WallStSmart

Avantor Inc (AVTR)vsResMed Inc (RMD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Avantor Inc generates 18% more annual revenue ($6.55B vs $5.54B). RMD leads profitability with a 27.4% profit margin vs -8.4%. RMD earns a higher WallStSmart Score of 73/100 (B).

AVTR

Hold

39

out of 100

Grade: F

Growth: 4.7Profit: 3.5Value: 6.0Quality: 6.0
Piotroski: 3/9Altman Z: 1.32

RMD

Strong Buy

73

out of 100

Grade: B

Growth: 6.7Profit: 9.0Value: 4.7Quality: 9.5
Piotroski: 6/9Altman Z: 4.34
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AVTRUndervalued (+24.4%)

Margin of Safety

+24.4%

Fair Value

$12.76

Current Price

$9.16

$3.60 discount

UndervaluedFair: $12.76Overvalued
RMDSignificantly Overvalued (-26.9%)

Margin of Safety

-26.9%

Fair Value

$204.63

Current Price

$196.04

$8.59 premium

UndervaluedFair: $204.63Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AVTR2 strengths · Avg: 10.0/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

RMD5 strengths · Avg: 9.4/10
Operating MarginProfitability
35.3%10/10

Strong operational efficiency at 35.3%

Altman Z-ScoreHealth
4.3410/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
23.4%9/10

Every $100 of equity generates 23 in profit

Profit MarginProfitability
27.4%9/10

Keeps 27 of every $100 in revenue as profit

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

Areas to Watch

AVTR4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-9.9%2/10

ROE of -9.9% — below average capital efficiency

EPS GrowthGrowth
-33.3%2/10

Earnings declined 33.3%

RMD0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : AVTR

The strongest argument for AVTR centers on Price/Book, Debt/Equity.

Bull Case : RMD

The strongest argument for RMD centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 27.4% and operating margin at 35.3%. Revenue growth of 10.8% demonstrates continued momentum.

Bear Case : AVTR

The primary concerns for AVTR are Revenue Growth, Piotroski F-Score, Return on Equity.

Bear Case : RMD

No major red flags identified for RMD, but monitor valuation.

Key Dynamics to Monitor

AVTR profiles as a turnaround stock while RMD is a mature play — different risk/reward profiles.

AVTR carries more volatility with a beta of 0.96 — expect wider price swings.

RMD is growing revenue faster at 10.8% — sustainability is the question.

RMD generates stronger free cash flow (520M), providing more financial flexibility.

Bottom Line

RMD scores higher overall (73/100 vs 39/100), backed by strong 27.4% margins and 10.8% revenue growth. AVTR offers better value entry with a 24.4% margin of safety. 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.

Avantor Inc

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

Avantor, Inc. provides products and services to clients in the biopharmaceutical, healthcare, education and government, advanced technologies and applied materials industries in America, Europe, Asia, the Middle East and Africa. The company is headquartered in Radnor, Pennsylvania.

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ResMed Inc

HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA

ResMed is a San Diego, California-based medical equipment company. It primarily provides cloud-connectable medical devices for the treatment of sleep apnea (such as CPAP devices and masks), chronic obstructive pulmonary disease (COPD), and other respiratory conditions.

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