WallStSmart

Medtronic PLC (MDT)vsSAP SE ADR (SAP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SAP SE ADR generates 5% more annual revenue ($37.34B vs $35.48B). SAP leads profitability with a 19.6% profit margin vs 13.0%. SAP appears more attractively valued with a PEG of 0.73. SAP earns a higher WallStSmart Score of 62/100 (C+).

MDT

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 6.5Value: 6.7Quality: 5.0

SAP

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 8.5Value: 5.3Quality: 7.5
Piotroski: 5/9Altman Z: 3.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MDTUndervalued (+27.7%)

Margin of Safety

+27.7%

Fair Value

$107.79

Current Price

$76.15

$31.64 discount

UndervaluedFair: $107.79Overvalued
SAPSignificantly Overvalued (-16.9%)

Margin of Safety

-16.9%

Fair Value

$168.01

Current Price

$173.70

$5.69 premium

UndervaluedFair: $168.01Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MDT4 strengths · Avg: 8.3/10
Market CapQuality
$100.09B9/10

Large-cap with strong market position

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Operating MarginProfitability
20.0%8/10

Strong operational efficiency at 20.0%

Free Cash FlowQuality
$2.30B8/10

Generating 2.3B in free cash flow

SAP6 strengths · Avg: 9.2/10
Market CapQuality
$204.11B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
30.0%10/10

Strong operational efficiency at 30.0%

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.738/10

Growing faster than its price suggests

Free Cash FlowQuality
$3.27B8/10

Generating 3.3B in free cash flow

Areas to Watch

MDT1 concerns · Avg: 2.0/10
EPS GrowthGrowth
-11.8%2/10

Earnings declined 11.8%

SAP0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : MDT

The strongest argument for MDT centers on Market Cap, Price/Book, Operating Margin. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bull Case : SAP

The strongest argument for SAP centers on Market Cap, Operating Margin, Altman Z-Score. Profitability is solid with margins at 19.6% and operating margin at 30.0%. PEG of 0.73 suggests the stock is reasonably priced for its growth.

Bear Case : MDT

The primary concerns for MDT are EPS Growth.

Bear Case : SAP

No major red flags identified for SAP, but monitor valuation.

Key Dynamics to Monitor

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

SAP carries more volatility with a beta of 0.71 — expect wider price swings.

MDT is growing revenue faster at 8.7% — sustainability is the question.

SAP generates stronger free cash flow (3.3B), providing more financial flexibility.

Bottom Line

SAP scores higher overall (62/100 vs 58/100), backed by strong 19.6% margins. MDT offers better value entry with a 27.7% margin of safety. Both earn "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.

Medtronic PLC

HEALTHCARE · MEDICAL DEVICES · USA

Medtronic plc is an American-Irish registered medical device company that primarily operates in the United States. Medtronic has an operational and executive headquarters in Fridley, Minnesota in the US.

SAP SE ADR

TECHNOLOGY · SOFTWARE - APPLICATION · USA

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

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