WallStSmart

Saratoga Investment Corp (SAR)vsWells Fargo & Company (WFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 66764% more annual revenue ($83.03B vs $124.17M). WFC leads profitability with a 27.2% profit margin vs 12.7%. WFC trades at a lower P/E of 12.9x. WFC earns a higher WallStSmart Score of 76/100 (B+).

SAR

Hold

48

out of 100

Grade: D+

Growth: 4.7Profit: 7.0Value: 5.3Quality: 6.3
Piotroski: 4/9

WFC

Strong Buy

76

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 5.7Quality: 3.0
Piotroski: 4/9Altman Z: -0.38

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SAR2 strengths · Avg: 10.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Operating MarginProfitability
69.0%10/10

Strong operational efficiency at 69.0%

WFC6 strengths · Avg: 8.8/10
Market CapQuality
$264.72B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
37.4%10/10

Strong operational efficiency at 37.4%

Profit MarginProfitability
27.2%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
12.9x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.0%8/10

Earnings expanding 25.0% YoY

Areas to Watch

SAR4 concerns · Avg: 2.5/10
Market CapQuality
$311.65M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.563/10

Elevated debt levels

Revenue GrowthGrowth
-4.8%2/10

Revenue declined 4.8%

Free Cash FlowQuality
$-25.97M2/10

Negative free cash flow — burning cash

WFC3 concerns · Avg: 2.3/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.382/10

Distress zone — elevated risk

Debt/EquityHealth
2.551/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : SAR

The strongest argument for SAR centers on Price/Book, Operating Margin.

Bull Case : WFC

The strongest argument for WFC centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 27.2% and operating margin at 37.4%.

Bear Case : SAR

The primary concerns for SAR are Market Cap, Debt/Equity, Revenue Growth. Debt-to-equity of 1.56 is elevated, increasing financial risk.

Bear Case : WFC

The primary concerns for WFC are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.55 is elevated, increasing financial risk.

Key Dynamics to Monitor

SAR profiles as a declining stock while WFC is a mature play — different risk/reward profiles.

WFC carries more volatility with a beta of 0.92 — expect wider price swings.

WFC is growing revenue faster at 9.5% — sustainability is the question.

WFC generates stronger free cash flow (6.8B), providing more financial flexibility.

Bottom Line

WFC scores higher overall (76/100 vs 48/100), backed by strong 27.2% margins. 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.

Saratoga Investment Corp

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Saratoga Investment Corp (SAR) is a publicly traded business development company specializing in providing flexible debt and equity capital to middle-market enterprises across various sectors, including healthcare, technology, and consumer products. The firm employs a disciplined investment strategy that prioritizes comprehensive due diligence and risk management to safeguard capital while striving for optimal shareholder returns. With a robust portfolio management approach and a history of consistent dividend payouts, Saratoga offers institutional investors a compelling opportunity to enhance their exposure to alternative investments while benefiting from the growth potential inherent in the middle-market segment.

Visit Website →

Wells Fargo & Company

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.

Want to dig deeper into these stocks?