WallStSmart

CNH Industrial N.V. (CNH)vsLeonardo DRS, Inc. Common Stock (DRS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CNH Industrial N.V. generates 396% more annual revenue ($18.09B vs $3.65B). DRS leads profitability with a 7.6% profit margin vs 2.8%. CNH trades at a lower P/E of 24.6x. CNH earns a higher WallStSmart Score of 57/100 (C).

CNH

Buy

57

out of 100

Grade: C

Growth: 3.3Profit: 4.0Value: 8.0Quality: 6.3
Piotroski: 3/9Altman Z: 1.54

DRS

Hold

45

out of 100

Grade: D+

Growth: 6.7Profit: 5.5Value: 4.3Quality: 6.8
Piotroski: 6/9Altman Z: 1.52
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CNHUndervalued (+45.2%)

Margin of Safety

+45.2%

Fair Value

$23.36

Current Price

$10.08

$13.28 discount

UndervaluedFair: $23.36Overvalued
DRSOvervalued (-12.2%)

Margin of Safety

-12.2%

Fair Value

$33.75

Current Price

$39.47

$5.72 premium

UndervaluedFair: $33.75Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CNH2 strengths · Avg: 8.0/10
PEG RatioValuation
0.578/10

Growing faster than its price suggests

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

DRS0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

CNH4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.544/10

Distress zone — elevated risk

Return on EquityProfitability
6.5%3/10

ROE of 6.5% — below average capital efficiency

Profit MarginProfitability
2.8%3/10

2.8% margin — thin

Operating MarginProfitability
1.9%3/10

Operating margin of 1.9%

DRS3 concerns · Avg: 3.7/10
P/E RatioValuation
38.3x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.524/10

Distress zone — elevated risk

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : CNH

The strongest argument for CNH centers on PEG Ratio, Price/Book. PEG of 0.57 suggests the stock is reasonably priced for its growth.

Bull Case : DRS

DRS has a balanced fundamental profile.

Bear Case : CNH

The primary concerns for CNH are Altman Z-Score, Return on Equity, Profit Margin. Thin 2.8% margins leave little buffer for downturns.

Bear Case : DRS

The primary concerns for DRS are P/E Ratio, Altman Z-Score, Profit Margin.

Key Dynamics to Monitor

CNH carries more volatility with a beta of 1.33 — expect wider price swings.

DRS is growing revenue faster at 8.1% — sustainability is the question.

CNH generates stronger free cash flow (533M), providing more financial flexibility.

Monitor FARM & HEAVY CONSTRUCTION MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CNH scores higher overall (57/100 vs 45/100). Both earn "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.

CNH Industrial N.V.

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

CNH Industrial N.V., an equipment and services company, engages in the design, production, marketing, sale, and financing of agricultural and construction equipment in North America, Europe, the Middle East, Africa, South America, and the Asia Pacific. The company is headquartered in Basildon, the United Kingdom.

Leonardo DRS, Inc. Common Stock

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Leonardo DRS, Inc. (ticker: DRS) is a prominent provider of advanced technologies and solutions focused on enhancing national defense and security for both military and commercial sectors. The company specializes in electronic and sensor systems, sophisticated communication solutions, and comprehensive software development, primarily serving the U.S. Department of Defense and allied forces. With a robust emphasis on research and development, Leonardo DRS is well-positioned to deliver cutting-edge products that support diverse operational needs across land, air, and sea, solidifying its role as a key player in the global defense industry.

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