SBS vs ARTNA

For growth investors, Artesian Resources Corporation (ARTNA) is the stronger pick with 4.

6% revenue growth year-over-year, versus 3. 3% for Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS). Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) offers the better valuation at 13. 0x trailing P/E (0. 7x forward), making it the more compelling value choice. Analysts rate Artesian Resources Corporation (ARTNA) a "Buy" — based on 4 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) is the cheapest at 13.

0x versus Artesian Resources Corporation at 14. 3x. On forward P/E, Companhia de Saneamento Básico do Estado de São Paulo - SABESP is actually cheaper at 0. 7x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Companhia de Saneamento Básico do Estado de São Paulo - SABESP wins at 0. 01x versus Artesian Resources Corporation's 3. 68x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) delivered a total return of +415.

1%, compared to -7. 8% for Artesian Resources Corporation (ARTNA). Over 10 years, the gap is even starker: SBS returned +528. 6% versus ARTNA's +48. 5%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Artesian Resources Corporation (ARTNA) is the lower-risk stock at 0.

01β versus Companhia de Saneamento Básico do Estado de São Paulo - SABESP's 0. 82β — meaning SBS is approximately 6706% more volatile than ARTNA relative to the S&P 500. On balance sheet safety, Artesian Resources Corporation (ARTNA) carries a lower debt/equity ratio of 73% versus 94% for Companhia de Saneamento Básico do Estado de São Paulo - SABESP — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Artesian Resources Corporation (ARTNA) is pulling ahead at 4.

6% versus 3. 3% for Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS). On earnings-per-share growth, the picture is similar: Artesian Resources Corporation grew EPS 11. 6% year-over-year, compared to -13. 6% for Companhia de Saneamento Básico do Estado de São Paulo - SABESP. Over a 3-year CAGR, SBS leads at 19. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) is the more profitable company, earning 22.

2% net margin versus 20. 2% for Artesian Resources Corporation — meaning it keeps 22. 2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: SBS leads at 32. 2% versus 31. 5% for ARTNA. At the gross margin level — before operating expenses — ARTNA leads at 37. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) is the more undervalued stock at a PEG of 0. 01x versus Artesian Resources Corporation's 3. 68x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS) trades at 0. 7x forward P/E versus 15. 8x for Artesian Resources Corporation — 15. 2x cheaper on a one-year earnings basis.

All stocks in this comparison pay dividends.

Artesian Resources Corporation (ARTNA) offers the highest yield at 3. 9%, versus 2. 1% for Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBS).

For long-horizon retirement investors, Artesian Resources Corporation (ARTNA) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

01), 3. 9% yield). Both have compounded well over 10 years (ARTNA: +48. 5%, SBS: +528. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Utilities sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.