H2O America (HTO)vsTE Connectivity Ltd (TEL)
HTO
H2O America
$57.60
-0.66%
UTILITIES · Cap: $2.37B
TEL
TE Connectivity Ltd
$216.17
+4.46%
TECHNOLOGY · Cap: $59.92B
Smart Verdict
WallStSmart Research — data-driven comparison
TE Connectivity Ltd generates 2190% more annual revenue ($18.70B vs $816.28M). TEL leads profitability with a 15.5% profit margin vs 12.9%. TEL appears more attractively valued with a PEG of 1.08. TEL earns a higher WallStSmart Score of 76/100 (B+).
HTO
Buy57
out of 100
Grade: C
TEL
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+32.5%
Fair Value
$76.99
Current Price
$57.60
$19.39 discount
Margin of Safety
-60.4%
Fair Value
$142.48
Current Price
$216.17
$73.69 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Strong operational efficiency at 21.5%
Earnings expanding 7150.0% YoY
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Strong operational efficiency at 20.3%
Areas to Watch
0.0% earnings growth
ROE of 6.5% — below average capital efficiency
Expensive relative to growth rate
Negative free cash flow — burning cash
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : HTO
The strongest argument for HTO centers on Price/Book, Operating Margin.
Bull Case : TEL
The strongest argument for TEL centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 15.5% and operating margin at 20.3%. Revenue growth of 14.5% demonstrates continued momentum.
Bear Case : HTO
The primary concerns for HTO are EPS Growth, Return on Equity, PEG Ratio.
Bear Case : TEL
No major red flags identified for TEL, but monitor valuation.
Key Dynamics to Monitor
HTO profiles as a value stock while TEL is a mature play — different risk/reward profiles.
TEL carries more volatility with a beta of 1.18 — expect wider price swings.
TEL is growing revenue faster at 14.5% — sustainability is the question.
TEL generates stronger free cash flow (677M), providing more financial flexibility.
Bottom Line
TEL scores higher overall (76/100 vs 57/100), backed by strong 15.5% margins and 14.5% revenue growth. HTO offers better value entry with a 32.5% 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.
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.
TE Connectivity Ltd
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.
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