WallStSmart

BJs Wholesale Club Holdings Inc (BJ)vsAltria Group (MO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BJs Wholesale Club Holdings Inc generates 12% more annual revenue ($22.81B vs $20.44B). MO leads profitability with a 39.0% profit margin vs 2.6%. BJ appears more attractively valued with a PEG of 2.19. BJ earns a higher WallStSmart Score of 58/100 (C).

BJ

Buy

58

out of 100

Grade: C

Growth: 6.7Profit: 5.5Value: 4.0Quality: 5.5
Piotroski: 5/9Altman Z: 3.58

MO

Hold

47

out of 100

Grade: D+

Growth: 2.7Profit: 8.5Value: 4.0Quality: 6.5
Piotroski: 4/9Altman Z: 2.86
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BJSignificantly Overvalued (-62.6%)

Margin of Safety

-62.6%

Fair Value

$61.20

Current Price

$91.49

$30.29 premium

UndervaluedFair: $61.20Overvalued
MOSignificantly Overvalued (-49.8%)

Margin of Safety

-49.8%

Fair Value

$46.05

Current Price

$68.98

$22.93 premium

UndervaluedFair: $46.05Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BJ3 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
3.5810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
22.9%9/10

Every $100 of equity generates 23 in profit

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

MO5 strengths · Avg: 9.4/10
Profit MarginProfitability
39.0%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
76.1%10/10

Strong operational efficiency at 76.1%

Debt/EquityHealth
-9.2110/10

Conservative balance sheet, low leverage

Market CapQuality
$115.18B9/10

Large-cap with strong market position

P/E RatioValuation
14.5x8/10

Attractively priced relative to earnings

Areas to Watch

BJ4 concerns · Avg: 3.3/10
PEG RatioValuation
2.194/10

Expensive relative to growth rate

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

Operating MarginProfitability
4.0%3/10

Operating margin of 4.0%

Debt/EquityHealth
1.263/10

Elevated debt levels

MO4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
1.2%4/10

1.2% revenue growth

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

PEG RatioValuation
2.602/10

Expensive relative to growth rate

EPS GrowthGrowth
-2.7%2/10

Earnings declined 2.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : BJ

The strongest argument for BJ centers on Altman Z-Score, Return on Equity, Revenue Growth. Revenue growth of 15.7% demonstrates continued momentum.

Bull Case : MO

The strongest argument for MO centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 39.0% and operating margin at 76.1%.

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 : MO

The primary concerns for MO are Revenue Growth, Return on Equity, PEG Ratio.

Key Dynamics to Monitor

BJ profiles as a growth stock while MO is a value play — different risk/reward profiles.

MO carries more volatility with a beta of 0.49 — expect wider price swings.

BJ is growing revenue faster at 15.7% — sustainability is the question.

BJ generates stronger free cash flow (224M), providing more financial flexibility.

Bottom Line

BJ scores higher overall (58/100 vs 47/100) and 15.7% revenue growth. 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.

Altria Group

CONSUMER DEFENSIVE · TOBACCO · USA

Altria Group, Inc. (previously known as Philip Morris Companies, Inc.) is an American corporation and one of the world's largest producers and marketers of tobacco, cigarettes and related products. It operates worldwide and is headquartered in unincorporated Henrico County, Virginia, just outside the city of Richmond.

Visit Website →

Want to dig deeper into these stocks?