WallStSmart

Starbucks Corporation (SBUX)vsToronto Dominion Bank (TD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Toronto Dominion Bank generates 75% more annual revenue ($65.98B vs $37.70B). TD leads profitability with a 33.0% profit margin vs 3.6%. TD appears more attractively valued with a PEG of 1.01. TD earns a higher WallStSmart Score of 83/100 (A-).

SBUX

Hold

39

out of 100

Grade: F

Growth: 4.0Profit: 5.0Value: 4.7Quality: 4.3
Piotroski: 2/9Altman Z: 1.07

TD

Exceptional Buy

83

out of 100

Grade: A-

Growth: 9.3Profit: 8.0Value: 10.0Quality: 3.0
Piotroski: 5/9Altman Z: -0.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SBUXSignificantly Overvalued (-1135.9%)

Margin of Safety

-1135.9%

Fair Value

$8.02

Current Price

$92.70

$84.68 premium

UndervaluedFair: $8.02Overvalued
TDUndervalued (+77.4%)

Margin of Safety

+77.4%

Fair Value

$420.26

Current Price

$94.30

$325.96 discount

UndervaluedFair: $420.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SBUX2 strengths · Avg: 8.5/10
Market CapQuality
$104.79B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.27B8/10

Generating 1.3B in free cash flow

TD6 strengths · Avg: 9.8/10
P/E RatioValuation
10.4x10/10

Attractively priced relative to earnings

Profit MarginProfitability
33.0%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
35.9%10/10

Strong operational efficiency at 35.9%

EPS GrowthGrowth
51.3%10/10

Earnings expanding 51.3% YoY

Free Cash FlowQuality
$35.15B10/10

Generating 35.1B in free cash flow

Market CapQuality
$156.82B9/10

Large-cap with strong market position

Areas to Watch

SBUX4 concerns · Avg: 3.3/10
PEG RatioValuation
1.534/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
3.6%3/10

3.6% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

TD2 concerns · Avg: 1.5/10
Altman Z-ScoreHealth
-0.642/10

Distress zone — elevated risk

Debt/EquityHealth
2.141/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : SBUX

The strongest argument for SBUX centers on Market Cap, Free Cash Flow.

Bull Case : TD

The strongest argument for TD centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 33.0% and operating margin at 35.9%. Revenue growth of 21.1% demonstrates continued momentum.

Bear Case : SBUX

The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 78.0x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.

Bear Case : TD

The primary concerns for TD are Altman Z-Score, Debt/Equity. Debt-to-equity of 2.14 is elevated, increasing financial risk.

Key Dynamics to Monitor

SBUX profiles as a value stock while TD is a growth play — different risk/reward profiles.

SBUX carries more volatility with a beta of 0.93 — expect wider price swings.

TD is growing revenue faster at 21.1% — sustainability is the question.

TD generates stronger free cash flow (35.1B), providing more financial flexibility.

Bottom Line

TD scores higher overall (83/100 vs 39/100), backed by strong 33.0% margins and 21.1% revenue growth. Both earn "Exceptional 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.

Toronto Dominion Bank

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Toronto-Dominion Bank offers a variety of personal and commercial banking products and services in Canada and the United States. The company is headquartered in Toronto, Canada.

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