WallStSmart

Stepstone Group Inc (STEP)vsWells Fargo & Company (WFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 4034% more annual revenue ($83.03B vs $2.01B). WFC leads profitability with a 27.2% profit margin vs -30.5%. WFC earns a higher WallStSmart Score of 76/100 (B+).

STEP

Avoid

25

out of 100

Grade: F

Growth: 3.7Profit: 2.0Value: 5.0Quality: 7.0
Piotroski: 4/9Altman Z: -0.05

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

STEP1 strengths · Avg: 10.0/10
Debt/EquityHealth
-2.9110/10

Conservative balance sheet, low leverage

WFC6 strengths · Avg: 8.8/10
Market CapQuality
$273.04B10/10

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
13.1x8/10

Attractively priced relative to earnings

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.0%8/10

Earnings expanding 25.0% YoY

Areas to Watch

STEP4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
4.0%4/10

4.0% revenue growth

Return on EquityProfitability
-55.9%2/10

ROE of -55.9% — below average capital efficiency

EPS GrowthGrowth
-38.5%2/10

Earnings declined 38.5%

Free Cash FlowQuality
$-458.06M2/10

Negative free cash flow — burning cash

WFC3 concerns · Avg: 2.3/10
PEG RatioValuation
1.514/10

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 : STEP

The strongest argument for STEP centers on Debt/Equity.

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 : STEP

The primary concerns for STEP are Revenue Growth, Return on Equity, EPS Growth.

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

STEP profiles as a turnaround stock while WFC is a mature play — different risk/reward profiles.

STEP carries more volatility with a beta of 1.28 — 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 25/100), backed by strong 27.2% margins. Both earn "Strong 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.

Stepstone Group Inc

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Stepstone Group Inc. (STEP) is a leading global investment firm that specializes in private markets, delivering tailored investment solutions to institutional investors. The firm employs a strategic focus across various asset classes, including private equity, real estate, infrastructure, and private debt, leveraging its extensive network and deep sector expertise to uncover high-quality opportunities. With a commitment to disciplined asset allocation and rigorous due diligence, Stepstone combines the skills of a seasoned team with advanced technology, positioning itself to navigate the complexities of private markets and strive for sustainable, long-term value creation for clients.

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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.

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