Natural Grocers by Vitamin Cottage vs Dollar General: Which Is the Stronger Buy Today?

DG: Dollar General logo
DG
Dollar General

Dollar General surged 32% during the past Month. You may be tempted to buy more, or may want to reduce your exposure. But there is an entirely different perspective you might be missing. Is there a better alternative? Turns out, its peer Natural Grocers by Vitamin Cottage gives you more. Natural Grocers by Vitamin Cottage (NGVC) stock offers superior revenue growth across key periods, better profitability, and relatively lower valuation vs Dollar General (DG) stock, suggesting you may be better off investing in NGVC

  • NGVC’s Last 12 Months revenue growth was 7.2%, vs. DG’s 4.9%.
  • In addition, its Last 3-Year Average revenue growth came in at 6.9%, ahead of DG’s 5.1%.
  • NGVC’s LTM margin is higher: 4.7% vs. DG’s 4.5%.

These differences become even clearer when you look at the financials side by side. The table highlights how DG’s fundamentals stack up against those of NGVC on growth, margins, momentum, and valuation multiples.

Valuation & Performance Overview

  DG NGVC Preferred
     
Valuation      
P/EBIT Ratio 15.6 9.3 NGVC
     
Revenue Growth      
Last Quarter 4.6% 4.2% DG
Last 12 Months 4.9% 7.2% NGVC
Last 3 Year Average 5.1% 6.9% NGVC
     
Operating Margins      
Last 12 Months 4.5% 4.7% NGVC
Last 3 Year Average 5.5% 3.9% DG
     
Momentum      
Last 3 Year Return -42.5% 218.7% NGVC

Note: For “Last 3 Year Return” metric, preferred stock is one with higher returns unless the returns are too high (>300%) which creates risk of sell off.
See more revenue details: DG Revenue Comparison | NGVC Revenue Comparison
See more margin details: DG Operating Income Comparison | NGVC Operating Income Comparison

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See detailed fundamentals on Buy or Sell DG Stock. Below we compare market return and related metrics across years.

Historical Market Performance

  2020 2021 2022 2023 2024 2025 Total [1] Avg Best
Returns
DG Return 36% 13% 6% -44% -43% 86% -4%    
NGVC Return 62% 6% -34% 92% 153% -35% 256%   <===
S&P 500 Return 16% 27% -19% 24% 23% 17% 114%  
Monthly Win Rates [3]
DG Win Rate 58% 50% 58% 33% 25% 67%   49%  
NGVC Win Rate 58% 58% 50% 83% 50% 42%   57%  
S&P 500 Win Rate 58% 75% 42% 67% 75% 73%   65% <===
Max Drawdowns [4]
DG Max Drawdown -13% -15% -20% -58% -45% -9%   -27%  
NGVC Max Drawdown -41% -26% -35% -7% -9% -37%   -26%  
S&P 500 Max Drawdown -31% -1% -25% -1% -2% -15%   -12% <===

[1] Cumulative total returns since the beginning of 2020
[2] 2025 data is for the year up to 12/23/2025 (YTD)
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year

No matter how good the numbers, stock investment is never a smooth ride. There is a risk you must factor in. Read DG Dip Buyer Analyses to see how the stock has fallen and recovered in the past.

Still not sure about DG or NGVC? Consider portfolio approach.

The Best Investors Think In Portfolios

Single stocks swing wildly but staying invested matters. A well built portfolio keeps you invested, captures upside and softens the blows from individual stocks

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.