WallStSmart

PepsiCo Inc (PEP)vsSunlands Technology Group (STG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PepsiCo Inc generates 4738% more annual revenue ($95.45B vs $1.97B). STG leads profitability with a 18.6% profit margin vs 9.2%. STG trades at a lower P/E of 0.9x. PEP earns a higher WallStSmart Score of 62/100 (C+).

PEP

Buy

62

out of 100

Grade: C+

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

STG

Buy

57

out of 100

Grade: C

Growth: 2.7Profit: 8.5Value: 6.7Quality: 6.5
Piotroski: 7/9Altman Z: 1.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PEPFair Value (-2.5%)

Margin of Safety

-2.5%

Fair Value

$138.40

Current Price

$141.92

$3.52 premium

UndervaluedFair: $138.40Overvalued

Intrinsic value data unavailable for STG.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

STG5 strengths · Avg: 9.4/10
P/E RatioValuation
0.9x10/10

Attractively priced relative to earnings

Price/BookValuation
0.3x10/10

Reasonable price relative to book value

Return on EquityProfitability
36.4%10/10

Every $100 of equity generates 36 in profit

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

Operating MarginProfitability
22.0%8/10

Strong operational efficiency at 22.0%

Areas to Watch

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

STG4 concerns · Avg: 2.8/10
EPS GrowthGrowth
3.2%4/10

3.2% earnings growth

Market CapQuality
$46.59M3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-9.6%2/10

Revenue declined 9.6%

Altman Z-ScoreHealth
1.262/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : PEP

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

Bull Case : STG

The strongest argument for STG centers on P/E Ratio, Price/Book, Return on Equity. Profitability is solid with margins at 18.6% and operating margin at 22.0%.

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.

Bear Case : STG

The primary concerns for STG are EPS Growth, Market Cap, Revenue Growth.

Key Dynamics to Monitor

PEP profiles as a value stock while STG is a declining play — different risk/reward profiles.

STG carries more volatility with a beta of 1.42 — expect wider price swings.

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

STG generates stronger free cash flow (143M), providing more financial flexibility.

Bottom Line

PEP scores higher overall (62/100 vs 57/100). 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.

Sunlands Technology Group

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China

Sunlands Technology Group, provides online education services in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.

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