Dollar General Corporation (DG)vsStrategic Education Inc (STRA)
DG
Dollar General Corporation
$115.88
+1.53%
CONSUMER DEFENSIVE · Cap: $25.51B
STRA
Strategic Education Inc
$78.40
-0.72%
CONSUMER DEFENSIVE · Cap: $1.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Dollar General Corporation generates 3263% more annual revenue ($42.72B vs $1.27B). STRA leads profitability with a 10.2% profit margin vs 3.5%. STRA appears more attractively valued with a PEG of 0.70. DG earns a higher WallStSmart Score of 65/100 (C+).
DG
Buy65
out of 100
Grade: C+
STRA
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+31.8%
Fair Value
$215.69
Current Price
$115.88
$99.81 discount
Margin of Safety
+73.4%
Fair Value
$290.12
Current Price
$78.40
$211.72 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 121.9% YoY
Attractively priced relative to earnings
Reasonable price relative to book value
Generating 1.3B in free cash flow
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Areas to Watch
3.5% margin — thin
Elevated debt levels
0.8% revenue growth
Smaller company, higher risk/reward
ROE of 7.9% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull 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 : STRA
The strongest argument for STRA centers on Price/Book, Altman Z-Score, PEG Ratio. PEG of 0.70 suggests the stock is reasonably priced for its growth.
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 : STRA
The primary concerns for STRA are Revenue Growth, Market Cap, Return on Equity.
Key Dynamics to Monitor
STRA carries more volatility with a beta of 0.54 — expect wider price swings.
DG is growing revenue faster at 5.9% — sustainability is the question.
DG generates stronger free cash flow (1.3B), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DG scores higher overall (65/100 vs 62/100). STRA offers better value entry with a 73.4% 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.
Dollar General Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Dollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee.
Visit Website →Strategic Education Inc
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA
Strategic Education, Inc., offers postsecondary education and non-degree programs. The company is headquartered in Herndon, Virginia.
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