WallStSmart

Enact Holdings Inc (ACT)vsWells Fargo & Company (WFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 6465% more annual revenue ($81.14B vs $1.24B). ACT leads profitability with a 54.6% profit margin vs 26.7%. ACT trades at a lower P/E of 9.7x. WFC earns a higher WallStSmart Score of 74/100 (B).

ACT

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 8.5Value: 6.7Quality: 5.8
Piotroski: 3/9

WFC

Strong Buy

74

out of 100

Grade: B

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

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACT5 strengths · Avg: 9.8/10
P/E RatioValuation
9.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
54.6%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
75.3%10/10

Strong operational efficiency at 75.3%

Debt/EquityHealth
0.149/10

Conservative balance sheet, low leverage

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

Areas to Watch

ACT2 concerns · Avg: 3.5/10
Revenue GrowthGrowth
3.6%4/10

3.6% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

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

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ACT

The strongest argument for ACT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 54.6% and operating margin at 75.3%.

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.

Bear Case : ACT

The primary concerns for ACT are Revenue Growth, Piotroski F-Score.

Bear Case : WFC

The primary concerns for WFC are Altman Z-Score.

Key Dynamics to Monitor

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

WFC carries more volatility with a beta of 1.06 — 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 56/100), backed by strong 26.7% margins. Both earn "Strong 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.

Enact Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Enact Holdings Inc (ACT) is a premier provider of private mortgage insurance and risk management solutions, focusing on the U.S. housing sector. The company plays a critical role in facilitating homeownership and promoting sustainable housing initiatives, utilizing its strong capital position and strategic alliances to navigate market complexities. With a commitment to innovation and technological advancement, Enact is well-equipped to adapt to industry dynamics, positioning itself to seize growth opportunities while enhancing lender capabilities and effectively managing risk exposure.

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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.

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