Arm Holdings plc American Depositary Shares (ARM)vsSony Group Corp (SONY)
ARM
Arm Holdings plc American Depositary Shares
$264.79
-9.74%
TECHNOLOGY · Cap: $269.23B
SONY
Sony Group Corp
$23.90
+1.62%
TECHNOLOGY · Cap: $143.48B
Smart Verdict
WallStSmart Research — data-driven comparison
Sony Group Corp generates 246133% more annual revenue ($12.70T vs $5.16B). ARM leads profitability with a 20.3% profit margin vs -1.8%. SONY appears more attractively valued with a PEG of 1.67. ARM earns a higher WallStSmart Score of 61/100 (C+).
ARM
Buy61
out of 100
Grade: C+
SONY
Buy59
out of 100
Grade: C
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Earnings expanding 108.3% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Keeps 20 of every $100 in revenue as profit
Revenue surging 22.4% year-over-year
Generating 59.6B in free cash flow
Large-cap with strong market position
Conservative balance sheet, low leverage
Reasonable price relative to book value
Earnings expanding 47.6% YoY
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 32.8x book value
Expensive relative to growth rate
ROE of -2.9% — below average capital efficiency
Currently unprofitable
Comparative Analysis Report
WallStSmart ResearchBull Case : ARM
The strongest argument for ARM centers on Market Cap, EPS Growth, Debt/Equity. Profitability is solid with margins at 20.3% and operating margin at 7.6%. Revenue growth of 22.4% demonstrates continued momentum.
Bull Case : SONY
The strongest argument for SONY centers on Free Cash Flow, Market Cap, Debt/Equity.
Bear Case : ARM
The primary concerns for ARM are PEG Ratio, Piotroski F-Score, P/E Ratio. A P/E of 257.2x leaves little room for execution misses.
Bear Case : SONY
The primary concerns for SONY are PEG Ratio, Return on Equity, Profit Margin.
Key Dynamics to Monitor
ARM profiles as a growth stock while SONY is a turnaround play — different risk/reward profiles.
ARM carries more volatility with a beta of 3.89 — expect wider price swings.
ARM is growing revenue faster at 22.4% — sustainability is the question.
SONY generates stronger free cash flow (59.6B), providing more financial flexibility.
Bottom Line
ARM scores higher overall (61/100 vs 59/100), backed by strong 20.3% margins and 22.4% revenue growth. 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.
Arm Holdings plc American Depositary Shares
TECHNOLOGY · SEMICONDUCTORS · USA
Arm Holdings plc architects, develops, and licenses central processing unit products and related technologies for semiconductor companies and original equipment manufacturers rely on to develop products.
Sony Group Corp
TECHNOLOGY · CONSUMER ELECTRONICS · USA
Sony Group Corporation designs, develops, produces and sells electronic equipment, instruments and devices for the consumer, professional and industrial markets worldwide. The company is headquartered in Tokyo, Japan.
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