WallStSmart

Dollar General Corporation (DG)vsMcCormick & Company Incorporated (MKC-V)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Dollar General Corporation generates 501% more annual revenue ($42.72B vs $7.11B). MKC-V leads profitability with a 23.1% profit margin vs 3.5%. DG appears more attractively valued with a PEG of 1.36. MKC-V earns a higher WallStSmart Score of 74/100 (B).

DG

Buy

65

out of 100

Grade: C+

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

MKC-V

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 8.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DGUndervalued (+31.8%)

Margin of Safety

+31.8%

Fair Value

$215.69

Current Price

$115.88

$99.81 discount

UndervaluedFair: $215.69Overvalued
MKC-VUndervalued (+80.9%)

Margin of Safety

+80.9%

Fair Value

$377.24

Current Price

$50.62

$326.62 discount

UndervaluedFair: $377.24Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

MKC-V6 strengths · Avg: 9.0/10
P/E RatioValuation
8.2x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
528.0%10/10

Earnings expanding 528.0% YoY

Return on EquityProfitability
25.4%9/10

Every $100 of equity generates 25 in profit

Profit MarginProfitability
23.1%9/10

Keeps 23 of every $100 in revenue as profit

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.7%8/10

16.7% revenue growth

Areas to Watch

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

3.5% margin — thin

Debt/EquityHealth
2.021/10

Elevated debt levels

MKC-V1 concerns · Avg: 4.0/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : MKC-V

The strongest argument for MKC-V centers on P/E Ratio, EPS Growth, Return on Equity. Profitability is solid with margins at 23.1% and operating margin at 14.3%. Revenue growth of 16.7% demonstrates continued momentum.

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.

Bear Case : MKC-V

The primary concerns for MKC-V are PEG Ratio.

Key Dynamics to Monitor

DG profiles as a value stock while MKC-V is a growth play — different risk/reward profiles.

MKC-V carries more volatility with a beta of 0.71 — expect wider price swings.

MKC-V is growing revenue faster at 16.7% — sustainability is the question.

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

Bottom Line

MKC-V scores higher overall (74/100 vs 65/100), backed by strong 23.1% margins and 16.7% revenue growth. DG offers better value entry with a 31.8% margin of safety. Both earn "Strong 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.

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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McCormick & Company Incorporated

CONSUMER DEFENSIVE · PACKAGED FOODS · USA

McCormick & Company is an American multinational food company that manufactures, markets, and distributes spices, seasoning mixes, condiments, and other flavoring products to retail outlets, food manufacturers, and foodservice businesses.

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