WallStSmart

BJs Wholesale Club Holdings Inc (BJ)vsBoston Beer Company Inc (SAM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BJs Wholesale Club Holdings Inc generates 1085% more annual revenue ($22.81B vs $1.93B). BJ leads profitability with a 2.6% profit margin vs -3.6%. SAM appears more attractively valued with a PEG of 0.78. BJ earns a higher WallStSmart Score of 58/100 (C).

BJ

Buy

58

out of 100

Grade: C

Growth: 6.7Profit: 5.5Value: 4.0Quality: 5.5
Piotroski: 5/9Altman Z: 3.58

SAM

Hold

43

out of 100

Grade: D

Growth: 2.0Profit: 4.0Value: 7.0Quality: 7.5
Piotroski: 5/9Altman Z: 3.97
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BJSignificantly Overvalued (-62.6%)

Margin of Safety

-62.6%

Fair Value

$61.20

Current Price

$91.49

$30.29 premium

UndervaluedFair: $61.20Overvalued
SAMUndervalued (+24.6%)

Margin of Safety

+24.6%

Fair Value

$332.83

Current Price

$172.55

$160.28 discount

UndervaluedFair: $332.83Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BJ3 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
3.5810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
22.9%9/10

Every $100 of equity generates 23 in profit

Revenue GrowthGrowth
15.7%8/10

15.7% revenue growth

SAM4 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.9710/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.788/10

Growing faster than its price suggests

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Areas to Watch

BJ4 concerns · Avg: 3.3/10
PEG RatioValuation
2.194/10

Expensive relative to growth rate

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

Operating MarginProfitability
4.0%3/10

Operating margin of 4.0%

Debt/EquityHealth
1.263/10

Elevated debt levels

SAM4 concerns · Avg: 2.3/10
Market CapQuality
$1.67B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-7.8%2/10

ROE of -7.8% — below average capital efficiency

Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

EPS GrowthGrowth
-9.0%2/10

Earnings declined 9.0%

Comparative Analysis Report

WallStSmart Research

Bull Case : BJ

The strongest argument for BJ centers on Altman Z-Score, Return on Equity, Revenue Growth. Revenue growth of 15.7% demonstrates continued momentum.

Bull Case : SAM

The strongest argument for SAM centers on Debt/Equity, Altman Z-Score, PEG Ratio. PEG of 0.78 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 : SAM

The primary concerns for SAM are Market Cap, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

BJ profiles as a growth stock while SAM is a turnaround play — different risk/reward profiles.

SAM carries more volatility with a beta of 0.83 — expect wider price swings.

BJ is growing revenue faster at 15.7% — sustainability is the question.

BJ generates stronger free cash flow (224M), providing more financial flexibility.

Bottom Line

BJ scores higher overall (58/100 vs 43/100) and 15.7% revenue growth. SAM offers better value entry with a 24.6% 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.

Boston Beer Company Inc

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

The Boston Beer Company, Inc. produces and sells alcoholic beverages primarily in the United States. The company is headquartered in Boston, Massachusetts.

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