WallStSmart

Dollar Tree Inc (DLTR)vsLowe's Companies Inc (LOW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lowe's Companies Inc generates 345% more annual revenue ($86.29B vs $19.41B). LOW leads profitability with a 7.7% profit margin vs 6.6%. DLTR appears more attractively valued with a PEG of 1.12. DLTR earns a higher WallStSmart Score of 63/100 (C+).

DLTR

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 6.5Value: 8.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.82

LOW

Hold

44

out of 100

Grade: D

Growth: 3.3Profit: 5.5Value: 7.3Quality: 7.0
Piotroski: 5/9Altman Z: 2.16
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLTRUndervalued (+11.4%)

Margin of Safety

+11.4%

Fair Value

$141.13

Current Price

$106.64

$34.49 discount

UndervaluedFair: $141.13Overvalued
LOWSignificantly Overvalued (-193.3%)

Margin of Safety

-193.3%

Fair Value

$80.51

Current Price

$236.18

$155.67 premium

UndervaluedFair: $80.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLTR2 strengths · Avg: 9.0/10
Return on EquityProfitability
31.7%10/10

Every $100 of equity generates 32 in profit

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

LOW2 strengths · Avg: 9.5/10
Debt/EquityHealth
-4.3110/10

Conservative balance sheet, low leverage

Market CapQuality
$131.50B9/10

Large-cap with strong market position

Areas to Watch

DLTR3 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.824/10

Grey zone — moderate risk

Profit MarginProfitability
6.6%3/10

6.6% margin — thin

Debt/EquityHealth
1.513/10

Elevated debt levels

LOW4 concerns · Avg: 3.0/10
PEG RatioValuation
2.404/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
7.7%3/10

7.7% margin — thin

EPS GrowthGrowth
-10.8%2/10

Earnings declined 10.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : DLTR

The strongest argument for DLTR centers on Return on Equity, P/E Ratio. PEG of 1.12 suggests the stock is reasonably priced for its growth.

Bull Case : LOW

The strongest argument for LOW centers on Debt/Equity, Market Cap. Revenue growth of 10.9% demonstrates continued momentum.

Bear Case : DLTR

The primary concerns for DLTR are Altman Z-Score, Profit Margin, Debt/Equity. Debt-to-equity of 1.51 is elevated, increasing financial risk.

Bear Case : LOW

The primary concerns for LOW are PEG Ratio, Return on Equity, Profit Margin.

Key Dynamics to Monitor

LOW carries more volatility with a beta of 0.94 — expect wider price swings.

LOW is growing revenue faster at 10.9% — sustainability is the question.

DLTR generates stronger free cash flow (970M), providing more financial flexibility.

Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DLTR scores higher overall (63/100 vs 44/100). Both earn "Buy" and "Hold" 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 Tree Inc

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Dollar Tree is an American chain of discount variety stores that sells items for $1 or less, headquartered in Chesapeake, Virginia.

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Lowe's Companies Inc

CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA

Lowe's Companies, Inc. is an American retail company specializing in home improvement. Headquartered in Mooresville, North Carolina, the company operates a chain of retail stores in the United States and Canada.

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