WallStSmart

Qnity Electronics, Inc (Q)vsSAP SE ADR (SAP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SAP SE ADR generates 685% more annual revenue ($37.34B vs $4.75B). SAP leads profitability with a 19.6% profit margin vs 14.6%. SAP appears more attractively valued with a PEG of 0.73. SAP earns a higher WallStSmart Score of 62/100 (C+).

Q

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 6.0Value: 3.3Quality: 5.0

SAP

Buy

62

out of 100

Grade: C+

Growth: 6.0Profit: 8.5Value: 5.3Quality: 7.5
Piotroski: 5/9Altman Z: 3.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

QOvervalued (-9.0%)

Margin of Safety

-9.0%

Fair Value

$105.09

Current Price

$143.59

$38.50 premium

UndervaluedFair: $105.09Overvalued
SAPSignificantly Overvalued (-16.9%)

Margin of Safety

-16.9%

Fair Value

$168.01

Current Price

$173.70

$5.69 premium

UndervaluedFair: $168.01Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

Q1 strengths · Avg: 8.0/10
Operating MarginProfitability
20.4%8/10

Strong operational efficiency at 20.4%

SAP6 strengths · Avg: 9.2/10
Market CapQuality
$204.11B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
30.0%10/10

Strong operational efficiency at 30.0%

Altman Z-ScoreHealth
3.1110/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.738/10

Growing faster than its price suggests

Free Cash FlowQuality
$3.27B8/10

Generating 3.3B in free cash flow

Areas to Watch

Q4 concerns · Avg: 2.3/10
Return on EquityProfitability
8.0%3/10

ROE of 8.0% — below average capital efficiency

PEG RatioValuation
2.862/10

Expensive relative to growth rate

P/E RatioValuation
43.5x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-52.8%2/10

Earnings declined 52.8%

SAP0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : Q

The strongest argument for Q centers on Operating Margin.

Bull Case : SAP

The strongest argument for SAP centers on Market Cap, Operating Margin, Altman Z-Score. Profitability is solid with margins at 19.6% and operating margin at 30.0%. PEG of 0.73 suggests the stock is reasonably priced for its growth.

Bear Case : Q

The primary concerns for Q are Return on Equity, PEG Ratio, P/E Ratio. A P/E of 43.5x leaves little room for execution misses.

Bear Case : SAP

No major red flags identified for SAP, but monitor valuation.

Key Dynamics to Monitor

Q profiles as a value stock while SAP is a mature play — different risk/reward profiles.

Q is growing revenue faster at 8.1% — sustainability is the question.

SAP generates stronger free cash flow (3.3B), providing more financial flexibility.

Monitor SEMICONDUCTOR EQUIPMENT & MATERIALS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SAP scores higher overall (62/100 vs 49/100), backed by strong 19.6% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Qnity Electronics, Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

IQVIA Holdings Inc. provides integrated information and technology-enabled healthcare services in the Americas, Europe, Africa, and Asia-Pacific. The company is headquartered in Durham, North Carolina.

SAP SE ADR

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.

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