WallStSmart

The Coca-Cola Company (KO)vsTAL Education Group (TAL)

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Smart Verdict

WallStSmart Research — data-driven comparison

The Coca-Cola Company generates 1538% more annual revenue ($49.28B vs $3.01B). KO leads profitability with a 27.8% profit margin vs 17.6%. KO appears more attractively valued with a PEG of 4.03. TAL earns a higher WallStSmart Score of 66/100 (B-).

KO

Strong Buy

65

out of 100

Grade: B-

Growth: 6.0Profit: 9.5Value: 3.3Quality: 6.0
Piotroski: 6/9Altman Z: 2.49

TAL

Strong Buy

66

out of 100

Grade: B-

Growth: 10.0Profit: 6.5Value: 6.7Quality: 6.0
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KOSignificantly Overvalued (-21.9%)

Margin of Safety

-21.9%

Fair Value

$64.15

Current Price

$78.58

$14.43 premium

UndervaluedFair: $64.15Overvalued
TALUndervalued (+88.2%)

Margin of Safety

+88.2%

Fair Value

$101.06

Current Price

$10.89

$90.17 discount

UndervaluedFair: $101.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KO5 strengths · Avg: 9.4/10
Market CapQuality
$336.45B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
43.4%10/10

Every $100 of equity generates 43 in profit

Operating MarginProfitability
35.1%10/10

Strong operational efficiency at 35.1%

Profit MarginProfitability
27.8%9/10

Keeps 28 of every $100 in revenue as profit

Free Cash FlowQuality
$1.75B8/10

Generating 1.8B in free cash flow

TAL4 strengths · Avg: 9.0/10
Revenue GrowthGrowth
31.5%10/10

Revenue surging 31.5% year-over-year

EPS GrowthGrowth
536.0%10/10

Earnings expanding 536.0% YoY

P/E RatioValuation
12.1x8/10

Attractively priced relative to earnings

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Areas to Watch

KO3 concerns · Avg: 3.0/10
Price/BookValuation
10.0x4/10

Trading at 10.0x book value

Debt/EquityHealth
1.413/10

Elevated debt levels

PEG RatioValuation
4.032/10

Expensive relative to growth rate

TAL1 concerns · Avg: 2.0/10
PEG RatioValuation
12.622/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : KO

The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.8% and operating margin at 35.1%. Revenue growth of 12.1% demonstrates continued momentum.

Bull Case : TAL

The strongest argument for TAL centers on Revenue Growth, EPS Growth, P/E Ratio. Profitability is solid with margins at 17.6% and operating margin at 9.0%. Revenue growth of 31.5% demonstrates continued momentum.

Bear Case : KO

The primary concerns for KO are Price/Book, Debt/Equity, PEG Ratio.

Bear Case : TAL

The primary concerns for TAL are PEG Ratio.

Key Dynamics to Monitor

KO profiles as a mature stock while TAL is a growth play — different risk/reward profiles.

KO carries more volatility with a beta of 0.36 — expect wider price swings.

TAL is growing revenue faster at 31.5% — sustainability is the question.

KO generates stronger free cash flow (1.8B), providing more financial flexibility.

Bottom Line

TAL scores higher overall (66/100 vs 65/100), backed by strong 17.6% margins and 31.5% revenue growth. Both earn "Strong Buy" and "Strong 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.

The Coca-Cola Company

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.

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TAL Education Group

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China

TAL Education Group offers K-12 afterschool tutoring services in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.

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