WallStSmart

Coty Inc (COTY)vsDollar General Corporation (DG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Dollar General Corporation generates 636% more annual revenue ($42.72B vs $5.81B). DG leads profitability with a 3.5% profit margin vs -9.1%. COTY appears more attractively valued with a PEG of 0.18. DG earns a higher WallStSmart Score of 65/100 (C+).

COTY

Hold

49

out of 100

Grade: D+

Growth: 3.3Profit: 3.5Value: 8.3Quality: 3.8
Piotroski: 4/9Altman Z: 0.26

DG

Buy

65

out of 100

Grade: C+

Growth: 6.7Profit: 6.0Value: 8.0Quality: 5.0
Piotroski: 5/9Altman Z: 2.00
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

COTYUndervalued (+71.5%)

Margin of Safety

+71.5%

Fair Value

$8.87

Current Price

$2.46

$6.41 discount

UndervaluedFair: $8.87Overvalued
DGUndervalued (+31.8%)

Margin of Safety

+31.8%

Fair Value

$215.69

Current Price

$115.88

$99.81 discount

UndervaluedFair: $215.69Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

COTY2 strengths · Avg: 10.0/10
PEG RatioValuation
0.1810/10

Growing faster than its price suggests

Price/BookValuation
0.6x10/10

Reasonable price relative to book value

DG4 strengths · Avg: 8.5/10
EPS GrowthGrowth
121.9%10/10

Earnings expanding 121.9% YoY

P/E RatioValuation
16.9x8/10

Attractively priced relative to earnings

Price/BookValuation
3.0x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$1.27B8/10

Generating 1.3B in free cash flow

Areas to Watch

COTY4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

Return on EquityProfitability
-12.6%2/10

ROE of -12.6% — below average capital efficiency

EPS GrowthGrowth
-22.2%2/10

Earnings declined 22.2%

Altman Z-ScoreHealth
0.262/10

Distress zone — elevated risk

DG2 concerns · Avg: 2.0/10
Profit MarginProfitability
3.5%3/10

3.5% margin — thin

Debt/EquityHealth
2.021/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : COTY

The strongest argument for COTY centers on PEG Ratio, Price/Book. PEG of 0.18 suggests the stock is reasonably priced for its growth.

Bull Case : DG

The strongest argument for DG centers on EPS Growth, P/E Ratio, Price/Book. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bear Case : COTY

The primary concerns for COTY are Revenue Growth, Return on Equity, EPS Growth.

Bear Case : DG

The primary concerns for DG are Profit Margin, Debt/Equity. Debt-to-equity of 2.02 is elevated, increasing financial risk. Thin 3.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

COTY profiles as a turnaround stock while DG is a value play — different risk/reward profiles.

COTY carries more volatility with a beta of 0.97 — expect wider price swings.

DG is growing revenue faster at 5.9% — sustainability is the question.

DG generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

DG scores higher overall (65/100 vs 49/100). COTY offers better value entry with a 71.5% 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.

Coty Inc

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

Coty Inc., manufactures, markets, distributes and sells beauty products worldwide. The company is headquartered in New York, New York.

Dollar General Corporation

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Dollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee.

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