BJs Wholesale Club Holdings Inc (BJ)vsGaotu Techedu Inc DRC (GOTU)
BJ
BJs Wholesale Club Holdings Inc
$91.43
-0.82%
CONSUMER DEFENSIVE · Cap: $11.86B
GOTU
Gaotu Techedu Inc DRC
$1.87
+0.54%
CONSUMER DEFENSIVE · Cap: $450.68M
Smart Verdict
WallStSmart Research — data-driven comparison
BJs Wholesale Club Holdings Inc generates 249% more annual revenue ($21.46B vs $6.15B). BJ leads profitability with a 2.7% profit margin vs -5.3%. BJ earns a higher WallStSmart Score of 52/100 (C-).
BJ
Buy52
out of 100
Grade: C-
GOTU
Hold45
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+24.9%
Fair Value
$132.45
Current Price
$91.43
$41.02 discount
Margin of Safety
+53.8%
Fair Value
$74.15
Current Price
$1.87
$72.28 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Every $100 of equity generates 29 in profit
Earnings expanding 103.2% YoY
Reasonable price relative to book value
Revenue surging 21.4% year-over-year
Areas to Watch
Expensive relative to growth rate
3.5% earnings growth
2.7% margin — thin
Operating margin of 3.2%
Smaller company, higher risk/reward
ROE of -20.3% — below average capital efficiency
Currently unprofitable
Operating margin of -7.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : BJ
The strongest argument for BJ centers on Altman Z-Score, Return on Equity.
Bull Case : GOTU
The strongest argument for GOTU centers on EPS Growth, Price/Book, Revenue Growth. Revenue growth of 21.4% demonstrates continued momentum.
Bear Case : BJ
The primary concerns for BJ are PEG Ratio, EPS Growth, Profit Margin. Thin 2.7% margins leave little buffer for downturns.
Bear Case : GOTU
The primary concerns for GOTU are Market Cap, Return on Equity, Profit Margin.
Key Dynamics to Monitor
BJ profiles as a value stock while GOTU is a growth play — different risk/reward profiles.
GOTU carries more volatility with a beta of 0.69 — expect wider price swings.
GOTU is growing revenue faster at 21.4% — sustainability is the question.
GOTU generates stronger free cash flow (247M), providing more financial flexibility.
Bottom Line
BJ scores higher overall (52/100 vs 45/100). GOTU offers better value entry with a 53.8% margin of safety. 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.
BJs Wholesale Club Holdings Inc
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
BJ's Wholesale Club Holdings, Inc., operates warehouse clubs on the East Coast of the United States. The company is headquartered in Westborough, Massachusetts.
Gaotu Techedu Inc DRC
CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · China
Gaotu Techedu Inc., a technology-driven education company, offers K-12 online tutoring services after school in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.
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