WallStSmart

Dollar Tree Inc (DLTR)vsConstellation Brands Inc Class A (STZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Dollar Tree Inc generates 118% more annual revenue ($19.75B vs $9.06B). STZ leads profitability with a 20.1% profit margin vs 6.5%. DLTR appears more attractively valued with a PEG of 1.57. STZ earns a higher WallStSmart Score of 72/100 (B).

DLTR

Buy

57

out of 100

Grade: C

Growth: 6.0Profit: 6.5Value: 6.0Quality: 5.5
Piotroski: 6/9Altman Z: 2.51

STZ

Strong Buy

72

out of 100

Grade: B

Growth: 4.7Profit: 8.5Value: 5.0Quality: 5.0
Piotroski: 5/9Altman Z: 2.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLTRUndervalued (+17.0%)

Margin of Safety

+17.0%

Fair Value

$150.57

Current Price

$128.95

$21.62 discount

UndervaluedFair: $150.57Overvalued

Intrinsic value data unavailable for STZ.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLTR1 strengths · Avg: 10.0/10
Return on EquityProfitability
36.7%10/10

Every $100 of equity generates 37 in profit

STZ6 strengths · Avg: 8.7/10
Operating MarginProfitability
35.9%10/10

Strong operational efficiency at 35.9%

Return on EquityProfitability
22.1%9/10

Every $100 of equity generates 22 in profit

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

P/E RatioValuation
12.7x8/10

Attractively priced relative to earnings

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
30.7%8/10

Earnings expanding 30.7% YoY

Areas to Watch

DLTR3 concerns · Avg: 2.7/10
PEG RatioValuation
1.574/10

Expensive relative to growth rate

Profit MarginProfitability
6.5%3/10

6.5% margin — thin

Debt/EquityHealth
2.171/10

Elevated debt levels

STZ3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.283/10

Elevated debt levels

PEG RatioValuation
2.532/10

Expensive relative to growth rate

Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : DLTR

The strongest argument for DLTR centers on Return on Equity.

Bull Case : STZ

The strongest argument for STZ centers on Operating Margin, Return on Equity, Profit Margin. Profitability is solid with margins at 20.1% and operating margin at 35.9%.

Bear Case : DLTR

The primary concerns for DLTR are PEG Ratio, Profit Margin, Debt/Equity. Debt-to-equity of 2.17 is elevated, increasing financial risk.

Bear Case : STZ

The primary concerns for STZ are Debt/Equity, PEG Ratio, Revenue Growth.

Key Dynamics to Monitor

DLTR profiles as a value stock while STZ is a declining play — different risk/reward profiles.

DLTR carries more volatility with a beta of 0.65 — expect wider price swings.

DLTR is growing revenue faster at 7.2% — sustainability is the question.

STZ generates stronger free cash flow (485M), providing more financial flexibility.

Bottom Line

STZ scores higher overall (72/100 vs 57/100), backed by strong 20.1% margins. DLTR offers better value entry with a 17.0% 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 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.

Visit Website →

Constellation Brands Inc Class A

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Constellation Brands, Inc., headquartered in Victor, New York, is an American producer and marketer of beer, wine, and spirits.

Visit Website →

Want to dig deeper into these stocks?