WallStSmart

MGP Ingredients Inc (MGPI)vsPepsiCo Inc (PEP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PepsiCo Inc generates 18215% more annual revenue ($95.45B vs $521.15M). PEP leads profitability with a 9.2% profit margin vs -46.0%. MGPI appears more attractively valued with a PEG of 1.15. PEP earns a higher WallStSmart Score of 62/100 (C+).

MGPI

Hold

46

out of 100

Grade: D+

Growth: 2.0Profit: 4.0Value: 5.7Quality: 6.5
Piotroski: 3/9Altman Z: 1.83

PEP

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 8.0Value: 4.7Quality: 4.0
Piotroski: 3/9Altman Z: 2.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MGPIUndervalued (+10.6%)

Margin of Safety

+10.6%

Fair Value

$29.26

Current Price

$16.51

$12.75 discount

UndervaluedFair: $29.26Overvalued
PEPFair Value (-2.5%)

Margin of Safety

-2.5%

Fair Value

$138.40

Current Price

$141.92

$3.52 premium

UndervaluedFair: $138.40Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MGPI1 strengths · Avg: 10.0/10
Price/BookValuation
0.6x10/10

Reasonable price relative to book value

PEP3 strengths · Avg: 9.0/10
Return on EquityProfitability
40.9%10/10

Every $100 of equity generates 41 in profit

Market CapQuality
$194.11B9/10

Large-cap with strong market position

EPS GrowthGrowth
27.8%8/10

Earnings expanding 27.8% YoY

Areas to Watch

MGPI4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.834/10

Grey zone — moderate risk

Market CapQuality
$352.63M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-41.2%2/10

ROE of -41.2% — below average capital efficiency

PEP4 concerns · Avg: 3.3/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Price/BookValuation
9.1x4/10

Trading at 9.1x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-406.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : MGPI

The strongest argument for MGPI centers on Price/Book. PEG of 1.15 suggests the stock is reasonably priced for its growth.

Bull Case : PEP

The strongest argument for PEP centers on Return on Equity, Market Cap, EPS Growth.

Bear Case : MGPI

The primary concerns for MGPI are Altman Z-Score, Market Cap, Piotroski F-Score.

Bear Case : PEP

The primary concerns for PEP are PEG Ratio, Price/Book, Piotroski F-Score. Debt-to-equity of 2.47 is elevated, increasing financial risk.

Key Dynamics to Monitor

MGPI profiles as a turnaround stock while PEP is a value play — different risk/reward profiles.

MGPI carries more volatility with a beta of 0.46 — expect wider price swings.

PEP is growing revenue faster at 8.5% — sustainability is the question.

MGPI generates stronger free cash flow (3M), providing more financial flexibility.

Bottom Line

PEP scores higher overall (62/100 vs 46/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

MGP Ingredients Inc

CONSUMER DEFENSIVE · BEVERAGES - WINERIES & DISTILLERIES · USA

MGP Ingredients, Inc. produces and supplies distilled spirits and specialty wheat proteins and starch food ingredients. The company is headquartered in Atchison, Kansas.

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.

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