WallStSmart

Empresa Distribuidora y Comercializadora Norte SA ADR (EDN)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Empresa Distribuidora y Comercializadora Norte SA ADR generates 7752% more annual revenue ($2.99T vs $38.09B). SBS leads profitability with a 22.2% profit margin vs 8.0%. SBS appears more attractively valued with a PEG of 0.47. SBS earns a higher WallStSmart Score of 77/100 (B+).

EDN

Buy

57

out of 100

Grade: C

Growth: 8.7Profit: 5.5Value: 5.7Quality: 5.0

SBS

Strong Buy

77

out of 100

Grade: B+

Growth: 9.3Profit: 8.5Value: 5.3Quality: 4.3
Piotroski: 2/9Altman Z: 1.81
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for EDN.

SBSFair Value (-3.2%)

Margin of Safety

-3.2%

Fair Value

$28.67

Current Price

$33.63

$4.96 premium

UndervaluedFair: $28.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EDN3 strengths · Avg: 10.0/10
P/E RatioValuation
6.5x10/10

Attractively priced relative to earnings

Price/BookValuation
0.7x10/10

Reasonable price relative to book value

EPS GrowthGrowth
858.0%10/10

Earnings expanding 858.0% YoY

SBS6 strengths · Avg: 9.7/10
PEG RatioValuation
0.4710/10

Growing faster than its price suggests

Operating MarginProfitability
34.6%10/10

Strong operational efficiency at 34.6%

Revenue GrowthGrowth
43.9%10/10

Revenue surging 43.9% year-over-year

EPS GrowthGrowth
87.2%10/10

Earnings expanding 87.2% YoY

Market CapQuality
$118.61B9/10

Large-cap with strong market position

Return on EquityProfitability
21.3%9/10

Every $100 of equity generates 21 in profit

Areas to Watch

EDN3 concerns · Avg: 2.3/10
Market CapQuality
$1.20B3/10

Smaller company, higher risk/reward

PEG RatioValuation
6.922/10

Expensive relative to growth rate

Free Cash FlowQuality
$-122.80B2/10

Negative free cash flow — burning cash

SBS4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.814/10

Grey zone — moderate risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
67.2x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-8.22B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : EDN

The strongest argument for EDN centers on P/E Ratio, Price/Book, EPS 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 : EDN

The primary concerns for EDN are Market Cap, PEG Ratio, Free Cash Flow.

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

EDN profiles as a value stock while SBS is a growth play — different risk/reward profiles.

EDN carries more volatility with a beta of 0.27 — expect wider price swings.

SBS is growing revenue faster at 43.9% — sustainability is the question.

SBS generates stronger free cash flow (-8.2B), providing more financial flexibility.

Bottom Line

SBS scores higher overall (77/100 vs 57/100), backed by strong 22.2% margins and 43.9% revenue growth. Both earn "Strong Buy" and "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.

Empresa Distribuidora y Comercializadora Norte SA ADR

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Empresa Distribuidora y Comercializadora Norte SA, a public services company, is dedicated to the distribution and sale of electrical energy in Argentina. The company is headquartered in Buenos Aires, Argentina.

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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