Bath & Body Works Inc. (BBWI)vsBest Buy Co. Inc (BBY)
BBWI
Bath & Body Works Inc.
$17.40
+1.22%
CONSUMER CYCLICAL · Cap: $3.57B
BBY
Best Buy Co. Inc
$92.85
-1.81%
CONSUMER CYCLICAL · Cap: $18.73B
Smart Verdict
WallStSmart Research — data-driven comparison
Best Buy Co. Inc generates 485% more annual revenue ($42.20B vs $7.21B). BBWI leads profitability with a 10.8% profit margin vs 3.0%. BBWI appears more attractively valued with a PEG of 0.78. BBY earns a higher WallStSmart Score of 60/100 (C+).
BBWI
Buy57
out of 100
Grade: C
BBY
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+10.5%
Fair Value
$25.04
Current Price
$17.40
$7.64 discount
Margin of Safety
-60.1%
Fair Value
$41.89
Current Price
$92.85
$50.96 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Earnings expanding 93.3% YoY
Conservative balance sheet, low leverage
Growing faster than its price suggests
Every $100 of equity generates 40 in profit
Earnings expanding 70.1% YoY
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Areas to Watch
Grey zone — moderate risk
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Revenue declined 2.3%
Expensive relative to growth rate
3.6% revenue growth
3.0% margin — thin
Operating margin of 3.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : BBWI
The strongest argument for BBWI centers on P/E Ratio, EPS Growth, Debt/Equity. PEG of 0.78 suggests the stock is reasonably priced for its growth.
Bull Case : BBY
The strongest argument for BBY centers on Return on Equity, EPS Growth, Altman Z-Score.
Bear Case : BBWI
The primary concerns for BBWI are Altman Z-Score, Return on Equity, Piotroski F-Score.
Bear Case : BBY
The primary concerns for BBY are PEG Ratio, Revenue Growth, Profit Margin. Thin 3.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
BBWI profiles as a declining stock while BBY is a value play — different risk/reward profiles.
BBWI carries more volatility with a beta of 1.37 — expect wider price swings.
BBY is growing revenue faster at 3.6% — sustainability is the question.
BBY generates stronger free cash flow (737M), providing more financial flexibility.
Bottom Line
BBY scores higher overall (60/100 vs 57/100). 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.
Bath & Body Works Inc.
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Bath & Body Works Inc. (BBWI) is a leading specialty retailer distinguished by its extensive range of premium personal care and home fragrance products. With a strong omnichannel strategy that seamlessly merges its expansive retail footprint with a vibrant e-commerce platform, the company prioritizes customer accessibility and engagement. As a subsidiary of L Brands, Inc., BBWI benefits from operational synergies while fostering innovation in product offerings to align with evolving consumer preferences. The company is dedicated to sustainability and community stewardship, positioning itself for long-term growth and competitive resilience in the dynamic beauty and personal care market.
Best Buy Co. Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Best Buy Co., Inc. is an American multinational consumer electronics retailer headquartered in Richfield, Minnesota.
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