WallStSmart

SAP SE ADR (SAP)vsWPP PLC ADR (WPP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SAP SE ADR generates 176% more annual revenue ($37.34B vs $13.55B). SAP leads profitability with a 19.6% profit margin vs -1.6%. SAP appears more attractively valued with a PEG of 0.73. SAP earns a higher WallStSmart Score of 62/100 (C+).

SAP

Buy

62

out of 100

Grade: C+

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

WPP

Avoid

32

out of 100

Grade: F

Growth: 2.0Profit: 3.0Value: 5.7Quality: 2.5
Piotroski: 3/9Altman Z: 0.73
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SAPSignificantly Overvalued (-16.9%)

Margin of Safety

-16.9%

Fair Value

$168.01

Current Price

$173.70

$5.69 premium

UndervaluedFair: $168.01Overvalued
WPPUndervalued (+75.6%)

Margin of Safety

+75.6%

Fair Value

$75.12

Current Price

$18.97

$56.15 discount

UndervaluedFair: $75.12Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

WPP1 strengths · Avg: 8.0/10
Free Cash FlowQuality
$1.71B8/10

Generating 1.7B in free cash flow

Areas to Watch

SAP0 concerns · Avg: 0/10

No major concerns identified

WPP4 concerns · Avg: 2.5/10
Operating MarginProfitability
2.2%3/10

Operating margin of 2.2%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.232/10

Expensive relative to growth rate

Return on EquityProfitability
-5.3%2/10

ROE of -5.3% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : WPP

The strongest argument for WPP centers on Free Cash Flow.

Bear Case : SAP

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

Bear Case : WPP

The primary concerns for WPP are Operating Margin, Piotroski F-Score, PEG Ratio. Debt-to-equity of 2.13 is elevated, increasing financial risk.

Key Dynamics to Monitor

SAP profiles as a mature stock while WPP is a turnaround play — different risk/reward profiles.

SAP carries more volatility with a beta of 0.71 — expect wider price swings.

SAP is growing revenue faster at 6.0% — sustainability is the question.

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

Bottom Line

SAP scores higher overall (62/100 vs 32/100), backed by strong 19.6% margins. WPP offers better value entry with a 75.6% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

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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WPP PLC ADR

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

WPP plc, a creative transformation company, provides communications, expertise, trade and technology services in North America, the UK, Western Continental Europe, Asia Pacific, Latin America, Africa, the Middle East, and Central and Eastern Europe. The company is headquartered in London, the United Kingdom.

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