BJs Wholesale Club Holdings Inc (BJ)vsWarner Bros Discovery Inc (WBD)
BJ
BJs Wholesale Club Holdings Inc
$92.97
-1.44%
CONSUMER DEFENSIVE · Cap: $12.05B
WBD
Warner Bros Discovery Inc
$27.11
-0.04%
COMMUNICATION SERVICES · Cap: $67.99B
Smart Verdict
WallStSmart Research — data-driven comparison
Warner Bros Discovery Inc generates 74% more annual revenue ($37.30B vs $21.46B). BJ leads profitability with a 2.7% profit margin vs 1.9%. BJ appears more attractively valued with a PEG of 2.41. BJ earns a higher WallStSmart Score of 52/100 (C-).
BJ
Buy52
out of 100
Grade: C-
WBD
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+26.1%
Fair Value
$134.73
Current Price
$92.97
$41.76 discount
Margin of Safety
+60.5%
Fair Value
$70.90
Current Price
$27.11
$43.79 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Every $100 of equity generates 29 in profit
Earnings expanding 226.7% YoY
Large-cap with strong market position
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
3.5% earnings growth
2.7% margin — thin
Operating margin of 3.2%
ROE of 2.1% — below average capital efficiency
1.9% margin — thin
Expensive relative to growth rate
Revenue declined 5.7%
Comparative Analysis Report
WallStSmart ResearchBull Case : BJ
The strongest argument for BJ centers on Altman Z-Score, Return on Equity.
Bull Case : WBD
The strongest argument for WBD centers on EPS Growth, Market Cap, Price/Book.
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 : WBD
The primary concerns for WBD are Return on Equity, Profit Margin, PEG Ratio. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
WBD carries more volatility with a beta of 1.57 — expect wider price swings.
BJ is growing revenue faster at 5.6% — sustainability is the question.
BJ generates stronger free cash flow (193M), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BJ scores higher overall (52/100 vs 51/100). WBD offers better value entry with a 60.5% margin of safety. 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.
Warner Bros Discovery Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Warner Bros. The company is headquartered in New York, New York.
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