WallStSmart

BJs Wholesale Club Holdings Inc (BJ)vsDollar Tree Inc (DLTR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BJs Wholesale Club Holdings Inc generates 13% more annual revenue ($21.46B vs $18.96B). BJ leads profitability with a 2.7% profit margin vs -15.4%. DLTR appears more attractively valued with a PEG of 1.12. DLTR earns a higher WallStSmart Score of 56/100 (C).

BJ

Buy

52

out of 100

Grade: C-

Growth: 4.7Profit: 6.0Value: 7.3Quality: 5.8
Piotroski: 5/9Altman Z: 3.87

DLTR

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 5.5Value: 8.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.82
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BJSignificantly Overvalued (-83.2%)

Margin of Safety

-83.2%

Fair Value

$54.31

Current Price

$97.04

$42.73 premium

UndervaluedFair: $54.31Overvalued
DLTRUndervalued (+0.4%)

Margin of Safety

+0.4%

Fair Value

$125.45

Current Price

$105.92

$19.53 discount

UndervaluedFair: $125.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BJ2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
3.8710/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
28.6%9/10

Every $100 of equity generates 29 in profit

DLTR1 strengths · Avg: 9.0/10
Return on EquityProfitability
20.1%9/10

Every $100 of equity generates 20 in profit

Areas to Watch

BJ4 concerns · Avg: 3.5/10
PEG RatioValuation
2.484/10

Expensive relative to growth rate

EPS GrowthGrowth
3.5%4/10

3.5% earnings growth

Profit MarginProfitability
2.7%3/10

2.7% margin — thin

Operating MarginProfitability
3.2%3/10

Operating margin of 3.2%

DLTR3 concerns · Avg: 2.7/10
Altman Z-ScoreHealth
1.824/10

Grey zone — moderate risk

Debt/EquityHealth
1.513/10

Elevated debt levels

Profit MarginProfitability
-15.4%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : BJ

The strongest argument for BJ centers on Altman Z-Score, Return on Equity.

Bull Case : DLTR

The strongest argument for DLTR centers on Return on Equity. PEG of 1.12 suggests the stock is reasonably priced for its growth.

Bear Case : BJ

The primary concerns for BJ are PEG Ratio, EPS Growth, Profit Margin. Thin 2.7% margins leave little buffer for downturns.

Bear Case : DLTR

The primary concerns for DLTR are Altman Z-Score, Debt/Equity, Profit Margin. Debt-to-equity of 1.51 is elevated, increasing financial risk.

Key Dynamics to Monitor

BJ profiles as a value stock while DLTR is a turnaround play — different risk/reward profiles.

DLTR carries more volatility with a beta of 0.69 — expect wider price swings.

DLTR is growing revenue faster at 9.4% — sustainability is the question.

DLTR generates stronger free cash flow (592M), providing more financial flexibility.

Bottom Line

DLTR scores higher overall (56/100 vs 52/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

BJs Wholesale Club Holdings Inc

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

BJ's Wholesale Club Holdings, Inc., operates warehouse clubs on the East Coast of the United States. The company is headquartered in Westborough, Massachusetts.

Dollar Tree Inc

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Dollar Tree is an American chain of discount variety stores that sells items for $1 or less, headquartered in Chesapeake, Virginia.

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