PepsiCo Inc (PEP)vsToronto Dominion Bank (TD)
PEP
PepsiCo Inc
$151.73
+0.76%
CONSUMER DEFENSIVE · Cap: $205.91B
TD
Toronto Dominion Bank
$93.53
-0.11%
FINANCIAL SERVICES · Cap: $156.82B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 42% more annual revenue ($93.92B vs $65.98B). TD leads profitability with a 33.0% profit margin vs 8.8%. TD appears more attractively valued with a PEG of 1.01. TD earns a higher WallStSmart Score of 83/100 (A-).
PEP
Buy59
out of 100
Grade: C
TD
Exceptional Buy83
out of 100
Grade: A-
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
+77.4%
Fair Value
$420.26
Current Price
$93.53
$326.73 discount
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
Attractively priced relative to earnings
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 35.9%
Earnings expanding 51.3% YoY
Generating 35.1B in free cash flow
Large-cap with strong market position
Areas to Watch
Moderate valuation
Trading at 10.2x book value
Weak financial health signals
Expensive relative to growth rate
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : TD
The strongest argument for TD centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 33.0% and operating margin at 35.9%. Revenue growth of 21.1% demonstrates continued momentum.
Bear Case : PEP
The primary concerns for PEP are P/E Ratio, Price/Book, Piotroski F-Score.
Bear Case : TD
The primary concerns for TD are Altman Z-Score, Debt/Equity. Debt-to-equity of 2.14 is elevated, increasing financial risk.
Key Dynamics to Monitor
PEP profiles as a value stock while TD is a growth play — different risk/reward profiles.
TD carries more volatility with a beta of 0.85 — expect wider price swings.
TD is growing revenue faster at 21.1% — sustainability is the question.
TD generates stronger free cash flow (35.1B), providing more financial flexibility.
Bottom Line
TD scores higher overall (83/100 vs 59/100), backed by strong 33.0% margins and 21.1% revenue growth. PEP offers better value entry with a 45.9% margin of safety. Both earn "Exceptional 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.
Toronto Dominion Bank
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Toronto-Dominion Bank offers a variety of personal and commercial banking products and services in Canada and the United States. The company is headquartered in Toronto, Canada.
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