PepsiCo Inc (PEP)vsSAP SE ADR (SAP)
PEP
PepsiCo Inc
$151.73
+0.76%
CONSUMER DEFENSIVE · Cap: $205.91B
SAP
SAP SE ADR
$168.95
-1.20%
TECHNOLOGY · Cap: $217.55B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 155% more annual revenue ($93.92B vs $36.80B). SAP leads profitability with a 19.5% profit margin vs 8.8%. SAP appears more attractively valued with a PEG of 0.79. PEP earns a higher WallStSmart Score of 59/100 (C).
PEP
Buy59
out of 100
Grade: C
SAP
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+45.9%
Fair Value
$280.33
Current Price
$151.73
$128.60 discount
Margin of Safety
-88.8%
Fair Value
$104.04
Current Price
$168.95
$64.91 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Earnings expanding 67.5% YoY
Generating 4.7B in free cash flow
Mega-cap, among the largest globally
Safe zone — low bankruptcy risk
Conservative balance sheet, low leverage
Growing faster than its price suggests
Strong operational efficiency at 29.2%
Generating 1.1B in free cash flow
Areas to Watch
Moderate valuation
Trading at 10.2x book value
Weak financial health signals
Expensive relative to growth rate
Moderate valuation
3.3% revenue growth
Comparative Analysis Report
WallStSmart ResearchBull Case : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS 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 : PEP
The primary concerns for PEP are P/E Ratio, Price/Book, Piotroski F-Score.
Bear Case : SAP
The primary concerns for SAP are P/E Ratio, Revenue Growth.
Key Dynamics to Monitor
SAP carries more volatility with a beta of 0.69 — expect wider price swings.
PEP is growing revenue faster at 5.6% — sustainability is the question.
PEP generates stronger free cash flow (4.7B), providing more financial flexibility.
Monitor BEVERAGES - NON-ALCOHOLIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PEP scores higher overall (59/100 vs 58/100). 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.
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.
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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