WallStSmart

Darling Ingredients Inc (DAR)vsDollar Tree Inc (DLTR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Dollar Tree Inc generates 208% more annual revenue ($19.41B vs $6.31B). DLTR leads profitability with a 6.6% profit margin vs 3.5%. DLTR appears more attractively valued with a PEG of 0.96. DLTR earns a higher WallStSmart Score of 70/100 (B-).

DAR

Hold

45

out of 100

Grade: D

Growth: 3.3Profit: 4.5Value: 4.7Quality: 4.8
Piotroski: 3/9

DLTR

Strong Buy

70

out of 100

Grade: B-

Growth: 6.0Profit: 6.5Value: 8.0Quality: 5.0
Piotroski: 6/9Altman Z: 1.82
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DARUndervalued (+26.7%)

Margin of Safety

+26.7%

Fair Value

$67.72

Current Price

$64.38

$3.34 discount

UndervaluedFair: $67.72Overvalued
DLTRUndervalued (+26.2%)

Margin of Safety

+26.2%

Fair Value

$169.48

Current Price

$94.05

$75.43 discount

UndervaluedFair: $169.48Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DAR1 strengths · Avg: 8.0/10
Price/BookValuation
2.2x8/10

Reasonable price relative to book value

DLTR3 strengths · Avg: 8.7/10
Return on EquityProfitability
31.7%10/10

Every $100 of equity generates 32 in profit

PEG RatioValuation
0.968/10

Growing faster than its price suggests

P/E RatioValuation
15.9x8/10

Attractively priced relative to earnings

Areas to Watch

DAR4 concerns · Avg: 2.8/10
Return on EquityProfitability
1.5%3/10

ROE of 1.5% — below average capital efficiency

Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.312/10

Expensive relative to growth rate

DLTR3 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.824/10

Grey zone — moderate risk

Profit MarginProfitability
6.6%3/10

6.6% margin — thin

Debt/EquityHealth
1.513/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : DAR

The strongest argument for DAR centers on Price/Book. Revenue growth of 12.3% demonstrates continued momentum.

Bull Case : DLTR

The strongest argument for DLTR centers on Return on Equity, PEG Ratio, P/E Ratio. PEG of 0.96 suggests the stock is reasonably priced for its growth.

Bear Case : DAR

The primary concerns for DAR are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 46.2x leaves little room for execution misses. Thin 3.5% margins leave little buffer for downturns.

Bear Case : DLTR

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

Key Dynamics to Monitor

DAR carries more volatility with a beta of 1.08 — expect wider price swings.

DAR is growing revenue faster at 12.3% — sustainability is the question.

DLTR generates stronger free cash flow (970M), providing more financial flexibility.

Monitor PACKAGED FOODS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DLTR scores higher overall (70/100 vs 45/100). DAR offers better value entry with a 26.7% margin of safety. Both earn "Strong 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.

Darling Ingredients Inc

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

Darling Ingredients Inc. develops, produces and sells natural ingredients from edible and non-edible bio-nutrients. The company is headquartered in Irving, Texas.

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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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