H2O America (HTO)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)
HTO
H2O America
$56.72
+0.48%
UTILITIES · Cap: $2.37B
SBS
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
$29.86
+2.61%
UTILITIES · Cap: $20.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 4658% more annual revenue ($38.09B vs $800.59M). SBS leads profitability with a 22.2% profit margin vs 12.8%. SBS appears more attractively valued with a PEG of 0.47. SBS earns a higher WallStSmart Score of 87/100 (A).
HTO
Hold49
out of 100
Grade: D+
SBS
Exceptional Buy87
out of 100
Grade: A
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-161.7%
Fair Value
$19.86
Current Price
$56.72
$36.86 premium
Margin of Safety
+72.9%
Fair Value
$109.04
Current Price
$29.86
$79.18 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Strong operational efficiency at 34.6%
Revenue surging 43.9% year-over-year
Earnings expanding 87.2% YoY
Every $100 of equity generates 21 in profit
Keeps 22 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
ROE of 7.1% — below average capital efficiency
Revenue declined 1.8%
Earnings declined 34.4%
Grey zone — moderate risk
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : HTO
The strongest argument for HTO centers on Price/Book.
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 : HTO
The primary concerns for HTO are PEG Ratio, Return on Equity, Revenue Growth.
Bear Case : SBS
The primary concerns for SBS are Altman Z-Score, Piotroski F-Score.
Key Dynamics to Monitor
HTO profiles as a declining stock while SBS is a growth play — different risk/reward profiles.
HTO carries more volatility with a beta of 0.48 — expect wider price swings.
SBS is growing revenue faster at 43.9% — sustainability is the question.
SBS generates stronger free cash flow (620M), providing more financial flexibility.
Bottom Line
SBS scores higher overall (87/100 vs 49/100), backed by strong 22.2% margins and 43.9% revenue growth. Both earn "Exceptional 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.
H2O America
UTILITIES · UTILITIES - REGULATED WATER · USA
H2O America, provides water utility and other related services in the United States. The company is headquartered in San Jose, California.
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.
Compare with Other UTILITIES - REGULATED WATER Stocks
Want to dig deeper into these stocks?