WallStSmart

Dollar General Corporation (DG)vsUdemy Inc (UDMY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Dollar General Corporation generates 5309% more annual revenue ($42.72B vs $789.84M). DG leads profitability with a 3.5% profit margin vs 0.5%. DG trades at a lower P/E of 16.9x. DG earns a higher WallStSmart Score of 65/100 (C+).

DG

Buy

65

out of 100

Grade: C+

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

UDMY

Avoid

35

out of 100

Grade: F

Growth: 4.0Profit: 4.0Value: 5.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DGUndervalued (+31.8%)

Margin of Safety

+31.8%

Fair Value

$215.69

Current Price

$115.88

$99.81 discount

UndervaluedFair: $215.69Overvalued
UDMYUndervalued (+52.9%)

Margin of Safety

+52.9%

Fair Value

$9.81

Current Price

$4.74

$5.07 discount

UndervaluedFair: $9.81Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

UDMY0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

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

3.5% margin — thin

Debt/EquityHealth
2.021/10

Elevated debt levels

UDMY4 concerns · Avg: 3.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$754.49M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
1.9%3/10

ROE of 1.9% — below average capital efficiency

Profit MarginProfitability
0.5%3/10

0.5% margin — thin

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : UDMY

UDMY has a balanced fundamental profile.

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.

Bear Case : UDMY

The primary concerns for UDMY are EPS Growth, Market Cap, Return on Equity. A P/E of 172.3x leaves little room for execution misses. Thin 0.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

UDMY carries more volatility with a beta of 1.68 — 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.

Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

DG scores higher overall (65/100 vs 35/100). UDMY offers better value entry with a 52.9% margin of safety. Both earn "Buy" and "Avoid" 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.

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Udemy Inc

CONSUMER DEFENSIVE · EDUCATION & TRAINING SERVICES · USA

Udemy, Inc. operates a platform for teaching and learning skills in the United States and internationally. The company is headquartered in San Francisco, California.

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