WallStSmart

PepsiCo Inc (PEP)vsUdemy Inc (UDMY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PepsiCo Inc generates 11985% more annual revenue ($95.45B vs $789.84M). PEP leads profitability with a 9.2% profit margin vs 0.5%. PEP trades at a lower P/E of 22.3x. 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

UDMY

Avoid

35

out of 100

Grade: F

Growth: 4.0Profit: 4.0Value: 5.0Quality: 5.0
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
UDMYUndervalued (+15.4%)

Margin of Safety

+15.4%

Fair Value

$5.46

Current Price

$4.63

$0.83 discount

UndervaluedFair: $5.46Overvalued

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

UDMY0 strengths · Avg: 0/10

No standout strengths identified

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

UDMY4 concerns · Avg: 3.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$675.68M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.9%3/10

ROE of 1.9% — below average capital efficiency

Profit MarginProfitability
0.5%3/10

0.5% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : PEP

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

Bull Case : UDMY

UDMY has a balanced fundamental profile.

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 : UDMY

The primary concerns for UDMY are EPS Growth, Market Cap, Return on Equity. A P/E of 154.3x leaves little room for execution misses. Thin 0.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

UDMY carries more volatility with a beta of 1.58 — expect wider price swings.

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

UDMY generates stronger free cash flow (15M), providing more financial flexibility.

Monitor BEVERAGES - NON-ALCOHOLIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PEP scores higher overall (62/100 vs 35/100). UDMY offers better value entry with a 15.4% margin of safety. Both earn "Buy" and "Avoid" 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.

Udemy Inc

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Udemy, Inc. operates a platform for teaching and learning skills in the United States and internationally. The company is headquartered in San Francisco, California.

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