DDS vs. COST, ROST, ULTA, BOOT, KR, M, WMT, JWN, KSS, and DRI
Should you be buying Dillard's stock or one of its competitors? The main competitors of Dillard's include Costco Wholesale (COST), Ross Stores (ROST), Ulta Beauty (ULTA), Boot Barn (BOOT), Kroger (KR), Macy's (M), Walmart (WMT), Nordstrom (JWN), Kohl's (KSS), and Darden Restaurants (DRI). These companies are all part of the "retail/wholesale" sector.
Dillard's vs. Its Competitors
Costco Wholesale (NASDAQ:COST) and Dillard's (NYSE:DDS) are both retail/wholesale companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, profitability, analyst recommendations, dividends, institutional ownership, media sentiment, valuation and risk.
Costco Wholesale pays an annual dividend of $5.20 per share and has a dividend yield of 0.5%. Dillard's pays an annual dividend of $1.00 per share and has a dividend yield of 0.2%. Costco Wholesale pays out 29.5% of its earnings in the form of a dividend. Dillard's pays out 2.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Costco Wholesale has raised its dividend for 22 consecutive years and Dillard's has raised its dividend for 14 consecutive years. Costco Wholesale is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Dillard's has a net margin of 8.93% compared to Costco Wholesale's net margin of 2.92%. Dillard's' return on equity of 30.52% beat Costco Wholesale's return on equity.
Costco Wholesale has a beta of 0.97, indicating that its stock price is 3% less volatile than the S&P 500. Comparatively, Dillard's has a beta of 0.99, indicating that its stock price is 1% less volatile than the S&P 500.
Costco Wholesale presently has a consensus price target of $1,034.79, suggesting a potential upside of 5.28%. Dillard's has a consensus price target of $310.00, suggesting a potential downside of 31.67%. Given Costco Wholesale's stronger consensus rating and higher possible upside, equities research analysts plainly believe Costco Wholesale is more favorable than Dillard's.
In the previous week, Costco Wholesale had 138 more articles in the media than Dillard's. MarketBeat recorded 141 mentions for Costco Wholesale and 3 mentions for Dillard's. Costco Wholesale's average media sentiment score of 1.07 beat Dillard's' score of 0.33 indicating that Costco Wholesale is being referred to more favorably in the media.
68.5% of Costco Wholesale shares are owned by institutional investors. Comparatively, 67.2% of Dillard's shares are owned by institutional investors. 0.2% of Costco Wholesale shares are owned by insiders. Comparatively, 35.0% of Dillard's shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Costco Wholesale has higher revenue and earnings than Dillard's. Dillard's is trading at a lower price-to-earnings ratio than Costco Wholesale, indicating that it is currently the more affordable of the two stocks.
Summary
Costco Wholesale beats Dillard's on 12 of the 19 factors compared between the two stocks.
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New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding DDS and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Media Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Dillard's Competitors List
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This page (NYSE:DDS) was last updated on 7/7/2025 by MarketBeat.com Staff
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