WallStSmart

Genie Energy Ltd (GNE)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 7782% more annual revenue ($38.09B vs $483.28M). SBS leads profitability with a 22.2% profit margin vs 1.0%. GNE trades at a lower P/E of 47.5x. SBS earns a higher WallStSmart Score of 77/100 (B+).

GNE

Hold

44

out of 100

Grade: D

Growth: 5.3Profit: 5.0Value: 6.3Quality: 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

GNEUndervalued (+35.0%)

Margin of Safety

+35.0%

Fair Value

$21.40

Current Price

$13.97

$7.43 discount

UndervaluedFair: $21.40Overvalued
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

GNE2 strengths · Avg: 8.0/10
Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
23.6%8/10

Revenue surging 23.6% year-over-year

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

GNE4 concerns · Avg: 2.8/10
Market CapQuality
$368.32M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
3.6%3/10

ROE of 3.6% — below average capital efficiency

Profit MarginProfitability
1.0%3/10

1.0% margin — thin

P/E RatioValuation
47.5x2/10

Premium valuation, high expectations priced in

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 : GNE

The strongest argument for GNE centers on Price/Book, Revenue Growth. Revenue growth of 23.6% demonstrates continued momentum.

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 : GNE

The primary concerns for GNE are Market Cap, Return on Equity, Profit Margin. A P/E of 47.5x leaves little room for execution misses. Thin 1.0% margins leave little buffer for downturns.

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

SBS carries more volatility with a beta of 0.20 — expect wider price swings.

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

GNE generates stronger free cash flow (12M), providing more financial flexibility.

Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SBS scores higher overall (77/100 vs 44/100), backed by strong 22.2% margins and 43.9% revenue growth. GNE offers better value entry with a 35.0% margin of safety. Both earn "Strong 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.

Genie Energy Ltd

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Genie Energy Ltd. supplies electricity and natural gas to residential and small business customers in the United States, Europe and Asia. The company is headquartered in Newark, New Jersey.

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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