WallStSmart

eBay Inc (EBAY)vsThe Wendy’s Co (WEN)

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Smart Verdict

WallStSmart Research — data-driven comparison

eBay Inc generates 463% more annual revenue ($12.39B vs $2.20B). EBAY leads profitability with a 16.9% profit margin vs 4.4%. WEN appears more attractively valued with a PEG of 1.54. EBAY earns a higher WallStSmart Score of 58/100 (C).

EBAY

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 8.5Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 4.49

WEN

Hold

48

out of 100

Grade: D+

Growth: 2.7Profit: 6.5Value: 7.3Quality: 3.5
Piotroski: 2/9Altman Z: 0.88
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EBAYSignificantly Overvalued (-23.2%)

Margin of Safety

-23.2%

Fair Value

$100.28

Current Price

$120.14

$19.86 premium

UndervaluedFair: $100.28Overvalued
WENUndervalued (+36.7%)

Margin of Safety

+36.7%

Fair Value

$12.45

Current Price

$8.18

$4.27 discount

UndervaluedFair: $12.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EBAY3 strengths · Avg: 9.7/10
Return on EquityProfitability
47.3%10/10

Every $100 of equity generates 47 in profit

Altman Z-ScoreHealth
4.4910/10

Safe zone — low bankruptcy risk

Market CapQuality
$54.23B9/10

Large-cap with strong market position

WEN2 strengths · Avg: 9.0/10
Return on EquityProfitability
120.9%10/10

Every $100 of equity generates 121 in profit

P/E RatioValuation
16.4x8/10

Attractively priced relative to earnings

Areas to Watch

EBAY4 concerns · Avg: 3.8/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

P/E RatioValuation
26.4x4/10

Moderate valuation

Price/BookValuation
12.0x4/10

Trading at 12.0x book value

Debt/EquityHealth
1.603/10

Elevated debt levels

WEN4 concerns · Avg: 3.5/10
PEG RatioValuation
1.544/10

Expensive relative to growth rate

Price/BookValuation
12.6x4/10

Trading at 12.6x book value

Market CapQuality
$1.59B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.4%3/10

4.4% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : EBAY

The strongest argument for EBAY centers on Return on Equity, Altman Z-Score, Market Cap. Profitability is solid with margins at 16.9% and operating margin at 19.2%. Revenue growth of 13.7% demonstrates continued momentum.

Bull Case : WEN

The strongest argument for WEN centers on Return on Equity, P/E Ratio.

Bear Case : EBAY

The primary concerns for EBAY are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 1.60 is elevated, increasing financial risk.

Bear Case : WEN

The primary concerns for WEN are PEG Ratio, Price/Book, Market Cap. Debt-to-equity of 33.81 is elevated, increasing financial risk. Thin 4.4% margins leave little buffer for downturns.

Key Dynamics to Monitor

EBAY profiles as a mature stock while WEN is a value play — different risk/reward profiles.

EBAY carries more volatility with a beta of 1.27 — expect wider price swings.

EBAY is growing revenue faster at 13.7% — sustainability is the question.

EBAY generates stronger free cash flow (749M), providing more financial flexibility.

Bottom Line

EBAY scores higher overall (58/100 vs 48/100), backed by strong 16.9% margins and 13.7% revenue growth. WEN offers better value entry with a 36.7% margin of safety. 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.

eBay Inc

CONSUMER CYCLICAL · INTERNET RETAIL · USA

eBay Inc. is an American multinational e-commerce corporation based in San Jose, California, that facilitates consumer-to-consumer and business-to-consumer sales through its website.

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The Wendy’s Co

CONSUMER CYCLICAL · RESTAURANTS · USA

The Wendy's Company, is a quick service restaurant business. The company is headquartered in Dublin, Ohio.

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