Diageo PLC ADR (DEO)vsTarget Corporation (TGT)
DEO
Diageo PLC ADR
$80.43
+1.89%
CONSUMER DEFENSIVE · Cap: $44.70B
TGT
Target Corporation
$122.57
-1.03%
CONSUMER DEFENSIVE · Cap: $55.95B
Smart Verdict
WallStSmart Research — data-driven comparison
Target Corporation generates 437% more annual revenue ($106.38B vs $19.80B). DEO leads profitability with a 12.2% profit margin vs 3.2%. DEO appears more attractively valued with a PEG of 0.79. DEO earns a higher WallStSmart Score of 56/100 (C).
DEO
Buy56
out of 100
Grade: C
TGT
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+54.3%
Fair Value
$220.42
Current Price
$80.43
$139.99 discount
Margin of Safety
+4.0%
Fair Value
$119.45
Current Price
$122.57
$3.12 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
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Areas to Watch
2.9% earnings growth
Weak financial health signals
Trading at 69.3x book value
Revenue declined 4.0%
Expensive relative to growth rate
3.2% margin — thin
Operating margin of 4.5%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : DEO
The strongest argument for DEO centers on Return on Equity, Operating Margin, PEG Ratio. PEG of 0.79 suggests the stock is reasonably priced for its growth.
Bull Case : TGT
The strongest argument for TGT centers on Market Cap, Return on Equity, Debt/Equity.
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 : TGT
The primary concerns for TGT are PEG Ratio, Profit Margin, Operating Margin. Thin 3.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
DEO profiles as a declining stock while TGT is a value play — different risk/reward profiles.
TGT carries more volatility with a beta of 1.01 — expect wider price swings.
TGT is growing revenue faster at 6.7% — sustainability is the question.
DEO generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
DEO scores higher overall (56/100 vs 52/100). 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 →Target Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Target Corporation is an American retail corporation. Their retail formats include the discount store Target, the hypermarket SuperTarget, and small-format stores previously named CityTarget and TargetExpress before being consolidated under the Target branding.
Compare with Other BEVERAGES - WINERIES & DISTILLERIES Stocks
Want to dig deeper into these stocks?