PepsiCo Inc (PEP)vsTE Connectivity Ltd (TEL)
PEP
PepsiCo Inc
$151.73
+0.76%
CONSUMER DEFENSIVE · Cap: $205.91B
TEL
TE Connectivity Ltd
$206.37
+2.78%
TECHNOLOGY · Cap: $60.58B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 419% more annual revenue ($93.92B vs $18.09B). TEL leads profitability with a 11.4% profit margin vs 8.8%. TEL appears more attractively valued with a PEG of 1.14. TEL earns a higher WallStSmart Score of 74/100 (B).
PEP
Buy59
out of 100
Grade: C
TEL
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+45.9%
Fair Value
$280.33
Current Price
$151.73
$128.60 discount
Margin of Safety
+29.8%
Fair Value
$325.26
Current Price
$206.37
$118.89 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Earnings expanding 67.5% YoY
Generating 4.7B in free cash flow
Large-cap with strong market position
Strong operational efficiency at 20.9%
Revenue surging 21.7% year-over-year
Earnings expanding 44.4% YoY
Areas to Watch
Moderate valuation
Trading at 10.2x book value
Weak financial health signals
Expensive relative to growth rate
Moderate valuation
Comparative Analysis Report
WallStSmart ResearchBull Case : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : TEL
The strongest argument for TEL centers on Market Cap, Operating Margin, Revenue Growth. Revenue growth of 21.7% demonstrates continued momentum. PEG of 1.14 suggests the stock is reasonably priced for its growth.
Bear Case : PEP
The primary concerns for PEP are P/E Ratio, Price/Book, Piotroski F-Score.
Bear Case : TEL
The primary concerns for TEL are P/E Ratio.
Key Dynamics to Monitor
PEP profiles as a value stock while TEL is a growth play — different risk/reward profiles.
TEL carries more volatility with a beta of 1.25 — expect wider price swings.
TEL is growing revenue faster at 21.7% — sustainability is the question.
PEP generates stronger free cash flow (4.7B), providing more financial flexibility.
Bottom Line
TEL scores higher overall (74/100 vs 59/100) and 21.7% revenue growth. PEP offers better value entry with a 45.9% 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.
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.
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.
Compare with Other BEVERAGES - NON-ALCOHOLIC Stocks
Want to dig deeper into these stocks?