is a value play — different risk/reward profiles.

SAP carries more volatility with a beta of 0.69 — expect wider price swings.

GSK is growing revenue faster at 6.2% — sustainability is the question.

GSK generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

GSK scores higher overall (70/100 vs 58/100), backed by strong 17.5% 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.

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.

SAP SE ADR

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.

Visit Website →

Want to dig deeper into these stocks?