WallStSmart

HSBC Holdings PLC ADR (HSBC)vsState Street Corp (STT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HSBC Holdings PLC ADR generates 339% more annual revenue ($63.22B vs $14.39B). HSBC leads profitability with a 35.2% profit margin vs 21.3%. STT appears more attractively valued with a PEG of 1.12. HSBC earns a higher WallStSmart Score of 77/100 (B+).

HSBC

Strong Buy

77

out of 100

Grade: B+

Growth: 10.0Profit: 7.5Value: 6.3Quality: 4.5
Piotroski: 4/9Altman Z: 0.33

STT

Buy

63

out of 100

Grade: C+

Growth: 4.0Profit: 7.0Value: 6.3Quality: 4.3
Piotroski: 5/9Altman Z: 0.60

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HSBC6 strengths · Avg: 9.7/10
Market CapQuality
$318.28B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
35.2%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
55.2%10/10

Strong operational efficiency at 55.2%

Revenue GrowthGrowth
58.4%10/10

Revenue surging 58.4% year-over-year

EPS GrowthGrowth
2398.0%10/10

Earnings expanding 2398.0% YoY

P/E RatioValuation
15.3x8/10

Attractively priced relative to earnings

STT4 strengths · Avg: 8.3/10
Profit MarginProfitability
21.3%9/10

Keeps 21 of every $100 in revenue as profit

P/E RatioValuation
15.6x8/10

Attractively priced relative to earnings

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
27.8%8/10

Strong operational efficiency at 27.8%

Areas to Watch

HSBC2 concerns · Avg: 1.5/10
Altman Z-ScoreHealth
0.332/10

Distress zone — elevated risk

Debt/EquityHealth
2.791/10

Elevated debt levels

STT4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.073/10

Elevated debt levels

Revenue GrowthGrowth
-2.8%2/10

Revenue declined 2.8%

EPS GrowthGrowth
-24.1%2/10

Earnings declined 24.1%

Free Cash FlowQuality
$-12.41B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : HSBC

The strongest argument for HSBC centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 35.2% and operating margin at 55.2%. Revenue growth of 58.4% demonstrates continued momentum.

Bull Case : STT

The strongest argument for STT centers on Profit Margin, P/E Ratio, Price/Book. Profitability is solid with margins at 21.3% and operating margin at 27.8%. PEG of 1.12 suggests the stock is reasonably priced for its growth.

Bear Case : HSBC

The primary concerns for HSBC are Altman Z-Score, Debt/Equity. Debt-to-equity of 2.79 is elevated, increasing financial risk.

Bear Case : STT

The primary concerns for STT are Debt/Equity, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

HSBC profiles as a growth stock while STT is a declining play — different risk/reward profiles.

STT carries more volatility with a beta of 1.38 — expect wider price swings.

HSBC is growing revenue faster at 58.4% — sustainability is the question.

HSBC generates stronger free cash flow (9.4B), providing more financial flexibility.

Bottom Line

HSBC scores higher overall (77/100 vs 63/100), backed by strong 35.2% margins and 58.4% revenue growth. 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.

HSBC Holdings PLC ADR

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

HSBC Holdings plc offers banking and financial products and services globally. The company is headquartered in London, the United Kingdom.

State Street Corp

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

State Street Corporation is an American financial services and bank holding company headquartered at One Lincoln Street in Boston with operations worldwide.

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