WallStSmart

Wells Fargo & Company (WFC)vsYirendai Ltd (YRD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 1319% more annual revenue ($81.14B vs $5.72B). WFC leads profitability with a 26.7% profit margin vs 0.7%. YRD appears more attractively valued with a PEG of 1.24. WFC earns a higher WallStSmart Score of 74/100 (B).

WFC

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 6.3Quality: 5.8
Piotroski: 4/9Altman Z: 0.43

YRD

Hold

41

out of 100

Grade: D

Growth: 4.0Profit: 5.0Value: 5.0Quality: 8.5
Piotroski: 3/9Altman Z: 3.45

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

WFC6 strengths · Avg: 8.5/10
Market CapQuality
$249.77B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
26.7%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Operating MarginProfitability
29.4%8/10

Strong operational efficiency at 29.4%

Free Cash FlowQuality
$4.12B8/10

Generating 4.1B in free cash flow

YRD3 strengths · Avg: 10.0/10
Price/BookValuation
0.1x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.4510/10

Safe zone — low bankruptcy risk

Areas to Watch

WFC1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
0.432/10

Distress zone — elevated risk

YRD4 concerns · Avg: 3.3/10
P/E RatioValuation
30.6x4/10

Premium valuation, high expectations priced in

Market CapQuality
$186.04M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.4%3/10

ROE of 0.4% — below average capital efficiency

Profit MarginProfitability
0.7%3/10

0.7% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : WFC

The strongest argument for WFC centers on Market Cap, Profit Margin, P/E Ratio. Profitability is solid with margins at 26.7% and operating margin at 29.4%. PEG of 1.45 suggests the stock is reasonably priced for its growth.

Bull Case : YRD

The strongest argument for YRD centers on Price/Book, Debt/Equity, Altman Z-Score. PEG of 1.24 suggests the stock is reasonably priced for its growth.

Bear Case : WFC

The primary concerns for WFC are Altman Z-Score.

Bear Case : YRD

The primary concerns for YRD are P/E Ratio, Market Cap, Return on Equity. Thin 0.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

WFC profiles as a mature stock while YRD is a value play — different risk/reward profiles.

YRD carries more volatility with a beta of 1.13 — expect wider price swings.

WFC is growing revenue faster at 5.7% — sustainability is the question.

WFC generates stronger free cash flow (4.1B), providing more financial flexibility.

Bottom Line

WFC scores higher overall (74/100 vs 41/100), backed by strong 26.7% margins. 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.

Wells Fargo & Company

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.

Yirendai Ltd

FINANCIAL SERVICES · CREDIT SERVICES · China

Yiren Digital Ltd., is an online consumer finance marketplace connecting borrowers and investors in the People's Republic of China.

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