WallStSmart

Diageo PLC ADR (DEO)vsUnilever PLC ADR (UL)

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Smart Verdict

WallStSmart Research — data-driven comparison

Unilever PLC ADR generates 155% more annual revenue ($50.50B vs $19.80B). UL leads profitability with a 18.8% profit margin vs 12.2%. DEO appears more attractively valued with a PEG of 0.73. DEO earns a higher WallStSmart Score of 56/100 (C).

DEO

Buy

56

out of 100

Grade: C

Growth: 4.0Profit: 7.5Value: 8.0Quality: 4.0
Piotroski: 3/9Altman Z: 1.40

UL

Hold

46

out of 100

Grade: D+

Growth: 2.0Profit: 8.5Value: 4.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DEOUndervalued (+56.5%)

Margin of Safety

+56.5%

Fair Value

$231.62

Current Price

$80.65

$150.97 discount

UndervaluedFair: $231.62Overvalued

Intrinsic value data unavailable for UL.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DEO3 strengths · Avg: 8.7/10
Operating MarginProfitability
31.3%10/10

Strong operational efficiency at 31.3%

PEG RatioValuation
0.738/10

Growing faster than its price suggests

Free Cash FlowQuality
$1.51B8/10

Generating 1.5B in free cash flow

UL4 strengths · Avg: 8.8/10
Return on EquityProfitability
31.0%10/10

Every $100 of equity generates 31 in profit

Market CapQuality
$128.81B9/10

Large-cap with strong market position

Operating MarginProfitability
20.1%8/10

Strong operational efficiency at 20.1%

Free Cash FlowQuality
$5.48B8/10

Generating 5.5B in free cash flow

Areas to Watch

DEO4 concerns · Avg: 2.8/10
EPS GrowthGrowth
2.9%4/10

2.9% earnings growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
69.5x2/10

Trading at 69.5x book value

Revenue GrowthGrowth
-4.0%2/10

Revenue declined 4.0%

UL3 concerns · Avg: 2.0/10
PEG RatioValuation
11.152/10

Expensive relative to growth rate

Revenue GrowthGrowth
-3.2%2/10

Revenue declined 3.2%

EPS GrowthGrowth
-3.4%2/10

Earnings declined 3.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : DEO

The strongest argument for DEO centers on Operating Margin, PEG Ratio, Free Cash Flow. PEG of 0.73 suggests the stock is reasonably priced for its growth.

Bull Case : UL

The strongest argument for UL centers on Return on Equity, Market Cap, Operating Margin. Profitability is solid with margins at 18.8% and operating margin at 20.1%.

Bear Case : DEO

The primary concerns for DEO are EPS Growth, Piotroski F-Score, Price/Book. Debt-to-equity of 2.20 is elevated, increasing financial risk.

Bear Case : UL

The primary concerns for UL are PEG Ratio, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

UL carries more volatility with a beta of 0.46 — expect wider price swings.

UL is growing revenue faster at -3.2% — sustainability is the question.

UL generates stronger free cash flow (5.5B), providing more financial flexibility.

Monitor BEVERAGES - WINERIES & DISTILLERIES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DEO scores higher overall (56/100 vs 46/100). 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.

Diageo PLC ADR

CONSUMER DEFENSIVE · BEVERAGES - WINERIES & DISTILLERIES · USA

Diageo plc produces, markets and sells alcoholic beverages. The company is headquartered in London, the United Kingdom.

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Unilever PLC ADR

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

Unilever PLC is a fast moving consumer goods company in Asia, Africa, the Middle East, Turkey, Russia, Ukraine, Belarus, America and Europe. The company is headquartered in London, the United Kingdom.

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