WallStSmart

Qualcomm Incorporated (QCOM)vsStarbucks Corporation (SBUX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Qualcomm Incorporated generates 16% more annual revenue ($44.49B vs $38.47B). QCOM leads profitability with a 22.3% profit margin vs 3.9%. QCOM appears more attractively valued with a PEG of 0.82. QCOM earns a higher WallStSmart Score of 71/100 (B).

QCOM

Strong Buy

71

out of 100

Grade: B

Growth: 5.3Profit: 8.5Value: 6.7Quality: 7.5
Piotroski: 4/9Altman Z: 3.17

SBUX

Hold

49

out of 100

Grade: D+

Growth: 6.7Profit: 5.0Value: 4.7Quality: 4.3
Piotroski: 2/9Altman Z: 1.07
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

QCOMUndervalued (+8.0%)

Margin of Safety

+8.0%

Fair Value

$220.25

Current Price

$219.09

$1.16 discount

UndervaluedFair: $220.25Overvalued
SBUXUndervalued (+26.6%)

Margin of Safety

+26.6%

Fair Value

$135.09

Current Price

$104.93

$30.16 discount

UndervaluedFair: $135.09Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

QCOM6 strengths · Avg: 9.5/10
Market CapQuality
$230.92B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
36.1%10/10

Every $100 of equity generates 36 in profit

EPS GrowthGrowth
173.0%10/10

Earnings expanding 173.0% YoY

Altman Z-ScoreHealth
3.1710/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
22.3%9/10

Keeps 22 of every $100 in revenue as profit

PEG RatioValuation
0.828/10

Growing faster than its price suggests

SBUX2 strengths · Avg: 8.5/10
Market CapQuality
$118.83B9/10

Large-cap with strong market position

EPS GrowthGrowth
32.6%8/10

Earnings expanding 32.6% YoY

Areas to Watch

QCOM2 concerns · Avg: 3.0/10
Price/BookValuation
10.2x4/10

Trading at 10.2x book value

Revenue GrowthGrowth
-3.5%2/10

Revenue declined 3.5%

SBUX4 concerns · Avg: 3.3/10
PEG RatioValuation
1.794/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
3.9%3/10

3.9% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : QCOM

The strongest argument for QCOM centers on Market Cap, Return on Equity, EPS Growth. Profitability is solid with margins at 22.3% and operating margin at 22.1%. PEG of 0.82 suggests the stock is reasonably priced for its growth.

Bull Case : SBUX

The strongest argument for SBUX centers on Market Cap, EPS Growth.

Bear Case : QCOM

The primary concerns for QCOM are Price/Book, Revenue Growth.

Bear Case : SBUX

The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 79.6x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

QCOM profiles as a declining stock while SBUX is a value play — different risk/reward profiles.

QCOM carries more volatility with a beta of 1.49 — expect wider price swings.

SBUX is growing revenue faster at 8.8% — sustainability is the question.

QCOM generates stronger free cash flow (1.9B), providing more financial flexibility.

Bottom Line

QCOM scores higher overall (71/100 vs 49/100), backed by strong 22.3% margins. SBUX offers better value entry with a 26.6% margin of safety. Both earn "Strong 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.

Qualcomm Incorporated

TECHNOLOGY · SEMICONDUCTORS · USA

Qualcomm is an American multinational corporation headquartered in San Diego, California, and incorporated in Delaware. It creates semiconductors, software, and services related to wireless technology. It owns patents critical to the 5G, 4G, CDMA2000, TD-SCDMA and WCDMA mobile communications standards.

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Starbucks Corporation

CONSUMER CYCLICAL · RESTAURANTS · USA

Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.

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