WallStSmart

BJs Wholesale Club Holdings Inc (BJ)vsConstellation Brands Inc Class A (STZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BJs Wholesale Club Holdings Inc generates 143% more annual revenue ($21.97B vs $9.06B). STZ leads profitability with a 20.1% profit margin vs 2.6%. BJ appears more attractively valued with a PEG of 2.25. STZ earns a higher WallStSmart Score of 72/100 (B).

BJ

Buy

50

out of 100

Grade: C-

Growth: 4.0Profit: 6.0Value: 4.0Quality: 5.5
Piotroski: 5/9Altman Z: 3.58

STZ

Strong Buy

72

out of 100

Grade: B

Growth: 4.7Profit: 8.5Value: 5.0Quality: 5.0
Piotroski: 5/9Altman Z: 2.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BJSignificantly Overvalued (-71.1%)

Margin of Safety

-71.1%

Fair Value

$58.15

Current Price

$99.99

$41.84 premium

UndervaluedFair: $58.15Overvalued

Intrinsic value data unavailable for STZ.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BJ2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
3.5810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
26.9%9/10

Every $100 of equity generates 27 in profit

STZ6 strengths · Avg: 8.7/10
Operating MarginProfitability
35.9%10/10

Strong operational efficiency at 35.9%

Return on EquityProfitability
22.1%9/10

Every $100 of equity generates 22 in profit

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

P/E RatioValuation
12.7x8/10

Attractively priced relative to earnings

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
30.7%8/10

Earnings expanding 30.7% YoY

Areas to Watch

BJ4 concerns · Avg: 3.3/10
PEG RatioValuation
2.254/10

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

STZ3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.283/10

Elevated debt levels

PEG RatioValuation
2.532/10

Expensive relative to growth rate

Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : BJ

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

Bull Case : STZ

The strongest argument for STZ centers on Operating Margin, Return on Equity, Profit Margin. Profitability is solid with margins at 20.1% and operating margin at 35.9%.

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 : STZ

The primary concerns for STZ are Debt/Equity, PEG Ratio, Revenue Growth.

Key Dynamics to Monitor

BJ profiles as a value stock while STZ is a declining play — different risk/reward profiles.

STZ carries more volatility with a beta of 0.38 — expect wider price swings.

BJ is growing revenue faster at 9.9% — sustainability is the question.

STZ generates stronger free cash flow (485M), providing more financial flexibility.

Bottom Line

STZ scores higher overall (72/100 vs 50/100), backed by strong 20.1% margins. 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.

Constellation Brands Inc Class A

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Constellation Brands, Inc., headquartered in Victor, New York, is an American producer and marketer of beer, wine, and spirits.

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