WallStSmart

Fomento Economico Mexicano (FMX)vsSynchrony Financial (SYF)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fomento Economico Mexicano generates 8520% more annual revenue ($840.95B vs $9.76B). SYF leads profitability with a 36.4% profit margin vs 2.3%. SYF appears more attractively valued with a PEG of 3.27. SYF earns a higher WallStSmart Score of 71/100 (B).

FMX

Buy

59

out of 100

Grade: C

Growth: 8.0Profit: 5.5Value: 6.7Quality: 5.3
Piotroski: 2/9Altman Z: 2.46

SYF

Strong Buy

71

out of 100

Grade: B

Growth: 6.7Profit: 8.0Value: 7.3Quality: 5.0
Piotroski: 5/9Altman Z: 0.03
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FMXUndervalued (+15.9%)

Margin of Safety

+15.9%

Fair Value

$134.78

Current Price

$108.51

$26.27 discount

UndervaluedFair: $134.78Overvalued
SYFUndervalued (+59.2%)

Margin of Safety

+59.2%

Fair Value

$178.92

Current Price

$67.63

$111.29 discount

UndervaluedFair: $178.92Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FMX2 strengths · Avg: 9.0/10
EPS GrowthGrowth
63.8%10/10

Earnings expanding 63.8% YoY

Free Cash FlowQuality
$9.49B8/10

Generating 9.5B in free cash flow

SYF6 strengths · Avg: 9.2/10
P/E RatioValuation
7.3x10/10

Attractively priced relative to earnings

Profit MarginProfitability
36.4%10/10

Keeps 36 of every $100 in revenue as profit

Operating MarginProfitability
48.5%10/10

Strong operational efficiency at 48.5%

Return on EquityProfitability
21.3%9/10

Every $100 of equity generates 21 in profit

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$2.45B8/10

Generating 2.5B in free cash flow

Areas to Watch

FMX4 concerns · Avg: 3.0/10
P/E RatioValuation
36.7x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
2.3%3/10

2.3% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
5.972/10

Expensive relative to growth rate

SYF2 concerns · Avg: 2.0/10
PEG RatioValuation
3.272/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.032/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : FMX

The strongest argument for FMX centers on EPS Growth, Free Cash Flow.

Bull Case : SYF

The strongest argument for SYF centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 36.4% and operating margin at 48.5%.

Bear Case : FMX

The primary concerns for FMX are P/E Ratio, Profit Margin, Piotroski F-Score. Thin 2.3% margins leave little buffer for downturns.

Bear Case : SYF

The primary concerns for SYF are PEG Ratio, Altman Z-Score.

Key Dynamics to Monitor

SYF carries more volatility with a beta of 1.41 — expect wider price swings.

FMX is growing revenue faster at 5.4% — sustainability is the question.

FMX generates stronger free cash flow (9.5B), providing more financial flexibility.

Monitor BEVERAGES - BREWERS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SYF scores higher overall (71/100 vs 59/100), backed by strong 36.4% margins. FMX offers better value entry with a 15.9% margin of safety. 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.

Fomento Economico Mexicano

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Fomento Econmico Mexicano, SAB de CV, is a bottler of Coca-Cola brand beverages. The company is headquartered in Monterrey, Mexico.

Synchrony Financial

FINANCIAL SERVICES · CREDIT SERVICES · USA

Synchrony Financial is a consumer financial services company headquartered in Stamford, Connecticut, United States. The company offers consumer financing products, including credit, promotional financing and loyalty programs, installment lending to industries, and FDIC-insured consumer savings products through Synchrony Bank, its wholly owned online bank subsidiary.

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