Starbucks Corporation (SBUX)vsSynchrony Financial (SYF)
SBUX
Starbucks Corporation
$104.93
+0.64%
CONSUMER CYCLICAL · Cap: $118.83B
SYF
Synchrony Financial
$73.14
-1.16%
FINANCIAL SERVICES · Cap: $25.48B
Smart Verdict
WallStSmart Research — data-driven comparison
Starbucks Corporation generates 289% more annual revenue ($38.47B vs $9.89B). SYF leads profitability with a 36.4% profit margin vs 3.9%. SBUX appears more attractively valued with a PEG of 1.79. SYF earns a higher WallStSmart Score of 77/100 (B+).
SBUX
Hold49
out of 100
Grade: D+
SYF
Strong Buy77
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+26.6%
Fair Value
$135.09
Current Price
$104.93
$30.16 discount
Intrinsic value data unavailable for SYF.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Earnings expanding 32.6% YoY
Attractively priced relative to earnings
Keeps 36 of every $100 in revenue as profit
Strong operational efficiency at 48.0%
Every $100 of equity generates 22 in profit
Reasonable price relative to book value
Earnings expanding 20.1% YoY
Areas to Watch
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
3.9% margin — thin
Weak financial health signals
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : SBUX
The strongest argument for SBUX centers on Market Cap, EPS Growth.
Bull Case : SYF
The strongest argument for SYF centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 36.4% and operating margin at 48.0%.
Bear Case : SBUX
The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 79.6x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.
Bear Case : SYF
The primary concerns for SYF are PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
SBUX profiles as a value stock while SYF is a mature play — different risk/reward profiles.
SYF carries more volatility with a beta of 1.36 — expect wider price swings.
SBUX is growing revenue faster at 8.8% — sustainability is the question.
SYF generates stronger free cash flow (2.2B), providing more financial flexibility.
Bottom Line
SYF scores higher overall (77/100 vs 49/100), backed by strong 36.4% margins. SBUX offers better value entry with a 26.6% margin of safety. Both earn "Strong 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.
Starbucks Corporation
CONSUMER CYCLICAL · RESTAURANTS · USA
Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.
Synchrony Financial
FINANCIAL SERVICES · CREDIT SERVICES · USA
Synchrony Financial is a consumer financial services company headquartered in Stamford, Connecticut, United States. The company offers consumer financing products, including credit, promotional financing and loyalty programs, installment lending to industries, and FDIC-insured consumer savings products through Synchrony Bank, its wholly owned online bank subsidiary.
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