Bath & Body Works Inc. (BBWI)vsBest Buy Co. Inc (BBY)
BBWI
Bath & Body Works Inc.
$18.19
+0.72%
CONSUMER CYCLICAL · Cap: $3.70B
BBY
Best Buy Co. Inc
$60.40
-2.12%
CONSUMER CYCLICAL · Cap: $12.93B
Smart Verdict
WallStSmart Research — data-driven comparison
Best Buy Co. Inc generates 472% more annual revenue ($41.69B vs $7.29B). BBWI leads profitability with a 8.9% profit margin vs 2.6%. BBWI appears more attractively valued with a PEG of 0.78. BBY earns a higher WallStSmart Score of 64/100 (C+).
BBWI
Buy51
out of 100
Grade: C-
BBY
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-6.0%
Fair Value
$21.15
Current Price
$18.19
$2.96 premium
Margin of Safety
+71.6%
Fair Value
$235.87
Current Price
$60.40
$175.47 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Growing faster than its price suggests
Strong operational efficiency at 22.5%
Every $100 of equity generates 37 in profit
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Generating 1.1B in free cash flow
Areas to Watch
Grey zone — moderate risk
ROE of 0.0% — below average capital efficiency
Revenue declined 2.3%
Earnings declined 4.7%
3.7% earnings growth
2.6% margin — thin
Revenue declined 1.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : BBWI
The strongest argument for BBWI centers on P/E Ratio, PEG Ratio, Operating Margin. 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, Altman Z-Score, P/E Ratio. PEG of 1.19 suggests the stock is reasonably priced for its growth.
Bear Case : BBWI
The primary concerns for BBWI are Altman Z-Score, Return on Equity, Revenue Growth.
Bear Case : BBY
The primary concerns for BBY are EPS Growth, Profit Margin, Revenue Growth. Thin 2.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
BBY carries more volatility with a beta of 1.44 — expect wider price swings.
BBY is growing revenue faster at -1.0% — sustainability is the question.
BBY generates stronger free cash flow (1.1B), providing more financial flexibility.
Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BBY scores higher overall (64/100 vs 51/100). 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 recognized for its extensive range of high-quality personal care products, including body care, skincare, fragrances, and home fragrances. With a robust omnichannel presence, the company effectively marries a strong physical retail footprint with a dynamic online platform, fostering exceptional customer loyalty and engagement. Bath & Body Works continues to drive innovation and adapt to shifting consumer preferences through targeted seasonal marketing efforts, enhancing its competitive position in the rapidly evolving beauty and personal care industry. As a subsidiary of L Brands, Inc., it benefits from synergies and shared resources while underscoring its commitment to sustainability and community involvement, positioning it strategically for future growth and market leadership.
Best Buy Co. Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Best Buy Co., Inc. is an American multinational consumer electronics retailer headquartered in Richfield, Minnesota.
Compare with Other SPECIALTY RETAIL Stocks
Want to dig deeper into these stocks?