WallStSmart

Petroleo Brasileiro Petrobras SA ADR (PBR)vsPepsiCo Inc (PEP)

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Smart Verdict

WallStSmart Research — data-driven comparison

Petroleo Brasileiro Petrobras SA ADR generates 421% more annual revenue ($497.55B vs $95.45B). PBR leads profitability with a 22.1% profit margin vs 9.2%. PBR appears more attractively valued with a PEG of 0.38. PBR earns a higher WallStSmart Score of 76/100 (B+).

PBR

Strong Buy

76

out of 100

Grade: B+

Growth: 4.0Profit: 9.0Value: 8.3Quality: 4.5
Piotroski: 5/9Altman Z: 1.35

PEP

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 8.0Value: 4.7Quality: 4.8
Piotroski: 3/9Altman Z: 2.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for PBR.

PEPFair Value (-2.3%)

Margin of Safety

-2.3%

Fair Value

$154.87

Current Price

$158.49

$3.62 premium

UndervaluedFair: $154.87Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PBR6 strengths · Avg: 9.2/10
PEG RatioValuation
0.3810/10

Growing faster than its price suggests

P/E RatioValuation
7.3x10/10

Attractively priced relative to earnings

Market CapQuality
$141.97B9/10

Large-cap with strong market position

Return on EquityProfitability
28.2%9/10

Every $100 of equity generates 28 in profit

Profit MarginProfitability
22.1%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

PEP3 strengths · Avg: 9.3/10
Market CapQuality
$212.27B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
43.9%10/10

Every $100 of equity generates 44 in profit

EPS GrowthGrowth
27.8%8/10

Earnings expanding 27.8% YoY

Areas to Watch

PBR2 concerns · Avg: 3.0/10
EPS GrowthGrowth
0.5%4/10

0.5% earnings growth

Altman Z-ScoreHealth
1.352/10

Distress zone — elevated risk

PEP4 concerns · Avg: 3.3/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

Price/BookValuation
10.1x4/10

Trading at 10.1x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-406.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : PBR

The strongest argument for PBR centers on PEG Ratio, P/E Ratio, Market Cap. Profitability is solid with margins at 22.1% and operating margin at 26.9%. PEG of 0.38 suggests the stock is reasonably priced for its growth.

Bull Case : PEP

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

Bear Case : PBR

The primary concerns for PBR are EPS Growth, Altman Z-Score.

Bear Case : PEP

The primary concerns for PEP are PEG Ratio, Price/Book, Piotroski F-Score.

Key Dynamics to Monitor

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

PEP is growing revenue faster at 8.5% — sustainability is the question.

PBR generates stronger free cash flow (3.2B), providing more financial flexibility.

Monitor OIL & GAS INTEGRATED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PBR scores higher overall (76/100 vs 63/100), backed by strong 22.1% margins. 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.

Petroleo Brasileiro Petrobras SA ADR

ENERGY · OIL & GAS INTEGRATED · USA

Petrleo Brasileiro SA - Petrobras produces and sells oil and gas in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.

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PepsiCo Inc

CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA

PepsiCo, Inc. is an American based multinational food, snack, and beverage corporation headquartered in Harrison, New York, in the hamlet of Purchase. PepsiCo's business encompasses all aspects of the food and beverage market. It oversees the manufacturing, distribution, and marketing of its products.

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