H2O America (HTO)vsWarner Bros Discovery Inc (WBD)
HTO
H2O America
$57.60
-0.66%
UTILITIES · Cap: $2.37B
WBD
Warner Bros Discovery Inc
$27.20
-0.07%
COMMUNICATION SERVICES · Cap: $67.61B
Smart Verdict
WallStSmart Research — data-driven comparison
Warner Bros Discovery Inc generates 4469% more annual revenue ($37.30B vs $816.28M). HTO leads profitability with a 12.9% profit margin vs 1.9%. HTO appears more attractively valued with a PEG of 2.51. HTO earns a higher WallStSmart Score of 57/100 (C).
HTO
Buy57
out of 100
Grade: C
WBD
Buy51
out of 100
Grade: C-
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
+60.6%
Fair Value
$71.09
Current Price
$27.20
$43.89 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Strong operational efficiency at 21.5%
Earnings expanding 226.7% YoY
Large-cap with strong market position
Reasonable price relative to book value
Generating 1.4B in free cash flow
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
ROE of 2.1% — below average capital efficiency
1.9% margin — thin
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : HTO
The strongest argument for HTO centers on Price/Book, Operating Margin.
Bull Case : WBD
The strongest argument for WBD centers on EPS Growth, Market Cap, Price/Book.
Bear Case : HTO
The primary concerns for HTO are EPS Growth, Return on Equity, PEG Ratio.
Bear Case : WBD
The primary concerns for WBD are Return on Equity, Profit Margin, PEG Ratio. A P/E of 93.0x leaves little room for execution misses. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
WBD carries more volatility with a beta of 1.64 — expect wider price swings.
HTO is growing revenue faster at 9.4% — sustainability is the question.
WBD generates stronger free cash flow (1.4B), providing more financial flexibility.
Monitor UTILITIES - REGULATED WATER industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HTO scores higher overall (57/100 vs 51/100). WBD offers better value entry with a 60.6% 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.
Warner Bros Discovery Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Warner Bros. The company is headquartered in New York, New York.
Compare with Other UTILITIES - REGULATED WATER Stocks
Want to dig deeper into these stocks?