Spotify Technology SA (SPOT)vsTIM Participacoes SA (TIMB)
SPOT
Spotify Technology SA
$496.95
+0.68%
COMMUNICATION SERVICES · Cap: $99.11B
TIMB
TIM Participacoes SA
$21.41
-1.69%
COMMUNICATION SERVICES · Cap: $9.90B
Smart Verdict
WallStSmart Research — data-driven comparison
TIM Participacoes SA generates 54% more annual revenue ($27.04B vs $17.53B). TIMB leads profitability with a 16.0% profit margin vs 15.4%. TIMB appears more attractively valued with a PEG of 1.29. TIMB earns a higher WallStSmart Score of 64/100 (C+).
SPOT
Buy64
out of 100
Grade: C+
TIMB
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-64.9%
Fair Value
$295.49
Current Price
$496.95
$201.46 premium
Margin of Safety
-6.9%
Fair Value
$25.37
Current Price
$21.41
$3.96 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 34 in profit
Earnings expanding 222.4% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Strong operational efficiency at 24.3%
Generating 1.3B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 10.4x book value
Trading at 11.1x book value
3.2% earnings growth
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : SPOT
The strongest argument for SPOT centers on Return on Equity, EPS Growth, Debt/Equity. Profitability is solid with margins at 15.4% and operating margin at 15.8%.
Bull Case : TIMB
The strongest argument for TIMB centers on P/E Ratio, Operating Margin, Free Cash Flow. Profitability is solid with margins at 16.0% and operating margin at 24.3%. PEG of 1.29 suggests the stock is reasonably priced for its growth.
Bear Case : SPOT
The primary concerns for SPOT are PEG Ratio, P/E Ratio, Price/Book.
Bear Case : TIMB
The primary concerns for TIMB are Price/Book, EPS Growth, Altman Z-Score.
Key Dynamics to Monitor
SPOT carries more volatility with a beta of 1.55 — expect wider price swings.
SPOT is growing revenue faster at 8.2% — sustainability is the question.
TIMB generates stronger free cash flow (1.3B), providing more financial flexibility.
Monitor INTERNET CONTENT & INFORMATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SPOT scores higher overall (64/100 vs 64/100), backed by strong 15.4% margins. Both earn "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.
Spotify Technology SA
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Spotify Technology SA, provides audio streaming services worldwide. The company is headquartered in Luxembourg, Luxembourg.
TIM Participacoes SA
COMMUNICATION SERVICES · TELECOM SERVICES · USA
TIM SA is a telecommunications company in Brazil. The company is headquartered in Rio de Janeiro, Brazil.
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