WallStSmart

BJs Wholesale Club Holdings Inc (BJ)vsGrocery Outlet Holding Corp (GO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BJs Wholesale Club Holdings Inc generates 364% more annual revenue ($21.97B vs $4.73B). BJ leads profitability with a 2.6% profit margin vs -8.1%. BJ earns a higher WallStSmart Score of 50/100 (C-).

BJ

Buy

50

out of 100

Grade: C-

Growth: 4.0Profit: 6.0Value: 4.0Quality: 5.5
Piotroski: 5/9Altman Z: 3.58

GO

Hold

36

out of 100

Grade: F

Growth: 4.0Profit: 2.5Value: 6.7Quality: 4.5
Piotroski: 4/9Altman Z: 1.69
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BJSignificantly Overvalued (-71.4%)

Margin of Safety

-71.4%

Fair Value

$58.05

Current Price

$89.21

$31.16 premium

UndervaluedFair: $58.05Overvalued
GOUndervalued (+60.0%)

Margin of Safety

+60.0%

Fair Value

$24.46

Current Price

$9.47

$14.99 discount

UndervaluedFair: $24.46Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BJ2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
3.5810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
26.9%9/10

Every $100 of equity generates 27 in profit

GO1 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Areas to Watch

BJ4 concerns · Avg: 3.3/10
PEG RatioValuation
2.184/10

Expensive relative to growth rate

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

Operating MarginProfitability
3.7%3/10

Operating margin of 3.7%

Debt/EquityHealth
1.353/10

Elevated debt levels

GO4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
3.6%4/10

3.6% revenue growth

Altman Z-ScoreHealth
1.694/10

Distress zone — elevated risk

Market CapQuality
$947.68M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-47.3%2/10

ROE of -47.3% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : BJ

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

Bull Case : GO

The strongest argument for GO centers on Price/Book.

Bear Case : BJ

The primary concerns for BJ are PEG Ratio, Profit Margin, Operating Margin. Thin 2.6% margins leave little buffer for downturns.

Bear Case : GO

The primary concerns for GO are Revenue Growth, Altman Z-Score, Market Cap. Debt-to-equity of 2.28 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

GO carries more volatility with a beta of 0.67 — expect wider price swings.

BJ is growing revenue faster at 9.9% — sustainability is the question.

GO generates stronger free cash flow (-193,000), providing more financial flexibility.

Bottom Line

BJ scores higher overall (50/100 vs 36/100). GO offers better value entry with a 60.0% margin of safety. Both earn "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.

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.

Grocery Outlet Holding Corp

CONSUMER DEFENSIVE · GROCERY STORES · USA

Grocery Outlet Holding Corp. The company is headquartered in Emeryville, California.

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