WallStSmart

Sonic Automotive Inc (SAH)vsSea Ltd (SE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sea Ltd generates 51% more annual revenue ($22.94B vs $15.15B). SE leads profitability with a 6.9% profit margin vs 0.8%. SAH appears more attractively valued with a PEG of 0.39. SE earns a higher WallStSmart Score of 70/100 (B-).

SAH

Buy

51

out of 100

Grade: C-

Growth: 2.7Profit: 5.0Value: 8.7Quality: 4.8
Piotroski: 3/9

SE

Strong Buy

70

out of 100

Grade: B-

Growth: 10.0Profit: 6.0Value: 7.3Quality: 5.5
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SAHUndervalued (+67.2%)

Margin of Safety

+67.2%

Fair Value

$185.74

Current Price

$73.31

$112.43 discount

UndervaluedFair: $185.74Overvalued
SEUndervalued (+53.2%)

Margin of Safety

+53.2%

Fair Value

$244.86

Current Price

$84.88

$159.98 discount

UndervaluedFair: $244.86Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SAH2 strengths · Avg: 9.0/10
PEG RatioValuation
0.3910/10

Growing faster than its price suggests

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

SE4 strengths · Avg: 9.3/10
Revenue GrowthGrowth
38.4%10/10

Revenue surging 38.4% year-over-year

EPS GrowthGrowth
58.2%10/10

Earnings expanding 58.2% YoY

Market CapQuality
$51.99B9/10

Large-cap with strong market position

PEG RatioValuation
0.598/10

Growing faster than its price suggests

Areas to Watch

SAH4 concerns · Avg: 2.8/10
Profit MarginProfitability
0.8%3/10

0.8% margin — thin

Operating MarginProfitability
3.3%3/10

Operating margin of 3.3%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-0.6%2/10

Revenue declined 0.6%

SE3 concerns · Avg: 3.0/10
P/E RatioValuation
33.7x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Free Cash FlowQuality
$02/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : SAH

The strongest argument for SAH centers on PEG Ratio, Price/Book. PEG of 0.39 suggests the stock is reasonably priced for its growth.

Bull Case : SE

The strongest argument for SE centers on Revenue Growth, EPS Growth, Market Cap. Revenue growth of 38.4% demonstrates continued momentum. PEG of 0.59 suggests the stock is reasonably priced for its growth.

Bear Case : SAH

The primary concerns for SAH are Profit Margin, Operating Margin, Piotroski F-Score. Thin 0.8% margins leave little buffer for downturns.

Bear Case : SE

The primary concerns for SE are P/E Ratio, Profit Margin, Free Cash Flow.

Key Dynamics to Monitor

SAH profiles as a value stock while SE is a hypergrowth play — different risk/reward profiles.

SE carries more volatility with a beta of 1.70 — expect wider price swings.

SE is growing revenue faster at 38.4% — sustainability is the question.

Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SE scores higher overall (70/100 vs 51/100) and 38.4% revenue growth. SAH offers better value entry with a 67.2% 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.

Sonic Automotive Inc

CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA

Sonic Automotive, Inc. is an automobile retailer in the United States. The company is headquartered in Charlotte, North Carolina.

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Sea Ltd

CONSUMER CYCLICAL · INTERNET RETAIL · USA

Sea Limited is engaged in the digital entertainment, e-commerce and digital financial services businesses in Southeast Asia, Latin America, the rest of Asia and internationally. The company is headquartered in Singapore.

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