WallStSmart

Veralto Corporation (VLTO)vsZurn Elkay Water Solutions Corporation (ZWS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Veralto Corporation generates 221% more annual revenue ($5.59B vs $1.74B). VLTO leads profitability with a 17.3% profit margin vs 12.3%. ZWS appears more attractively valued with a PEG of 1.70. VLTO earns a higher WallStSmart Score of 64/100 (C+).

VLTO

Buy

64

out of 100

Grade: C+

Growth: 5.3Profit: 8.5Value: 5.0Quality: 5.5
Piotroski: 3/9Altman Z: 2.20

ZWS

Buy

59

out of 100

Grade: C

Growth: 7.3Profit: 6.5Value: 4.0Quality: 7.5
Piotroski: 5/9Altman Z: 1.53
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for VLTO.

ZWSOvervalued (-8.6%)

Margin of Safety

-8.6%

Fair Value

$47.48

Current Price

$47.37

$0.11 premium

UndervaluedFair: $47.48Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

VLTO2 strengths · Avg: 9.0/10
Return on EquityProfitability
32.3%10/10

Every $100 of equity generates 32 in profit

Operating MarginProfitability
23.8%8/10

Strong operational efficiency at 23.8%

ZWS1 strengths · Avg: 8.0/10
EPS GrowthGrowth
37.2%8/10

Earnings expanding 37.2% YoY

Areas to Watch

VLTO2 concerns · Avg: 3.5/10
PEG RatioValuation
2.504/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

ZWS3 concerns · Avg: 4.0/10
PEG RatioValuation
1.704/10

Expensive relative to growth rate

P/E RatioValuation
39.3x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.534/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : VLTO

The strongest argument for VLTO centers on Return on Equity, Operating Margin. Profitability is solid with margins at 17.3% and operating margin at 23.8%.

Bull Case : ZWS

The strongest argument for ZWS centers on EPS Growth. Revenue growth of 11.4% demonstrates continued momentum.

Bear Case : VLTO

The primary concerns for VLTO are PEG Ratio, Piotroski F-Score.

Bear Case : ZWS

The primary concerns for ZWS are PEG Ratio, P/E Ratio, Altman Z-Score.

Key Dynamics to Monitor

VLTO profiles as a mature stock while ZWS is a value play — different risk/reward profiles.

VLTO carries more volatility with a beta of 0.85 — expect wider price swings.

ZWS is growing revenue faster at 11.4% — sustainability is the question.

VLTO generates stronger free cash flow (170M), providing more financial flexibility.

Bottom Line

VLTO scores higher overall (64/100 vs 59/100), backed by strong 17.3% 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.

Veralto Corporation

INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA

Veralto Corporation provides water supply services.

Zurn Elkay Water Solutions Corporation

INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA

Zurn Water Solutions Corporation designs, acquires, manufactures, and markets water system solutions that provide and improve water quality, safety, flow control, and conservation in and around non-residential buildings. The company is headquartered in Milwaukee, Wisconsin.

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