WallStSmart

Colgate-Palmolive Company (CL)vsDollar General Corporation (DG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Dollar General Corporation generates 110% more annual revenue ($42.72B vs $20.38B). CL leads profitability with a 10.5% profit margin vs 3.5%. DG appears more attractively valued with a PEG of 1.36. DG earns a higher WallStSmart Score of 65/100 (C+).

CL

Buy

62

out of 100

Grade: C+

Growth: 4.7Profit: 8.5Value: 6.0Quality: 3.3
Piotroski: 3/9

DG

Buy

65

out of 100

Grade: C+

Growth: 6.7Profit: 6.0Value: 8.0Quality: 5.0
Piotroski: 5/9Altman Z: 2.00
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CLUndervalued (+17.8%)

Margin of Safety

+17.8%

Fair Value

$102.75

Current Price

$85.36

$17.39 discount

UndervaluedFair: $102.75Overvalued
DGUndervalued (+31.8%)

Margin of Safety

+31.8%

Fair Value

$215.69

Current Price

$115.88

$99.81 discount

UndervaluedFair: $215.69Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CL4 strengths · Avg: 8.8/10
Return on EquityProfitability
49.7%10/10

Every $100 of equity generates 50 in profit

Market CapQuality
$67.91B9/10

Large-cap with strong market position

Operating MarginProfitability
20.4%8/10

Strong operational efficiency at 20.4%

Free Cash FlowQuality
$1.28B8/10

Generating 1.3B in free cash flow

DG4 strengths · Avg: 8.5/10
EPS GrowthGrowth
121.9%10/10

Earnings expanding 121.9% YoY

P/E RatioValuation
16.9x8/10

Attractively priced relative to earnings

Price/BookValuation
3.0x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$1.27B8/10

Generating 1.3B in free cash flow

Areas to Watch

CL4 concerns · Avg: 3.3/10
P/E RatioValuation
32.2x4/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
1.1%4/10

1.1% earnings growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Price/BookValuation
1219.4x2/10

Trading at 1219.4x book value

DG2 concerns · Avg: 2.0/10
Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Debt/EquityHealth
2.021/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : CL

The strongest argument for CL centers on Return on Equity, Market Cap, Operating Margin.

Bull Case : DG

The strongest argument for DG centers on EPS Growth, P/E Ratio, Price/Book. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bear Case : CL

The primary concerns for CL are P/E Ratio, EPS Growth, Piotroski F-Score. Debt-to-equity of 147.93 is elevated, increasing financial risk.

Bear Case : DG

The primary concerns for DG are Profit Margin, Debt/Equity. Debt-to-equity of 2.02 is elevated, increasing financial risk. Thin 3.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

DG carries more volatility with a beta of 0.34 — expect wider price swings.

DG is growing revenue faster at 5.9% — sustainability is the question.

CL generates stronger free cash flow (1.3B), providing more financial flexibility.

Monitor HOUSEHOLD & PERSONAL PRODUCTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DG scores higher overall (65/100 vs 62/100). CL offers better value entry with a 17.8% margin of safety. 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.

Colgate-Palmolive Company

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

Colgate-Palmolive Company is an American multinational consumer products company headquartered on Park Avenue in Midtown Manhattan, New York City. It specializes in the production, distribution and provision of household, health care, personal care and veterinary products.

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Dollar General Corporation

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Dollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee.

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