WallStSmart

AstraZeneca PLC (AZN)vsEncompass Health Corp (EHC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

AstraZeneca PLC generates 889% more annual revenue ($61.37B vs $6.21B). AZN leads profitability with a 17.0% profit margin vs 10.0%. EHC appears more attractively valued with a PEG of 0.41. EHC earns a higher WallStSmart Score of 71/100 (B).

AZN

Buy

60

out of 100

Grade: C+

Growth: 5.3Profit: 8.0Value: 6.7Quality: 5.0
Piotroski: 6/9Altman Z: 1.48

EHC

Strong Buy

71

out of 100

Grade: B

Growth: 6.7Profit: 7.5Value: 6.0Quality: 6.0
Piotroski: 6/9Altman Z: 2.12
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AZNUndervalued (+18.4%)

Margin of Safety

+18.4%

Fair Value

$196.10

Current Price

$160.17

$35.93 discount

UndervaluedFair: $196.10Overvalued
EHCSignificantly Overvalued (-52.0%)

Margin of Safety

-52.0%

Fair Value

$74.61

Current Price

$121.71

$47.10 premium

UndervaluedFair: $74.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AZN4 strengths · Avg: 8.8/10
Market CapQuality
$252.33B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
20.8%9/10

Every $100 of equity generates 21 in profit

Operating MarginProfitability
23.5%8/10

Strong operational efficiency at 23.5%

Free Cash FlowQuality
$2.13B8/10

Generating 2.1B in free cash flow

EHC2 strengths · Avg: 9.5/10
PEG RatioValuation
0.4110/10

Growing faster than its price suggests

Return on EquityProfitability
23.9%9/10

Every $100 of equity generates 24 in profit

Areas to Watch

AZN2 concerns · Avg: 3.0/10
EPS GrowthGrowth
2.5%4/10

2.5% earnings growth

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

EHC1 concerns · Avg: 3.0/10
Debt/EquityHealth
1.093/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : AZN

The strongest argument for AZN centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 17.0% and operating margin at 23.5%. PEG of 1.28 suggests the stock is reasonably priced for its growth.

Bull Case : EHC

The strongest argument for EHC centers on PEG Ratio, Return on Equity. PEG of 0.41 suggests the stock is reasonably priced for its growth.

Bear Case : AZN

The primary concerns for AZN are EPS Growth, Altman Z-Score.

Bear Case : EHC

The primary concerns for EHC are Debt/Equity.

Key Dynamics to Monitor

AZN profiles as a mature stock while EHC is a value play — different risk/reward profiles.

EHC carries more volatility with a beta of 0.61 — expect wider price swings.

EHC is growing revenue faster at 9.6% — sustainability is the question.

AZN generates stronger free cash flow (2.1B), providing more financial flexibility.

Bottom Line

EHC scores higher overall (71/100 vs 60/100). AZN offers better value entry with a 18.4% 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.

AstraZeneca PLC

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

AstraZeneca PLC discovers, develops, manufactures and markets prescription drugs in the areas of oncology, cardiovascular, renal and metabolism, respiratory, infections, neuroscience and gastroenterology worldwide. The company is headquartered in Cambridge, the United Kingdom.

Encompass Health Corp

HEALTHCARE · MEDICAL CARE FACILITIES · USA

Encompass Health Corporation offers in-home and post-acute health care services in the United States. The company is headquartered in Birmingham, Alabama.

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