WallStSmart

PepsiCo Inc (PEP)vsUnited-Guardian Inc (UG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PepsiCo Inc generates 885952% more annual revenue ($96.90B vs $10.94M). UG leads profitability with a 21.6% profit margin vs 10.8%. UG appears more attractively valued with a PEG of 1.13. PEP earns a higher WallStSmart Score of 71/100 (B).

PEP

Strong Buy

71

out of 100

Grade: B

Growth: 6.7Profit: 8.0Value: 6.0Quality: 4.0
Piotroski: 3/9Altman Z: 2.26

UG

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 8.0Value: 8.0Quality: 7.3
Piotroski: 3/9Altman Z: 7.18
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PEPFair Value (-1.9%)

Margin of Safety

-1.9%

Fair Value

$140.22

Current Price

$142.86

$2.64 premium

UndervaluedFair: $140.22Overvalued
UGUndervalued (+35.7%)

Margin of Safety

+35.7%

Fair Value

$10.25

Current Price

$7.13

$3.12 discount

UndervaluedFair: $10.25Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PEP5 strengths · Avg: 9.0/10
Return on EquityProfitability
47.5%10/10

Every $100 of equity generates 47 in profit

EPS GrowthGrowth
137.0%10/10

Earnings expanding 137.0% YoY

Market CapQuality
$185.30B9/10

Large-cap with strong market position

P/E RatioValuation
17.7x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.50B8/10

Generating 1.5B in free cash flow

UG6 strengths · Avg: 8.5/10
Altman Z-ScoreHealth
7.1810/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
21.6%9/10

Keeps 22 of every $100 in revenue as profit

P/E RatioValuation
14.5x8/10

Attractively priced relative to earnings

Operating MarginProfitability
22.4%8/10

Strong operational efficiency at 22.4%

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

EPS GrowthGrowth
46.0%8/10

Earnings expanding 46.0% YoY

Areas to Watch

PEP3 concerns · Avg: 2.7/10
Price/BookValuation
9.1x4/10

Trading at 9.1x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Debt/EquityHealth
2.411/10

Elevated debt levels

UG2 concerns · Avg: 3.0/10
Market CapQuality
$34.69M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : PEP

The strongest argument for PEP centers on Return on Equity, EPS Growth, Market Cap. PEG of 1.46 suggests the stock is reasonably priced for its growth.

Bull Case : UG

The strongest argument for UG centers on Altman Z-Score, Profit Margin, P/E Ratio. Profitability is solid with margins at 21.6% and operating margin at 22.4%. Revenue growth of 15.8% demonstrates continued momentum.

Bear Case : PEP

The primary concerns for PEP are Price/Book, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.41 is elevated, increasing financial risk.

Bear Case : UG

The primary concerns for UG are Market Cap, Piotroski F-Score.

Key Dynamics to Monitor

PEP profiles as a value stock while UG is a growth play — different risk/reward profiles.

UG carries more volatility with a beta of 0.96 — expect wider price swings.

UG is growing revenue faster at 15.8% — sustainability is the question.

PEP generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

PEP scores higher overall (71/100 vs 69/100). UG offers better value entry with a 35.7% margin of safety. 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.

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.

United-Guardian Inc

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

United-Guardian, Inc. manufactures and markets cosmetic ingredients, pharmaceuticals, medical lubricants, and specialty industrial products in the United States and internationally. The company is headquartered in Hauppauge, New York.

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