PepsiCo Inc (PEP)vsUBS Group AG (UBS)
PEP
PepsiCo Inc
$151.73
+0.76%
CONSUMER DEFENSIVE · Cap: $205.91B
UBS
UBS Group AG
$38.10
+3.00%
FINANCIAL SERVICES · Cap: $116.88B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 89% more annual revenue ($93.92B vs $49.60B). UBS leads profitability with a 15.7% profit margin vs 8.8%. UBS appears more attractively valued with a PEG of 0.44. UBS earns a higher WallStSmart Score of 77/100 (B+).
PEP
Buy59
out of 100
Grade: C
UBS
Strong Buy77
out of 100
Grade: B+
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
+61.2%
Fair Value
$109.04
Current Price
$38.10
$70.94 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
Growing faster than its price suggests
Reasonable price relative to book value
Strong operational efficiency at 54.6%
Earnings expanding 58.0% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Areas to Watch
Moderate valuation
Trading at 10.2x book value
Weak financial health signals
Expensive relative to growth rate
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : UBS
The strongest argument for UBS centers on PEG Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 15.7% and operating margin at 54.6%. Revenue growth of 12.4% demonstrates continued momentum.
Bear Case : PEP
The primary concerns for PEP are P/E Ratio, Price/Book, Piotroski F-Score.
Bear Case : UBS
The primary concerns for UBS are Free Cash Flow.
Key Dynamics to Monitor
PEP profiles as a value stock while UBS is a mature play — different risk/reward profiles.
UBS carries more volatility with a beta of 0.82 — expect wider price swings.
UBS is growing revenue faster at 12.4% — sustainability is the question.
PEP generates stronger free cash flow (4.7B), providing more financial flexibility.
Bottom Line
UBS scores higher overall (77/100 vs 59/100), backed by strong 15.7% margins and 12.4% revenue growth. PEP offers better value entry with a 45.9% margin of safety. Both earn "Strong 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.
UBS Group AG
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
UBS Group AG, provides advice and financial solutions to private, institutional and corporate clients worldwide. The company is headquartered in Zurich, Switzerland.
Compare with Other BEVERAGES - NON-ALCOHOLIC Stocks
Want to dig deeper into these stocks?