Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)vsU.S. Bancorp (USB)
SBS
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
$33.29
-1.01%
UTILITIES · Cap: $118.61B
USB
U.S. Bancorp
$56.16
+1.01%
FINANCIAL SERVICES · Cap: $87.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 43% more annual revenue ($38.09B vs $26.65B). USB leads profitability with a 29.3% profit margin vs 22.2%. SBS appears more attractively valued with a PEG of 0.47. SBS earns a higher WallStSmart Score of 77/100 (B+).
SBS
Strong Buy77
out of 100
Grade: B+
USB
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-3.2%
Fair Value
$28.67
Current Price
$33.29
$4.62 premium
Intrinsic value data unavailable for USB.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Strong operational efficiency at 34.6%
Revenue surging 43.9% year-over-year
Earnings expanding 87.2% YoY
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 37.8%
Large-cap with strong market position
Keeps 29 of every $100 in revenue as profit
Generating 1.3B in free cash flow
Areas to Watch
Grey zone — moderate risk
Weak financial health signals
Premium valuation, high expectations priced in
Negative free cash flow — burning cash
Expensive relative to growth rate
4.6% revenue growth
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : SBS
The strongest argument for SBS centers on PEG Ratio, Operating Margin, Revenue Growth. Profitability is solid with margins at 22.2% and operating margin at 34.6%. Revenue growth of 43.9% demonstrates continued momentum.
Bull Case : USB
The strongest argument for USB centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 29.3% and operating margin at 37.8%.
Bear Case : SBS
The primary concerns for SBS are Altman Z-Score, Piotroski F-Score, P/E Ratio. A P/E of 67.2x leaves little room for execution misses.
Bear Case : USB
The primary concerns for USB are PEG Ratio, Revenue Growth, Altman Z-Score.
Key Dynamics to Monitor
SBS profiles as a growth stock while USB is a value play — different risk/reward profiles.
USB carries more volatility with a beta of 1.02 — expect wider price swings.
SBS is growing revenue faster at 43.9% — sustainability is the question.
USB generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
SBS scores higher overall (77/100 vs 71/100), backed by strong 22.2% margins and 43.9% revenue growth. Both earn "Strong Buy" and "Strong 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.
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
UTILITIES · UTILITIES - REGULATED WATER · USA
Companhia de Saneamento Basico do Estado de So Paulo - SABESP provides water and sewerage services to residential, commercial, industrial and government clients. The company is headquartered in So Paulo, Brazil.
U.S. Bancorp
FINANCIAL SERVICES · BANKS - REGIONAL · USA
U.S. Bancorp is an American bank holding company based in Minneapolis, Minnesota, and incorporated in Delaware. The company provides banking, investment, mortgage, trust, and payment services products to individuals, businesses, governmental entities, and other financial institutions.
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