Diageo PLC ADR (DEO)vsDollar General Corporation (DG)
DEO
Diageo PLC ADR
$89.05
-0.12%
CONSUMER DEFENSIVE · Cap: $49.42B
DG
Dollar General Corporation
$128.68
+2.15%
CONSUMER DEFENSIVE · Cap: $27.74B
Smart Verdict
WallStSmart Research — data-driven comparison
Dollar General Corporation generates 118% more annual revenue ($43.08B vs $19.80B). DEO leads profitability with a 12.2% profit margin vs 3.6%. DEO appears more attractively valued with a PEG of 0.83. DG earns a higher WallStSmart Score of 57/100 (C).
DEO
Buy56
out of 100
Grade: C
DG
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+53.7%
Fair Value
$217.62
Current Price
$89.05
$128.57 discount
Margin of Safety
+12.8%
Fair Value
$168.83
Current Price
$128.68
$40.15 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 52 in profit
Strong operational efficiency at 31.3%
Growing faster than its price suggests
Generating 1.5B in free cash flow
Attractively priced relative to earnings
Areas to Watch
2.9% earnings growth
Weak financial health signals
Trading at 76.8x book value
Revenue declined 4.0%
Expensive relative to growth rate
3.4% revenue growth
3.6% margin — thin
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : DEO
The strongest argument for DEO centers on Return on Equity, Operating Margin, PEG Ratio. PEG of 0.83 suggests the stock is reasonably priced for its growth.
Bull Case : DG
The strongest argument for DG centers on P/E Ratio.
Bear Case : DEO
The primary concerns for DEO are EPS Growth, Piotroski F-Score, Price/Book. Debt-to-equity of 2.09 is elevated, increasing financial risk.
Bear Case : DG
The primary concerns for DG are PEG Ratio, Revenue Growth, Profit Margin. Debt-to-equity of 1.79 is elevated, increasing financial risk. Thin 3.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
DEO profiles as a declining stock while DG is a value play — different risk/reward profiles.
DEO carries more volatility with a beta of 0.31 — expect wider price swings.
DG is growing revenue faster at 3.4% — sustainability is the question.
DEO generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
DG scores higher overall (57/100 vs 56/100). DEO offers better value entry with a 53.7% 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.
Diageo PLC ADR
CONSUMER DEFENSIVE · BEVERAGES - WINERIES & DISTILLERIES · USA
Diageo plc produces, markets and sells alcoholic beverages. The company is headquartered in London, the United Kingdom.
Visit Website →Dollar General Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Dollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee.
Visit Website →Compare with Other BEVERAGES - WINERIES & DISTILLERIES Stocks
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