WallStSmart

Procter & Gamble Company (PG)vsTarget Corporation (TGT)

VS
⚡

Smart Verdict

WallStSmart Research — data-driven comparison

Target Corporation generates 24% more annual revenue ($107.70B vs $87.03B). PG leads profitability with a 18.4% profit margin vs 4.1%. TGT appears more attractively valued with a PEG of 1.98. TGT earns a higher WallStSmart Score of 66/100 (B-).

PG

Buy

55

out of 100

Grade: C

Growth: 3.3Profit: 8.5Value: 3.3Quality: 4.8
Piotroski: 4/9

TGT

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 6.0Value: 6.0Quality: 4.5
Piotroski: 3/9Altman Z: 2.47
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PGSignificantly Overvalued (-44.7%)

Margin of Safety

-44.7%

Fair Value

$100.65

Current Price

$146.23

$45.58 premium

UndervaluedFair: $100.65Overvalued
TGTUndervalued (+5.3%)

Margin of Safety

+5.3%

Fair Value

$121.04

Current Price

$157.45

$36.41 discount

UndervaluedFair: $121.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PG4 strengths · Avg: 8.8/10
Market CapQuality
$338.37B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
29.5%9/10

Every $100 of equity generates 30 in profit

Operating MarginProfitability
22.1%8/10

Strong operational efficiency at 22.1%

Free Cash FlowQuality
$4.11B8/10

Generating 4.1B in free cash flow

TGT5 strengths · Avg: 8.8/10
EPS GrowthGrowth
100.5%10/10

Earnings expanding 100.5% YoY

Market CapQuality
$70.99B9/10

Large-cap with strong market position

Return on EquityProfitability
24.6%9/10

Every $100 of equity generates 25 in profit

P/E RatioValuation
16.2x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$2.43B8/10

Generating 2.4B in free cash flow

Areas to Watch

PG3 concerns · Avg: 2.7/10
Revenue GrowthGrowth
1.5%4/10

1.5% revenue growth

PEG RatioValuation
3.792/10

Expensive relative to growth rate

EPS GrowthGrowth
-15.5%2/10

Earnings declined 15.5%

TGT4 concerns · Avg: 3.3/10
PEG RatioValuation
1.984/10

Expensive relative to growth rate

Profit MarginProfitability
4.1%3/10

4.1% margin — thin

Debt/EquityHealth
1.053/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : PG

The strongest argument for PG centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 18.4% and operating margin at 22.1%.

Bull Case : TGT

The strongest argument for TGT centers on EPS Growth, Market Cap, Return on Equity.

Bear Case : PG

The primary concerns for PG are Revenue Growth, PEG Ratio, EPS Growth.

Bear Case : TGT

The primary concerns for TGT are PEG Ratio, Profit Margin, Debt/Equity. Thin 4.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

TGT carries more volatility with a beta of 0.99 — expect wider price swings.

TGT is growing revenue faster at 5.3% — sustainability is the question.

PG generates stronger free cash flow (4.1B), providing more financial flexibility.

Monitor HOUSEHOLD & PERSONAL PRODUCTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TGT scores higher overall (66/100 vs 55/100). Both earn "Strong 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.

Procter & Gamble Company

CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA

The Procter & Gamble Company (P&G) is an American multinational consumer goods corporation headquartered in Cincinnati, Ohio, founded in 1837 by William Procter and James Gamble. It specializes in a wide range of personal health, consumer health, personal care, and hygiene products; these products are organized into several segments including Beauty; Grooming; Health Care; Fabric & Home Care; and Baby, Feminine, & Family Care. Before the sale of Pringles to Kellogg's, its product portfolio also included food, snacks, and beverages.

Visit Website →

Target Corporation

CONSUMER DEFENSIVE · DISCOUNT STORES · USA

Target Corporation is an American retail corporation. Their retail formats include the discount store Target, the hypermarket SuperTarget, and small-format stores previously named CityTarget and TargetExpress before being consolidated under the Target branding.

Want to dig deeper into these stocks?