BJs Wholesale Club Holdings Inc (BJ)vsStarbucks Corporation (SBUX)
BJ
BJs Wholesale Club Holdings Inc
$92.97
-1.44%
CONSUMER DEFENSIVE · Cap: $12.05B
SBUX
Starbucks Corporation
$104.93
+0.64%
CONSUMER CYCLICAL · Cap: $118.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Starbucks Corporation generates 79% more annual revenue ($38.47B vs $21.46B). SBUX leads profitability with a 3.9% profit margin vs 2.7%. SBUX appears more attractively valued with a PEG of 1.79. BJ earns a higher WallStSmart Score of 52/100 (C-).
BJ
Buy52
out of 100
Grade: C-
SBUX
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+26.1%
Fair Value
$134.73
Current Price
$92.97
$41.76 discount
Margin of Safety
+26.6%
Fair Value
$135.09
Current Price
$104.93
$30.16 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Every $100 of equity generates 29 in profit
Large-cap with strong market position
Earnings expanding 32.6% YoY
Areas to Watch
Expensive relative to growth rate
3.5% earnings growth
2.7% margin — thin
Operating margin of 3.2%
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
3.9% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : BJ
The strongest argument for BJ centers on Altman Z-Score, Return on Equity.
Bull Case : SBUX
The strongest argument for SBUX centers on Market Cap, EPS 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 : SBUX
The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 79.6x leaves little room for execution misses. Thin 3.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
SBUX carries more volatility with a beta of 1.01 — expect wider price swings.
SBUX is growing revenue faster at 8.8% — sustainability is the question.
BJ generates stronger free cash flow (193M), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BJ scores higher overall (52/100 vs 49/100). SBUX offers better value entry with a 26.6% 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.
Starbucks Corporation
CONSUMER CYCLICAL · RESTAURANTS · USA
Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.
Compare with Other DISCOUNT STORES Stocks
Want to dig deeper into these stocks?