WallStSmart

Dollar Tree Inc (DLTR)vsPriceSmart Inc (PSMT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Dollar Tree Inc generates 260% more annual revenue ($19.41B vs $5.39B). DLTR leads profitability with a 6.6% profit margin vs 2.8%. DLTR appears more attractively valued with a PEG of 1.12. DLTR earns a higher WallStSmart Score of 63/100 (C+).

DLTR

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 6.5Value: 8.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.82

PSMT

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 5.0Value: 7.3Quality: 5.8
Piotroski: 3/9Altman Z: 4.12
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DLTRUndervalued (+11.4%)

Margin of Safety

+11.4%

Fair Value

$141.13

Current Price

$106.64

$34.49 discount

UndervaluedFair: $141.13Overvalued
PSMTSignificantly Overvalued (-79.1%)

Margin of Safety

-79.1%

Fair Value

$86.63

Current Price

$147.18

$60.55 premium

UndervaluedFair: $86.63Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DLTR2 strengths · Avg: 9.0/10
Return on EquityProfitability
31.7%10/10

Every $100 of equity generates 32 in profit

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

PSMT1 strengths · Avg: 10.0/10
Altman Z-ScoreHealth
4.1210/10

Safe zone — low bankruptcy risk

Areas to Watch

DLTR3 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.824/10

Grey zone — moderate risk

Profit MarginProfitability
6.6%3/10

6.6% margin — thin

Debt/EquityHealth
1.513/10

Elevated debt levels

PSMT4 concerns · Avg: 3.5/10
PEG RatioValuation
1.834/10

Expensive relative to growth rate

P/E RatioValuation
29.8x4/10

Moderate valuation

Profit MarginProfitability
2.8%3/10

2.8% margin — thin

Operating MarginProfitability
4.6%3/10

Operating margin of 4.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : DLTR

The strongest argument for DLTR centers on Return on Equity, P/E Ratio. PEG of 1.12 suggests the stock is reasonably priced for its growth.

Bull Case : PSMT

The strongest argument for PSMT centers on Altman Z-Score.

Bear Case : DLTR

The primary concerns for DLTR are Altman Z-Score, Profit Margin, Debt/Equity. Debt-to-equity of 1.51 is elevated, increasing financial risk.

Bear Case : PSMT

The primary concerns for PSMT are PEG Ratio, P/E Ratio, Profit Margin. Thin 2.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

PSMT carries more volatility with a beta of 0.75 — expect wider price swings.

PSMT is growing revenue faster at 9.9% — sustainability is the question.

DLTR generates stronger free cash flow (970M), providing more financial flexibility.

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

Bottom Line

DLTR scores higher overall (63/100 vs 52/100). 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 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.

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PriceSmart Inc

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

PriceSmart, Inc. owns and operates American-style membership shopping warehouse clubs in Central America, the Caribbean and Colombia. The company is headquartered in San Diego, California.

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