WallStSmart

Archer-Daniels-Midland Company (ADM)vsThe Coca-Cola Company (KO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Archer-Daniels-Midland Company generates 63% more annual revenue ($80.27B vs $49.28B). KO leads profitability with a 27.8% profit margin vs 1.3%. ADM appears more attractively valued with a PEG of 0.97. KO earns a higher WallStSmart Score of 65/100 (B-).

ADM

Buy

51

out of 100

Grade: C-

Growth: 2.0Profit: 4.0Value: 6.7Quality: 8.5
Piotroski: 4/9Altman Z: 4.85

KO

Strong Buy

65

out of 100

Grade: B-

Growth: 6.0Profit: 9.5Value: 3.3Quality: 6.0
Piotroski: 6/9Altman Z: 2.49
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ADMUndervalued (+23.8%)

Margin of Safety

+23.8%

Fair Value

$90.91

Current Price

$79.19

$11.72 discount

UndervaluedFair: $90.91Overvalued
KOSignificantly Overvalued (-22.3%)

Margin of Safety

-22.3%

Fair Value

$64.18

Current Price

$78.19

$14.01 premium

UndervaluedFair: $64.18Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ADM3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
4.8510/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.978/10

Growing faster than its price suggests

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

KO5 strengths · Avg: 9.4/10
Market CapQuality
$336.45B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
43.4%10/10

Every $100 of equity generates 43 in profit

Operating MarginProfitability
35.1%10/10

Strong operational efficiency at 35.1%

Profit MarginProfitability
27.8%9/10

Keeps 28 of every $100 in revenue as profit

Free Cash FlowQuality
$1.75B8/10

Generating 1.8B in free cash flow

Areas to Watch

ADM4 concerns · Avg: 3.3/10
P/E RatioValuation
33.6x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
4.7%3/10

ROE of 4.7% — below average capital efficiency

Profit MarginProfitability
1.3%3/10

1.3% margin — thin

Operating MarginProfitability
1.8%3/10

Operating margin of 1.8%

KO3 concerns · Avg: 3.0/10
Price/BookValuation
10.0x4/10

Trading at 10.0x book value

Debt/EquityHealth
1.413/10

Elevated debt levels

PEG RatioValuation
4.032/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ADM

The strongest argument for ADM centers on Altman Z-Score, PEG Ratio, Price/Book. PEG of 0.97 suggests the stock is reasonably priced for its growth.

Bull Case : KO

The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.8% and operating margin at 35.1%. Revenue growth of 12.1% demonstrates continued momentum.

Bear Case : ADM

The primary concerns for ADM are P/E Ratio, Return on Equity, Profit Margin. Thin 1.3% margins leave little buffer for downturns.

Bear Case : KO

The primary concerns for KO are Price/Book, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

ADM profiles as a value stock while KO is a mature play — different risk/reward profiles.

ADM carries more volatility with a beta of 0.64 — expect wider price swings.

KO is growing revenue faster at 12.1% — sustainability is the question.

KO generates stronger free cash flow (1.8B), providing more financial flexibility.

Bottom Line

KO scores higher overall (65/100 vs 51/100), backed by strong 27.8% margins and 12.1% revenue growth. ADM offers better value entry with a 23.8% margin of safety. 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.

Archer-Daniels-Midland Company

CONSUMER DEFENSIVE · FARM PRODUCTS · USA

The Archer-Daniels-Midland Company, commonly known as ADM, is an American multinational food processing and commodities trading corporation founded in 1902 and headquartered in Chicago, Illinois. The company operates more than 270 plants and 420 crop procurement facilities worldwide, where cereal grains and oilseeds are processed into products used in food, beverage, nutraceutical, industrial, and animal feed markets worldwide.

The Coca-Cola Company

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.

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