WallStSmart

BJs Wholesale Club Holdings Inc (BJ)vsHershey Co (HSY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BJs Wholesale Club Holdings Inc generates 83% more annual revenue ($21.97B vs $11.99B). HSY leads profitability with a 9.1% profit margin vs 2.6%. HSY appears more attractively valued with a PEG of 1.04. HSY earns a higher WallStSmart Score of 69/100 (B-).

BJ

Buy

50

out of 100

Grade: C-

Growth: 4.0Profit: 5.5Value: 4.0Quality: 5.5
Piotroski: 5/9Altman Z: 3.59

HSY

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 7.0Value: 4.0Quality: 4.3
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BJSignificantly Overvalued (-71.6%)

Margin of Safety

-71.6%

Fair Value

$58.00

Current Price

$89.21

$31.21 premium

UndervaluedFair: $58.00Overvalued
HSYSignificantly Overvalued (-23.2%)

Margin of Safety

-23.2%

Fair Value

$187.44

Current Price

$184.58

$2.86 premium

UndervaluedFair: $187.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BJ2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
22.8%9/10

Every $100 of equity generates 23 in profit

HSY3 strengths · Avg: 9.0/10
EPS GrowthGrowth
93.6%10/10

Earnings expanding 93.6% YoY

Return on EquityProfitability
23.1%9/10

Every $100 of equity generates 23 in profit

Operating MarginProfitability
21.3%8/10

Strong operational efficiency at 21.3%

Areas to Watch

BJ4 concerns · Avg: 3.3/10
PEG RatioValuation
2.184/10

Expensive relative to growth rate

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

Operating MarginProfitability
3.7%3/10

Operating margin of 3.7%

Debt/EquityHealth
1.353/10

Elevated debt levels

HSY3 concerns · Avg: 3.3/10
P/E RatioValuation
33.8x4/10

Premium valuation, high expectations priced in

Debt/EquityHealth
1.133/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : BJ

The strongest argument for BJ centers on Altman Z-Score, Return on Equity.

Bull Case : HSY

The strongest argument for HSY centers on EPS Growth, Return on Equity, Operating Margin. Revenue growth of 10.6% demonstrates continued momentum. PEG of 1.04 suggests the stock is reasonably priced for its growth.

Bear Case : BJ

The primary concerns for BJ are PEG Ratio, Profit Margin, Operating Margin. Thin 2.6% margins leave little buffer for downturns.

Bear Case : HSY

The primary concerns for HSY are P/E Ratio, Debt/Equity, Piotroski F-Score.

Key Dynamics to Monitor

BJ carries more volatility with a beta of 0.23 — expect wider price swings.

HSY is growing revenue faster at 10.6% — sustainability is the question.

HSY generates stronger free cash flow (354M), providing more financial flexibility.

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

Bottom Line

HSY scores higher overall (69/100 vs 50/100) and 10.6% revenue growth. 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.

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.

Hershey Co

CONSUMER DEFENSIVE · CONFECTIONERS · USA

The Hershey Company, commonly known as Hershey's, is an American multinational company and one of the largest chocolate manufacturers in the world. It also manufactures baked products, such as cookies and cakes, and sells beverages like milkshakes, and many more that are produced globally. Its headquarters are in Hershey, Pennsylvania.

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