Dollar General Corporation (DG)vsThe TJX Companies Inc (TJX)
DG
Dollar General Corporation
$113.29
-2.73%
CONSUMER DEFENSIVE · Cap: $25.63B
TJX
The TJX Companies Inc
$153.36
-0.73%
CONSUMER CYCLICAL · Cap: $169.59B
Smart Verdict
WallStSmart Research — data-driven comparison
The TJX Companies Inc generates 41% more annual revenue ($60.37B vs $42.72B). TJX leads profitability with a 9.1% profit margin vs 3.5%. DG appears more attractively valued with a PEG of 1.69. DG earns a higher WallStSmart Score of 63/100 (C+).
DG
Buy63
out of 100
Grade: C+
TJX
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+31.5%
Fair Value
$214.72
Current Price
$113.29
$101.43 discount
Margin of Safety
-6.9%
Fair Value
$147.47
Current Price
$153.36
$5.89 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 121.9% YoY
Attractively priced relative to earnings
Reasonable price relative to book value
Generating 1.3B in free cash flow
Every $100 of equity generates 59 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Earnings expanding 27.9% YoY
Generating 2.6B in free cash flow
Areas to Watch
Expensive relative to growth rate
3.5% margin — thin
Elevated debt levels
Premium valuation, high expectations priced in
Trading at 16.7x book value
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : DG
The strongest argument for DG centers on EPS Growth, P/E Ratio, Price/Book.
Bull Case : TJX
The strongest argument for TJX centers on Return on Equity, Altman Z-Score, Market Cap.
Bear Case : DG
The primary concerns for DG are PEG Ratio, Profit Margin, Debt/Equity. Debt-to-equity of 2.02 is elevated, increasing financial risk. Thin 3.5% margins leave little buffer for downturns.
Bear Case : TJX
The primary concerns for TJX are P/E Ratio, Price/Book, PEG Ratio.
Key Dynamics to Monitor
TJX carries more volatility with a beta of 0.64 — expect wider price swings.
TJX is growing revenue faster at 8.5% — sustainability is the question.
TJX generates stronger free cash flow (2.6B), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DG scores higher overall (63/100 vs 56/100). 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.
Dollar General Corporation
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Dollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee.
Visit Website →The TJX Companies Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The TJX Companies, Inc. (abbreviated TJX) is an American multinational off-price department store corporation, headquartered in Framingham, Massachusetts.
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