Starbucks Corporation (SBUX)vsTE Connectivity Ltd (TEL)
SBUX
Starbucks Corporation
$104.93
+0.64%
CONSUMER CYCLICAL · Cap: $118.83B
TEL
TE Connectivity Ltd
$206.20
-1.84%
TECHNOLOGY · Cap: $60.19B
Smart Verdict
WallStSmart Research — data-driven comparison
Starbucks Corporation generates 106% more annual revenue ($38.47B vs $18.70B). TEL leads profitability with a 15.5% profit margin vs 3.9%. TEL appears more attractively valued with a PEG of 1.12. TEL earns a higher WallStSmart Score of 76/100 (B+).
SBUX
Hold49
out of 100
Grade: D+
TEL
Strong Buy76
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
Margin of Safety
-60.0%
Fair Value
$142.79
Current Price
$206.20
$63.41 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Earnings expanding 32.6% YoY
Earnings expanding 7150.0% YoY
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Strong operational efficiency at 20.3%
Areas to Watch
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
3.9% margin — thin
Weak financial health signals
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : SBUX
The strongest argument for SBUX centers on Market Cap, EPS Growth.
Bull Case : TEL
The strongest argument for TEL centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 15.5% and operating margin at 20.3%. Revenue growth of 14.5% demonstrates continued momentum.
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 : TEL
No major red flags identified for TEL, but monitor valuation.
Key Dynamics to Monitor
SBUX profiles as a value stock while TEL is a mature play — different risk/reward profiles.
TEL carries more volatility with a beta of 1.18 — expect wider price swings.
TEL is growing revenue faster at 14.5% — sustainability is the question.
TEL generates stronger free cash flow (677M), providing more financial flexibility.
Bottom Line
TEL scores higher overall (76/100 vs 49/100), backed by strong 15.5% margins and 14.5% revenue growth. 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.
TE Connectivity Ltd
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.
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