BJs Wholesale Club Holdings Inc (BJ)vsKroger Company (KR)
BJ
BJs Wholesale Club Holdings Inc
$89.21
+0.92%
CONSUMER DEFENSIVE · Cap: $11.63B
KR
Kroger Company
$62.23
-1.00%
CONSUMER DEFENSIVE · Cap: $39.90B
Smart Verdict
WallStSmart Research — data-driven comparison
Kroger Company generates 572% more annual revenue ($147.64B vs $21.97B). BJ leads profitability with a 2.6% profit margin vs 0.7%. KR appears more attractively valued with a PEG of 0.63. KR earns a higher WallStSmart Score of 59/100 (C).
BJ
Buy50
out of 100
Grade: C-
KR
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-71.6%
Fair Value
$58.00
Current Price
$89.21
$31.21 premium
Margin of Safety
+10.9%
Fair Value
$72.60
Current Price
$62.23
$10.37 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Every $100 of equity generates 23 in profit
Earnings expanding 50.9% YoY
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Generating 1.8B in free cash flow
Areas to Watch
Expensive relative to growth rate
2.6% margin — thin
Operating margin of 3.7%
Elevated debt levels
1.2% revenue growth
0.7% margin — thin
Operating margin of 3.4%
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : BJ
The strongest argument for BJ centers on Altman Z-Score, Return on Equity.
Bull Case : KR
The strongest argument for KR centers on EPS Growth, Altman Z-Score, PEG Ratio. PEG of 0.63 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 : KR
The primary concerns for KR are Revenue Growth, Profit Margin, Operating Margin. A P/E of 42.0x leaves little room for execution misses. Debt-to-equity of 4.16 is elevated, increasing financial risk.
Key Dynamics to Monitor
KR carries more volatility with a beta of 0.42 — expect wider price swings.
BJ is growing revenue faster at 9.9% — sustainability is the question.
KR generates stronger free cash flow (1.8B), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
KR scores higher overall (59/100 vs 50/100). Both earn "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.
Kroger Company
CONSUMER DEFENSIVE · GROCERY STORES · USA
The Kroger Company, or simply Kroger, is an American retail company founded by Bernard Kroger in 1883 in Cincinnati, Ohio.
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