WallStSmart

SAP SE ADR (SAP)vsSoundHound AI Inc (SOUN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SAP SE ADR generates 20658% more annual revenue ($38.19B vs $183.99M). SAP leads profitability with a 20.4% profit margin vs -91.8%. SAP earns a higher WallStSmart Score of 64/100 (C+).

SAP

Buy

64

out of 100

Grade: C+

Growth: 7.3Profit: 8.5Value: 4.0Quality: 6.8
Piotroski: 6/9Altman Z: 3.11

SOUN

Avoid

27

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 5.3Quality: 7.0
Piotroski: 4/9Altman Z: -0.05
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SAPSignificantly Overvalued (-30.4%)

Margin of Safety

-30.4%

Fair Value

$150.68

Current Price

$189.65

$38.97 premium

UndervaluedFair: $150.68Overvalued
SOUNUndervalued (+4.0%)

Margin of Safety

+4.0%

Fair Value

$8.29

Current Price

$6.13

$2.16 discount

UndervaluedFair: $8.29Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SAP6 strengths · Avg: 8.8/10
Market CapQuality
$208.77B10/10

Mega-cap, among the largest globally

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
20.4%9/10

Keeps 20 of every $100 in revenue as profit

Operating MarginProfitability
27.6%8/10

Strong operational efficiency at 27.6%

EPS GrowthGrowth
30.6%8/10

Earnings expanding 30.6% YoY

Free Cash FlowQuality
$3.04B8/10

Generating 3.0B in free cash flow

SOUN2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
51.7%10/10

Revenue surging 51.7% year-over-year

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Areas to Watch

SAP2 concerns · Avg: 3.0/10
PEG RatioValuation
1.634/10

Expensive relative to growth rate

Price/BookValuation
60.6x2/10

Trading at 60.6x book value

SOUN4 concerns · Avg: 2.5/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Return on EquityProfitability
-36.7%2/10

ROE of -36.7% — below average capital efficiency

Free Cash FlowQuality
$-26.73M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.052/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : SAP

The strongest argument for SAP centers on Market Cap, Altman Z-Score, Profit Margin. Profitability is solid with margins at 20.4% and operating margin at 27.6%.

Bull Case : SOUN

The strongest argument for SOUN centers on Revenue Growth, Debt/Equity. Revenue growth of 51.7% demonstrates continued momentum.

Bear Case : SAP

The primary concerns for SAP are PEG Ratio, Price/Book.

Bear Case : SOUN

The primary concerns for SOUN are EPS Growth, Return on Equity, Free Cash Flow.

Key Dynamics to Monitor

SAP profiles as a mature stock while SOUN is a hypergrowth play — different risk/reward profiles.

SOUN carries more volatility with a beta of 2.81 — expect wider price swings.

SOUN is growing revenue faster at 51.7% — sustainability is the question.

SAP generates stronger free cash flow (3.0B), providing more financial flexibility.

Bottom Line

SAP scores higher overall (64/100 vs 27/100), backed by strong 20.4% margins. 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.

SAP SE ADR

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.

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SoundHound AI Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SoundHound AI, Inc. develops an independent voice artificial intelligence (AI) platform that enables businesses in all industries to deliver high-quality conversational experiences to their customers. The company is headquartered in Santa Clara, California.

Visit Website →

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