Dollar General Corporation (DG)vsWestern Digital Corporation (WDC)
DG
Dollar General Corporation
$124.52
+0.87%
CONSUMER DEFENSIVE · Cap: $27.41B
WDC
Western Digital Corporation
$293.10
-7.52%
TECHNOLOGY · Cap: $100.21B
Smart Verdict
WallStSmart Research — data-driven comparison
Dollar General Corporation generates 298% more annual revenue ($42.72B vs $10.73B). WDC leads profitability with a 35.6% profit margin vs 3.5%. WDC appears more attractively valued with a PEG of 0.69. DG earns a higher WallStSmart Score of 65/100 (C+).
DG
Buy65
out of 100
Grade: C+
WDC
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+54.5%
Fair Value
$323.39
Current Price
$124.52
$198.87 discount
Margin of Safety
-311.2%
Fair Value
$66.57
Current Price
$293.10
$226.53 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 122.0% YoY
Generating 1.3B in free cash flow
Every $100 of equity generates 41 in profit
Keeps 36 of every $100 in revenue as profit
Large-cap with strong market position
Growing faster than its price suggests
Areas to Watch
3.5% margin — thin
Elevated debt levels
Moderate valuation
Trading at 14.0x book value
Revenue declined 41.0%
Earnings declined 95.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : DG
The strongest argument for DG centers on EPS Growth, Free Cash Flow. PEG of 1.43 suggests the stock is reasonably priced for its growth.
Bull Case : WDC
The strongest argument for WDC centers on Return on Equity, Profit Margin, Market Cap. Profitability is solid with margins at 35.6% and operating margin at 15.4%. PEG of 0.69 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 : WDC
The primary concerns for WDC are P/E Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
DG profiles as a value stock while WDC is a declining play — different risk/reward profiles.
WDC carries more volatility with a beta of 1.85 — 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.
Bottom Line
DG scores higher overall (65/100 vs 55/100). 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.
Dollar General Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Dollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee.
Visit Website →Western Digital Corporation
TECHNOLOGY · COMPUTER HARDWARE · USA
Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.
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