BJs Wholesale Club Holdings Inc (BJ)vsPepsiCo Inc (PEP)
BJ
BJs Wholesale Club Holdings Inc
$97.81
+0.01%
CONSUMER DEFENSIVE · Cap: $12.80B
PEP
PepsiCo Inc
$151.73
+0.76%
CONSUMER DEFENSIVE · Cap: $205.91B
Smart Verdict
WallStSmart Research — data-driven comparison
PepsiCo Inc generates 338% more annual revenue ($93.92B vs $21.46B). PEP leads profitability with a 8.8% profit margin vs 2.7%. BJ appears more attractively valued with a PEG of 2.45. PEP earns a higher WallStSmart Score of 59/100 (C).
BJ
Buy52
out of 100
Grade: C-
PEP
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-83.2%
Fair Value
$54.31
Current Price
$97.81
$43.50 premium
Margin of Safety
+45.9%
Fair Value
$280.33
Current Price
$151.73
$128.60 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Every $100 of equity generates 29 in profit
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Earnings expanding 67.5% YoY
Generating 4.7B in free cash flow
Areas to Watch
Expensive relative to growth rate
3.5% earnings growth
2.7% margin — thin
Operating margin of 3.2%
Moderate valuation
Trading at 10.2x book value
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : BJ
The strongest argument for BJ centers on Altman Z-Score, Return on Equity.
Bull Case : PEP
The strongest argument for PEP centers on Market Cap, Return on Equity, EPS Growth.
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 : PEP
The primary concerns for PEP are P/E Ratio, Price/Book, Piotroski F-Score.
Key Dynamics to Monitor
PEP carries more volatility with a beta of 0.38 — expect wider price swings.
PEP is growing revenue faster at 5.6% — sustainability is the question.
PEP generates stronger free cash flow (4.7B), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PEP scores higher overall (59/100 vs 52/100). 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.
PepsiCo Inc
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
PepsiCo, Inc. is an American based multinational food, snack, and beverage corporation headquartered in Harrison, New York, in the hamlet of Purchase. PepsiCo's business encompasses all aspects of the food and beverage market. It oversees the manufacturing, distribution, and marketing of its products.
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