WallStSmart

HSBC Holdings PLC ADR (HSBC)vsUBS Group AG (UBS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HSBC Holdings PLC ADR generates 27% more annual revenue ($63.22B vs $49.60B). HSBC leads profitability with a 35.2% profit margin vs 15.7%. UBS appears more attractively valued with a PEG of 0.45. UBS earns a higher WallStSmart Score of 77/100 (B+).

HSBC

Strong Buy

77

out of 100

Grade: B+

Growth: 10.0Profit: 9.0Value: 10.0Quality: 5.0
Piotroski: 4/9Altman Z: -0.41

UBS

Strong Buy

77

out of 100

Grade: B+

Growth: 8.0Profit: 8.5Value: 10.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HSBCUndervalued (+68.7%)

Margin of Safety

+68.7%

Fair Value

$280.80

Current Price

$76.95

$203.85 discount

UndervaluedFair: $280.80Overvalued
UBSUndervalued (+61.7%)

Margin of Safety

+61.7%

Fair Value

$110.45

Current Price

$36.73

$73.72 discount

UndervaluedFair: $110.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HSBC6 strengths · Avg: 9.7/10
Market CapQuality
$274.80B10/10

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
13.3x8/10

Attractively priced relative to earnings

UBS6 strengths · Avg: 9.5/10
PEG RatioValuation
0.4510/10

Growing faster than its price suggests

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
54.6%10/10

Strong operational efficiency at 54.6%

EPS GrowthGrowth
58.0%10/10

Earnings expanding 58.0% YoY

Market CapQuality
$116.05B9/10

Large-cap with strong market position

P/E RatioValuation
15.6x8/10

Attractively priced relative to earnings

Areas to Watch

HSBC1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
-0.412/10

Distress zone — elevated risk

UBS1 concerns · Avg: 2.0/10
Free Cash FlowQuality
$-11.34B2/10

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 : UBS

The strongest argument for UBS centers on PEG Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 15.7% and operating margin at 54.6%. Revenue growth of 12.4% demonstrates continued momentum.

Bear Case : HSBC

The primary concerns for HSBC are Altman Z-Score.

Bear Case : UBS

The primary concerns for UBS are Free Cash Flow.

Key Dynamics to Monitor

HSBC profiles as a growth stock while UBS is a mature play — different risk/reward profiles.

UBS carries more volatility with a beta of 0.82 — 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 77/100), backed by strong 35.2% margins and 58.4% revenue growth. UBS offers better value entry with a 61.7% margin of safety. Both earn "Strong Buy" and "Strong 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.

UBS Group AG

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

UBS Group AG, provides advice and financial solutions to private, institutional and corporate clients worldwide. The company is headquartered in Zurich, Switzerland.

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