WallStSmart

Coca-Cola Femsa SAB de CV ADR (KOF)vsTarget Corporation (TGT)

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Smart Verdict

WallStSmart Research — data-driven comparison

Coca-Cola Femsa SAB de CV ADR generates 175% more annual revenue ($296.20B vs $107.70B). KOF leads profitability with a 8.1% profit margin vs 4.1%. TGT appears more attractively valued with a PEG of 1.98. TGT earns a higher WallStSmart Score of 66/100 (B-).

KOF

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 6.5Value: 4.7Quality: 5.5
Piotroski: 3/9Altman Z: 2.47

TGT

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 6.0Value: 6.0Quality: 4.5
Piotroski: 3/9Altman Z: 2.47
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KOFUndervalued (+59.6%)

Margin of Safety

+59.6%

Fair Value

$279.04

Current Price

$115.47

$163.57 discount

UndervaluedFair: $279.04Overvalued
TGTUndervalued (+5.4%)

Margin of Safety

+5.4%

Fair Value

$121.20

Current Price

$148.96

$27.76 discount

UndervaluedFair: $121.20Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KOF1 strengths · Avg: 8.0/10
Free Cash FlowQuality
$8.86B8/10

Generating 8.9B in free cash flow

TGT5 strengths · Avg: 8.8/10
EPS GrowthGrowth
100.5%10/10

Earnings expanding 100.5% YoY

Market CapQuality
$70.08B9/10

Large-cap with strong market position

Return on EquityProfitability
24.6%9/10

Every $100 of equity generates 25 in profit

P/E RatioValuation
16.0x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$2.43B8/10

Generating 2.4B in free cash flow

Areas to Watch

KOF4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
4.7%4/10

4.7% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
18.102/10

Expensive relative to growth rate

P/E RatioValuation
149.5x2/10

Premium valuation, high expectations priced in

TGT4 concerns · Avg: 3.3/10
PEG RatioValuation
1.984/10

Expensive relative to growth rate

Profit MarginProfitability
4.1%3/10

4.1% margin — thin

Debt/EquityHealth
1.053/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : KOF

The strongest argument for KOF centers on Free Cash Flow.

Bull Case : TGT

The strongest argument for TGT centers on EPS Growth, Market Cap, Return on Equity.

Bear Case : KOF

The primary concerns for KOF are Revenue Growth, Piotroski F-Score, PEG Ratio. A P/E of 149.5x leaves little room for execution misses.

Bear Case : TGT

The primary concerns for TGT are PEG Ratio, Profit Margin, Debt/Equity. Thin 4.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

TGT carries more volatility with a beta of 0.98 — expect wider price swings.

TGT is growing revenue faster at 5.3% — sustainability is the question.

KOF generates stronger free cash flow (8.9B), providing more financial flexibility.

Monitor BEVERAGES - NON-ALCOHOLIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TGT scores higher overall (66/100 vs 56/100). KOF offers better value entry with a 59.6% 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.

Coca-Cola Femsa SAB de CV ADR

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

Coca-Cola FEMSA, SAB de CV, a franchise bottler, produces, markets, sells and distributes Coca-Cola brand beverages. The company is headquartered in Mexico City, Mexico.

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Target Corporation

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Target Corporation is an American retail corporation. Their retail formats include the discount store Target, the hypermarket SuperTarget, and small-format stores previously named CityTarget and TargetExpress before being consolidated under the Target branding.

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