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DDS vs MUSA

DDS
Dillard's, Inc.
NEUTRAL
Price
$595.20
Market Cap
$9.3B
Sector
Consumer Cyclical
AI Confidence
85%
MUSA
Murphy USA Inc.
NEUTRAL
Price
$514.45
Market Cap
$9.52B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
DDS
16.34
MUSA
21.36
Forward P/E
DDS
18.26
MUSA
18.46
P/B Ratio
DDS
5.23
MUSA
15.32
P/S Ratio
DDS
1.42
MUSA
0.56
EV/EBITDA
DDS
10.36
MUSA
12.02

Profitability

Gross Margin
DDS
40.32%
MUSA
7.74%
Operating Margin
DDS
10.13%
MUSA
5.25%
Profit Margin
DDS
8.69%
MUSA
2.77%
ROE
DDS
31.9%
MUSA
64.31%
ROA
DDS
11.88%
MUSA
9.97%

Growth

Revenue Growth
DDS
-3.0%
MUSA
0.2%
Earnings Growth
DDS
-3.1%
MUSA
8.1%

Financial Health

Debt/Equity
DDS
0.31
MUSA
4.4
Current Ratio
DDS
2.65
MUSA
0.81
Quick Ratio
DDS
1.24
MUSA
0.33

Dividends

Dividend Yield
DDS
0.2%
MUSA
0.49%
Payout Ratio
DDS
3.02%
MUSA
8.92%

AI Verdict

DDS NEUTRAL

DDS exhibits exceptional financial health with a Piotroski F-Score of 8/9 and a very low Debt/Equity ratio of 0.31. However, the stock is significantly overvalued, trading at $595.20—nearly double its Graham Number ($305.57) and Intrinsic Value ($255.01). While profitability remains high with an ROE of 31.90%, the company is facing a growth stagnation with negative YoY revenue and earnings growth. The disconnect between strong fundamental health and poor valuation/growth metrics suggests a limited upside from current levels.

Strengths
Strong financial health (Piotroski F-Score 8/9)
Excellent Return on Equity (ROE) of 31.90%
Conservative leverage with Debt/Equity at 0.31
Risks
Severe overvaluation relative to Graham and Intrinsic values
Negative YoY revenue growth (-3.00%) and earnings growth (-3.10%)
Bearish technical trend (0/100)
MUSA NEUTRAL

MUSA presents a dichotomy of high operational efficiency and precarious financial health. While the Piotroski F-Score of 4/9 indicates stable but mediocre health, the company's extreme leverage (Debt/Equity 4.40) and poor liquidity (Current Ratio 0.81) are significant concerns. The stock trades at a substantial premium to its Graham Number ($134.89) and slightly above its intrinsic value ($461.13), suggesting a valuation driven by high ROE rather than fundamental asset backing. Despite consistent earnings beats, stagnant revenue growth and bearish insider activity temper the outlook.

Strengths
Exceptional Return on Equity (ROE) of 64.31%
Strong track record of earnings surprises (3/4 beats in last 4 quarters)
P/E ratio (21.36) is lower than the Consumer Cyclical sector average (32.39)
Risks
High financial leverage with a Debt/Equity ratio of 4.40
Liquidity risk evidenced by a Current Ratio of 0.81 and Quick Ratio of 0.33
Stagnant top-line growth (YoY Revenue Growth of only 0.20%)

Compare Another Pair

DDS vs MUSA: Head-to-Head Comparison

This page compares Dillard's, Inc. (DDS) and Murphy USA Inc. (MUSA) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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