WallStSmart

PriceSmart Inc (PSMT)vsTarget Corporation (TGT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Target Corporation generates 1793% more annual revenue ($107.70B vs $5.69B). TGT leads profitability with a 4.1% profit margin vs 2.8%. PSMT appears more attractively valued with a PEG of 1.83. TGT earns a higher WallStSmart Score of 66/100 (B-).

PSMT

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 5.0Value: 3.3Quality: 7.0
Piotroski: 3/9Altman Z: 4.12

TGT

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 6.0Value: 6.0Quality: 4.5
Piotroski: 3/9Altman Z: 2.47
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PSMTSignificantly Overvalued (-24.5%)

Margin of Safety

-24.5%

Fair Value

$138.76

Current Price

$170.61

$31.85 premium

UndervaluedFair: $138.76Overvalued
TGTUndervalued (+5.3%)

Margin of Safety

+5.3%

Fair Value

$121.04

Current Price

$159.02

$37.98 discount

UndervaluedFair: $121.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PSMT2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
4.1210/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.239/10

Conservative balance sheet, low leverage

TGT5 strengths · Avg: 8.8/10
EPS GrowthGrowth
100.5%10/10

Earnings expanding 100.5% YoY

Market CapQuality
$70.79B9/10

Large-cap with strong market position

Return on EquityProfitability
24.6%9/10

Every $100 of equity generates 25 in profit

P/E RatioValuation
16.2x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$2.43B8/10

Generating 2.4B in free cash flow

Areas to Watch

PSMT4 concerns · Avg: 3.5/10
PEG RatioValuation
1.834/10

Expensive relative to growth rate

P/E RatioValuation
32.9x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
2.8%3/10

2.8% margin — thin

Operating MarginProfitability
4.5%3/10

Operating margin of 4.5%

TGT4 concerns · Avg: 3.3/10
PEG RatioValuation
1.944/10

Expensive relative to growth rate

Profit MarginProfitability
4.1%3/10

4.1% margin — thin

Debt/EquityHealth
1.053/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : PSMT

The strongest argument for PSMT centers on Altman Z-Score, Debt/Equity. Revenue growth of 12.5% demonstrates continued momentum.

Bull Case : TGT

The strongest argument for TGT centers on EPS Growth, Market Cap, Return on Equity.

Bear Case : PSMT

The primary concerns for PSMT are PEG Ratio, P/E Ratio, Profit Margin. Thin 2.8% margins leave little buffer for downturns.

Bear Case : TGT

The primary concerns for TGT are PEG Ratio, Profit Margin, Debt/Equity. Thin 4.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

TGT carries more volatility with a beta of 0.99 — expect wider price swings.

PSMT is growing revenue faster at 12.5% — sustainability is the question.

TGT generates stronger free cash flow (2.4B), providing more financial flexibility.

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

Bottom Line

TGT scores higher overall (66/100 vs 56/100). 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.

PriceSmart Inc

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

PriceSmart, Inc. owns and operates American-style membership shopping warehouse clubs in Central America, the Caribbean and Colombia. The company is headquartered in San Diego, California.

Target Corporation

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Target Corporation is an American retail corporation. Their retail formats include the discount store Target, the hypermarket SuperTarget, and small-format stores previously named CityTarget and TargetExpress before being consolidated under the Target branding.

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