Dollar Tree Inc (DLTR)vsKroger Company (KR)
DLTR
Dollar Tree Inc
$130.90
+0.94%
CONSUMER DEFENSIVE · Cap: $24.45B
KR
Kroger Company
$56.73
-1.03%
CONSUMER DEFENSIVE · Cap: $36.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Kroger Company generates 653% more annual revenue ($148.65B vs $19.75B). DLTR leads profitability with a 6.5% profit margin vs 0.7%. KR appears more attractively valued with a PEG of 0.56. DLTR earns a higher WallStSmart Score of 57/100 (C).
DLTR
Buy57
out of 100
Grade: C
KR
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+17.0%
Fair Value
$150.57
Current Price
$130.90
$19.67 discount
Margin of Safety
+21.0%
Fair Value
$73.11
Current Price
$56.73
$16.38 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 37 in profit
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
6.5% margin — thin
Elevated debt levels
Premium valuation, high expectations priced in
2.2% revenue growth
0.7% margin — thin
Operating margin of 3.2%
Comparative Analysis Report
WallStSmart ResearchBull Case : DLTR
The strongest argument for DLTR centers on Return on Equity.
Bull Case : KR
The strongest argument for KR centers on Altman Z-Score, PEG Ratio. PEG of 0.56 suggests the stock is reasonably priced for its growth.
Bear Case : DLTR
The primary concerns for DLTR are PEG Ratio, Profit Margin, Debt/Equity. Debt-to-equity of 2.17 is elevated, increasing financial risk.
Bear Case : KR
The primary concerns for KR are P/E Ratio, Revenue Growth, Profit Margin. Debt-to-equity of 3.63 is elevated, increasing financial risk. Thin 0.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
DLTR carries more volatility with a beta of 0.65 — expect wider price swings.
DLTR is growing revenue faster at 7.2% — sustainability is the question.
KR generates stronger free cash flow (462M), providing more financial flexibility.
Monitor DISCOUNT STORES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
DLTR scores higher overall (57/100 vs 55/100). KR offers better value entry with a 21.0% 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.
Dollar Tree Inc
CONSUMER DEFENSIVE · DISCOUNT STORES · USA
Dollar Tree is an American chain of discount variety stores that sells items for $1 or less, headquartered in Chesapeake, Virginia.
Visit Website →Kroger Company
CONSUMER DEFENSIVE · GROCERY STORES · USA
The Kroger Company, or simply Kroger, is an American retail company founded by Bernard Kroger in 1883 in Cincinnati, Ohio.
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