Carnival Plc ADS (CUK)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)
CUK
Carnival Plc ADS
$27.47
+6.56%
CONSUMER CYCLICAL · Cap: $36.88B
SBS
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
$33.29
-1.01%
UTILITIES · Cap: $118.61B
Smart Verdict
WallStSmart Research — data-driven comparison
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 41% more annual revenue ($38.09B vs $26.98B). SBS leads profitability with a 22.2% profit margin vs 11.5%. SBS appears more attractively valued with a PEG of 0.47. SBS earns a higher WallStSmart Score of 77/100 (B+).
CUK
Strong Buy67
out of 100
Grade: B-
SBS
Strong Buy77
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+80.9%
Fair Value
$171.76
Current Price
$27.47
$144.29 discount
Margin of Safety
-3.2%
Fair Value
$28.67
Current Price
$33.29
$4.62 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 28 in profit
Reasonable price relative to book value
Earnings expanding 35.8% YoY
Growing faster than its price suggests
Strong operational efficiency at 34.6%
Revenue surging 43.9% year-over-year
Earnings expanding 87.2% YoY
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Areas to Watch
Distress zone — elevated risk
Elevated debt levels
Grey zone — moderate risk
Weak financial health signals
Premium valuation, high expectations priced in
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CUK
The strongest argument for CUK centers on P/E Ratio, Return on Equity, Price/Book. PEG of 1.08 suggests the stock is reasonably priced for its growth.
Bull Case : SBS
The strongest argument for SBS centers on PEG Ratio, Operating Margin, Revenue Growth. Profitability is solid with margins at 22.2% and operating margin at 34.6%. Revenue growth of 43.9% demonstrates continued momentum.
Bear Case : CUK
The primary concerns for CUK are Altman Z-Score, Debt/Equity. Debt-to-equity of 2.28 is elevated, increasing financial risk.
Bear Case : SBS
The primary concerns for SBS are Altman Z-Score, Piotroski F-Score, P/E Ratio. A P/E of 67.2x leaves little room for execution misses.
Key Dynamics to Monitor
CUK profiles as a value stock while SBS is a growth play — different risk/reward profiles.
CUK carries more volatility with a beta of 2.33 — expect wider price swings.
SBS is growing revenue faster at 43.9% — sustainability is the question.
CUK generates stronger free cash flow (697M), providing more financial flexibility.
Bottom Line
SBS scores higher overall (77/100 vs 67/100), backed by strong 22.2% margins and 43.9% revenue growth. CUK offers better value entry with a 80.9% margin of safety. Both earn "Strong Buy" and "Strong 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.
Carnival Plc ADS
CONSUMER CYCLICAL · TRAVEL SERVICES · USA
Carnival Corporation & plc is a leisure travel company. The company is headquartered in Miami, Florida.
Visit Website →Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
UTILITIES · UTILITIES - REGULATED WATER · USA
Companhia de Saneamento Basico do Estado de So Paulo - SABESP provides water and sewerage services to residential, commercial, industrial and government clients. The company is headquartered in So Paulo, Brazil.
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