WallStSmart

California Water Service Group (CWT)vsWPP PLC ADR (WPP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

WPP PLC ADR generates 1241% more annual revenue ($13.55B vs $1.01B). CWT leads profitability with a 11.8% profit margin vs -1.6%. CWT appears more attractively valued with a PEG of 1.93. CWT earns a higher WallStSmart Score of 53/100 (C-).

CWT

Buy

53

out of 100

Grade: C-

Growth: 4.7Profit: 5.0Value: 6.7Quality: 2.8
Piotroski: 1/9Altman Z: 0.74

WPP

Avoid

32

out of 100

Grade: F

Growth: 2.0Profit: 3.0Value: 5.7Quality: 2.5
Piotroski: 3/9Altman Z: 0.73
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CWTUndervalued (+30.3%)

Margin of Safety

+30.3%

Fair Value

$63.31

Current Price

$43.03

$20.28 discount

UndervaluedFair: $63.31Overvalued
WPPUndervalued (+75.7%)

Margin of Safety

+75.7%

Fair Value

$75.34

Current Price

$18.53

$56.81 discount

UndervaluedFair: $75.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CWT1 strengths · Avg: 8.0/10
Price/BookValuation
1.5x8/10

Reasonable price relative to book value

WPP1 strengths · Avg: 8.0/10
Free Cash FlowQuality
$1.71B8/10

Generating 1.7B in free cash flow

Areas to Watch

CWT4 concerns · Avg: 3.0/10
PEG RatioValuation
1.934/10

Expensive relative to growth rate

Return on EquityProfitability
7.2%3/10

ROE of 7.2% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

EPS GrowthGrowth
-69.3%2/10

Earnings declined 69.3%

WPP4 concerns · Avg: 2.5/10
Operating MarginProfitability
2.2%3/10

Operating margin of 2.2%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.232/10

Expensive relative to growth rate

Return on EquityProfitability
-5.3%2/10

ROE of -5.3% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : CWT

The strongest argument for CWT centers on Price/Book.

Bull Case : WPP

The strongest argument for WPP centers on Free Cash Flow.

Bear Case : CWT

The primary concerns for CWT are PEG Ratio, Return on Equity, Piotroski F-Score.

Bear Case : WPP

The primary concerns for WPP are Operating Margin, Piotroski F-Score, PEG Ratio. Debt-to-equity of 2.13 is elevated, increasing financial risk.

Key Dynamics to Monitor

CWT profiles as a value stock while WPP is a turnaround play — different risk/reward profiles.

WPP carries more volatility with a beta of 0.65 — expect wider price swings.

CWT is growing revenue faster at 5.2% — sustainability is the question.

WPP generates stronger free cash flow (1.7B), providing more financial flexibility.

Bottom Line

CWT scores higher overall (53/100 vs 32/100). WPP offers better value entry with a 75.7% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

California Water Service Group

UTILITIES · UTILITIES - REGULATED WATER · USA

California Water Service Group provides public water and related services in California, Washington, New Mexico and Hawaii. The company is headquartered in San Jose, California.

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WPP PLC ADR

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

WPP plc, a creative transformation company, provides communications, expertise, trade and technology services in North America, the UK, Western Continental Europe, Asia Pacific, Latin America, Africa, the Middle East, and Central and Eastern Europe. The company is headquartered in London, the United Kingdom.

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