WallStSmart

Ferrari NV (RACE)vsYum! Brands Inc (YUM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Yum! Brands Inc generates 19% more annual revenue ($8.49B vs $7.15B). RACE leads profitability with a 22.4% profit margin vs 20.5%. YUM appears more attractively valued with a PEG of 1.93. YUM earns a higher WallStSmart Score of 65/100 (C+).

RACE

Hold

48

out of 100

Grade: D+

Growth: 4.7Profit: 9.0Value: 2.7Quality: 7.0
Piotroski: 4/9Altman Z: 2.81

YUM

Buy

65

out of 100

Grade: C+

Growth: 8.0Profit: 8.0Value: 4.0Quality: 4.5
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RACESignificantly Overvalued (-48.3%)

Margin of Safety

-48.3%

Fair Value

$258.26

Current Price

$337.46

$79.20 premium

UndervaluedFair: $258.26Overvalued
YUMSignificantly Overvalued (-76.3%)

Margin of Safety

-76.3%

Fair Value

$90.20

Current Price

$151.95

$61.75 premium

UndervaluedFair: $90.20Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RACE5 strengths · Avg: 8.8/10
Return on EquityProfitability
42.9%10/10

Every $100 of equity generates 43 in profit

Market CapQuality
$60.20B9/10

Large-cap with strong market position

Profit MarginProfitability
22.4%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
28.6%8/10

Strong operational efficiency at 28.6%

Free Cash FlowQuality
$1.41B8/10

Generating 1.4B in free cash flow

YUM4 strengths · Avg: 9.3/10
Operating MarginProfitability
31.0%10/10

Strong operational efficiency at 31.0%

EPS GrowthGrowth
72.2%10/10

Earnings expanding 72.2% YoY

Profit MarginProfitability
20.5%9/10

Keeps 21 of every $100 in revenue as profit

Revenue GrowthGrowth
15.2%8/10

15.2% revenue growth

Areas to Watch

RACE4 concerns · Avg: 3.5/10
P/E RatioValuation
32.5x4/10

Premium valuation, high expectations priced in

Price/BookValuation
13.2x4/10

Trading at 13.2x book value

Revenue GrowthGrowth
3.8%4/10

3.8% revenue growth

PEG RatioValuation
3.752/10

Expensive relative to growth rate

YUM4 concerns · Avg: 3.5/10
PEG RatioValuation
1.934/10

Expensive relative to growth rate

P/E RatioValuation
25.4x4/10

Moderate valuation

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : RACE

The strongest argument for RACE centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 22.4% and operating margin at 28.6%.

Bull Case : YUM

The strongest argument for YUM centers on Operating Margin, EPS Growth, Profit Margin. Profitability is solid with margins at 20.5% and operating margin at 31.0%. Revenue growth of 15.2% demonstrates continued momentum.

Bear Case : RACE

The primary concerns for RACE are P/E Ratio, Price/Book, Revenue Growth.

Bear Case : YUM

The primary concerns for YUM are PEG Ratio, P/E Ratio, Return on Equity.

Key Dynamics to Monitor

RACE profiles as a value stock while YUM is a growth play — different risk/reward profiles.

YUM carries more volatility with a beta of 0.60 — expect wider price swings.

YUM is growing revenue faster at 15.2% — sustainability is the question.

RACE generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

YUM scores higher overall (65/100 vs 48/100), backed by strong 20.5% margins and 15.2% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ferrari NV

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Ferrari NV designs, designs, produces and sells high performance sports cars. The company is headquartered in Maranello, Italy.

Yum! Brands Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Yum! Brands, Inc. is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.

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