WallStSmart

PPL Corporation (PPL)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 321% more annual revenue ($38.09B vs $9.04B). SBS leads profitability with a 22.2% profit margin vs 13.1%. SBS appears more attractively valued with a PEG of 0.47. SBS earns a higher WallStSmart Score of 77/100 (B+).

PPL

Strong Buy

67

out of 100

Grade: B-

Growth: 6.0Profit: 6.5Value: 4.7Quality: 3.3
Piotroski: 3/9Altman Z: 0.80

SBS

Strong Buy

77

out of 100

Grade: B+

Growth: 9.3Profit: 8.5Value: 5.3Quality: 4.3
Piotroski: 2/9Altman Z: 1.81
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PPLSignificantly Overvalued (-23.8%)

Margin of Safety

-23.8%

Fair Value

$29.07

Current Price

$35.91

$6.84 premium

UndervaluedFair: $29.07Overvalued
SBSFair Value (-1.0%)

Margin of Safety

-1.0%

Fair Value

$29.29

Current Price

$6.35

$22.94 premium

UndervaluedFair: $29.29Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PPL2 strengths · Avg: 8.0/10
Price/BookValuation
1.8x8/10

Reasonable price relative to book value

EPS GrowthGrowth
49.9%8/10

Earnings expanding 49.9% YoY

SBS6 strengths · Avg: 9.7/10
PEG RatioValuation
0.4710/10

Growing faster than its price suggests

Operating MarginProfitability
34.6%10/10

Strong operational efficiency at 34.6%

Revenue GrowthGrowth
43.9%10/10

Revenue surging 43.9% year-over-year

EPS GrowthGrowth
87.2%10/10

Earnings expanding 87.2% YoY

Market CapQuality
$116.87B9/10

Large-cap with strong market position

Return on EquityProfitability
21.3%9/10

Every $100 of equity generates 21 in profit

Areas to Watch

PPL4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
2.8%4/10

2.8% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-614.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.802/10

Distress zone — elevated risk

SBS4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.814/10

Grey zone — moderate risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
331.6x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-8.22B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : PPL

The strongest argument for PPL centers on Price/Book, EPS Growth. PEG of 1.43 suggests the stock is reasonably priced for its growth.

Bull Case : SBS

The strongest argument for SBS centers on PEG Ratio, Operating Margin, Revenue Growth. Profitability is solid with margins at 22.2% and operating margin at 34.6%. Revenue growth of 43.9% demonstrates continued momentum.

Bear Case : PPL

The primary concerns for PPL are Revenue Growth, Piotroski F-Score, Free Cash Flow.

Bear Case : SBS

The primary concerns for SBS are Altman Z-Score, Piotroski F-Score, P/E Ratio. A P/E of 331.6x leaves little room for execution misses.

Key Dynamics to Monitor

PPL profiles as a value stock while SBS is a growth play — different risk/reward profiles.

PPL carries more volatility with a beta of 0.62 — expect wider price swings.

SBS is growing revenue faster at 43.9% — sustainability is the question.

PPL generates stronger free cash flow (-614M), providing more financial flexibility.

Bottom Line

SBS scores higher overall (77/100 vs 67/100), backed by strong 22.2% margins and 43.9% 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.

PPL Corporation

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

PPL Corporation is an energy company headquartered in Allentown, Pennsylvania, United States.

Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR

UTILITIES · UTILITIES - REGULATED WATER · USA

Companhia de Saneamento Basico do Estado de So Paulo - SABESP provides water and sewerage services to residential, commercial, industrial and government clients. The company is headquartered in So Paulo, Brazil.

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