Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)vsYum! Brands Inc (YUM)
SBS
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
$33.29
-1.01%
UTILITIES · Cap: $118.61B
YUM
Yum! Brands Inc
$156.02
+1.38%
CONSUMER CYCLICAL · Cap: $43.78B
Smart Verdict
WallStSmart Research — data-driven comparison
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 349% more annual revenue ($38.09B vs $8.49B). SBS leads profitability with a 22.2% profit margin vs 20.5%. 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+
YUM
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-3.2%
Fair Value
$28.67
Current Price
$33.29
$4.62 premium
Margin of Safety
-77.2%
Fair Value
$89.76
Current Price
$156.02
$66.26 premium
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
Strong operational efficiency at 31.0%
Earnings expanding 72.2% YoY
Keeps 21 of every $100 in revenue as profit
15.2% revenue growth
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
Moderate valuation
ROE of 0.0% — below average capital efficiency
Weak financial health signals
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 : 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 : 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 : YUM
The primary concerns for YUM are PEG Ratio, P/E Ratio, Return on Equity.
Key Dynamics to Monitor
YUM carries more volatility with a beta of 0.66 — expect wider price swings.
SBS is growing revenue faster at 43.9% — sustainability is the question.
YUM generates stronger free cash flow (341M), providing more financial flexibility.
Monitor UTILITIES - REGULATED WATER industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SBS scores higher overall (77/100 vs 65/100), backed by strong 22.2% margins and 43.9% revenue growth. 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.
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.
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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