WallStSmart

H2O America (HTO)vsShell PLC ADR (SHEL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shell PLC ADR generates 32595% more annual revenue ($266.89B vs $816.28M). HTO leads profitability with a 12.9% profit margin vs 6.7%. SHEL appears more attractively valued with a PEG of 1.31. SHEL earns a higher WallStSmart Score of 61/100 (C+).

HTO

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 5.5Value: 6.0Quality: 5.0

SHEL

Buy

61

out of 100

Grade: C+

Growth: 4.7Profit: 5.5Value: 6.7Quality: 6.0
Piotroski: 4/9Altman Z: 2.34
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HTOUndervalued (+32.5%)

Margin of Safety

+32.5%

Fair Value

$76.99

Current Price

$57.60

$19.39 discount

UndervaluedFair: $76.99Overvalued
SHELUndervalued (+4.3%)

Margin of Safety

+4.3%

Fair Value

$84.45

Current Price

$88.98

$4.53 discount

UndervaluedFair: $84.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HTO2 strengths · Avg: 9.0/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
21.5%8/10

Strong operational efficiency at 21.5%

SHEL5 strengths · Avg: 9.2/10
Market CapQuality
$252.85B10/10

Mega-cap, among the largest globally

Price/BookValuation
1.5x10/10

Reasonable price relative to book value

EPS GrowthGrowth
376.2%10/10

Earnings expanding 376.2% YoY

P/E RatioValuation
15.1x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$3.45B8/10

Generating 3.4B in free cash flow

Areas to Watch

HTO4 concerns · Avg: 2.8/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Return on EquityProfitability
6.5%3/10

ROE of 6.5% — below average capital efficiency

PEG RatioValuation
2.512/10

Expensive relative to growth rate

Free Cash FlowQuality
$-49.23M2/10

Negative free cash flow — burning cash

SHEL2 concerns · Avg: 2.5/10
Profit MarginProfitability
6.7%3/10

6.7% margin — thin

Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : HTO

The strongest argument for HTO centers on Price/Book, Operating Margin.

Bull Case : SHEL

The strongest argument for SHEL centers on Market Cap, Price/Book, EPS Growth. PEG of 1.31 suggests the stock is reasonably priced for its growth.

Bear Case : HTO

The primary concerns for HTO are EPS Growth, Return on Equity, PEG Ratio.

Bear Case : SHEL

The primary concerns for SHEL are Profit Margin, Revenue Growth.

Key Dynamics to Monitor

HTO carries more volatility with a beta of 0.41 — expect wider price swings.

HTO is growing revenue faster at 9.4% — sustainability is the question.

SHEL generates stronger free cash flow (3.4B), providing more financial flexibility.

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

Bottom Line

SHEL scores higher overall (61/100 vs 57/100). HTO offers better value entry with a 32.5% margin of safety. Both earn "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.

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.

Shell PLC ADR

ENERGY · OIL & GAS INTEGRATED · USA

Shell plc is a global petrochemical and energy company. The company is headquartered in The Hague, the Netherlands.

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