Costco Wholesale Corp (COST)vsPilgrims Pride Corp (PPC)
COST
Costco Wholesale Corp
$998.67
+1.59%
CONSUMER DEFENSIVE · Cap: $448.60B
PPC
Pilgrims Pride Corp
$31.15
-5.20%
CONSUMER DEFENSIVE · Cap: $7.41B
Smart Verdict
WallStSmart Research — data-driven comparison
Costco Wholesale Corp generates 1448% more annual revenue ($286.27B vs $18.50B). PPC leads profitability with a 5.8% profit margin vs 3.0%. PPC appears more attractively valued with a PEG of 0.49. COST earns a higher WallStSmart Score of 61/100 (C+).
COST
Buy61
out of 100
Grade: C+
PPC
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-88.3%
Fair Value
$530.40
Current Price
$998.67
$468.27 premium
Margin of Safety
+19.7%
Fair Value
$53.79
Current Price
$31.15
$22.64 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Safe zone — low bankruptcy risk
Every $100 of equity generates 30 in profit
Conservative balance sheet, low leverage
Revenue surging 21.5% year-over-year
Earnings expanding 45.5% YoY
Growing faster than its price suggests
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Every $100 of equity generates 27 in profit
Reasonable price relative to book value
Areas to Watch
3.0% margin — thin
Operating margin of 3.7%
Expensive relative to growth rate
Premium valuation, high expectations priced in
3.3% revenue growth
5.8% margin — thin
Earnings declined 62.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : COST
The strongest argument for COST centers on Market Cap, Altman Z-Score, Return on Equity. Revenue growth of 21.5% demonstrates continued momentum.
Bull Case : PPC
The strongest argument for PPC centers on PEG Ratio, P/E Ratio, Altman Z-Score. PEG of 0.49 suggests the stock is reasonably priced for its growth.
Bear Case : COST
The primary concerns for COST are Profit Margin, Operating Margin, PEG Ratio. A P/E of 52.6x leaves little room for execution misses. Thin 3.0% margins leave little buffer for downturns.
Bear Case : PPC
The primary concerns for PPC are Revenue Growth, Profit Margin, EPS Growth.
Key Dynamics to Monitor
COST profiles as a growth stock while PPC is a value play — different risk/reward profiles.
COST carries more volatility with a beta of 0.98 — expect wider price swings.
COST is growing revenue faster at 21.5% — sustainability is the question.
COST generates stronger free cash flow (1.7B), providing more financial flexibility.
Bottom Line
COST scores higher overall (61/100 vs 56/100) and 21.5% revenue growth. PPC offers better value entry with a 19.7% 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.
Costco Wholesale Corp
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Costco Wholesale Corporation (doing business as Costco Wholesale and also known simply as Costco) is an American multinational corporation which operates a chain of membership-only (needing a membership to shop there) big-box retail stores. As of 2020, Costco was the fifth largest retailer in the world, and the world's largest retailer of choice and prime beef, organic foods, rotisserie chicken, and wine as of 2016.
Visit Website →Pilgrims Pride Corp
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
Pilgrim's Pride Corporation produces, processes, markets and distributes fresh, frozen and value-added chicken and pork products to retailers, distributors and food service operators in the United States, the United Kingdom, Mexico, France, Puerto Rico, the Countries Low, rest of Europe, Middle East, Asia and internationally. The company is headquartered in Greeley, Colorado.
Visit Website →Compare with Other DISCOUNT STORES Stocks
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