WallStSmart

Afya Ltd (AFYA)vsThe Coca-Cola Company (KO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

The Coca-Cola Company generates 1206% more annual revenue ($49.28B vs $3.77B). KO leads profitability with a 27.8% profit margin vs 20.1%. AFYA trades at a lower P/E of 8.5x. KO earns a higher WallStSmart Score of 65/100 (B-).

AFYA

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 8.5Value: 8.3Quality: 5.8
Piotroski: 5/9

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

AFYAUndervalued (+74.6%)

Margin of Safety

+74.6%

Fair Value

$61.03

Current Price

$14.44

$46.59 discount

UndervaluedFair: $61.03Overvalued
KOSignificantly Overvalued (-29.0%)

Margin of Safety

-29.0%

Fair Value

$61.61

Current Price

$79.48

$17.87 premium

UndervaluedFair: $61.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AFYA4 strengths · Avg: 9.8/10
P/E RatioValuation
8.5x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
38.9%10/10

Strong operational efficiency at 38.9%

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

KO5 strengths · Avg: 9.4/10
Market CapQuality
$338.86B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
40.7%10/10

Every $100 of equity generates 41 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

AFYA2 concerns · Avg: 3.5/10
EPS GrowthGrowth
3.2%4/10

3.2% earnings growth

Market CapQuality
$1.25B3/10

Smaller company, higher risk/reward

KO3 concerns · Avg: 3.0/10
Price/BookValuation
10.2x4/10

Trading at 10.2x book value

Debt/EquityHealth
1.303/10

Elevated debt levels

PEG RatioValuation
4.022/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : AFYA

The strongest argument for AFYA centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 20.1% and operating margin at 38.9%.

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 : AFYA

The primary concerns for AFYA are EPS Growth, Market Cap.

Bear Case : KO

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

Key Dynamics to Monitor

AFYA carries more volatility with a beta of 0.39 — 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.

Monitor EDUCATION & TRAINING SERVICES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

KO scores higher overall (65/100 vs 62/100), backed by strong 27.8% margins and 12.1% revenue growth. AFYA offers better value entry with a 74.6% 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.

Afya Ltd

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Afya Limited, is a medical education group in Brazil. The company is headquartered in Nova Lima, Brazil.

Visit Website →

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.

Visit Website →

Want to dig deeper into these stocks?