WallStSmart

Bath & Body Works Inc. (BBWI)vseBay Inc (EBAY)

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Smart Verdict

WallStSmart Research — data-driven comparison

eBay Inc generates 67% more annual revenue ($12.01B vs $7.21B). EBAY leads profitability with a 18.6% profit margin vs 10.8%. BBWI appears more attractively valued with a PEG of 0.79. EBAY earns a higher WallStSmart Score of 70/100 (B-).

BBWI

Buy

57

out of 100

Grade: C

Growth: 4.7Profit: 6.0Value: 8.0Quality: 6.0
Piotroski: 3/9Altman Z: 1.90

EBAY

Strong Buy

70

out of 100

Grade: B-

Growth: 6.7Profit: 8.5Value: 4.0Quality: 6.0
Piotroski: 4/9Altman Z: 4.49
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BBWIUndervalued (+10.0%)

Margin of Safety

+10.0%

Fair Value

$24.89

Current Price

$22.61

$2.28 discount

UndervaluedFair: $24.89Overvalued
EBAYSignificantly Overvalued (-26.5%)

Margin of Safety

-26.5%

Fair Value

$95.82

Current Price

$118.62

$22.80 premium

UndervaluedFair: $95.82Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBWI4 strengths · Avg: 9.5/10
P/E RatioValuation
6.0x10/10

Attractively priced relative to earnings

EPS GrowthGrowth
93.3%10/10

Earnings expanding 93.3% YoY

Debt/EquityHealth
-4.5010/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.798/10

Growing faster than its price suggests

EBAY5 strengths · Avg: 9.4/10
Return on EquityProfitability
47.6%10/10

Every $100 of equity generates 48 in profit

EPS GrowthGrowth
55.0%10/10

Earnings expanding 55.0% YoY

Altman Z-ScoreHealth
4.4910/10

Safe zone — low bankruptcy risk

Market CapQuality
$52.52B9/10

Large-cap with strong market position

Operating MarginProfitability
21.6%8/10

Strong operational efficiency at 21.6%

Areas to Watch

BBWI4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.904/10

Grey zone — moderate risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-2.3%2/10

Revenue declined 2.3%

EBAY4 concerns · Avg: 3.8/10
PEG RatioValuation
1.644/10

Expensive relative to growth rate

P/E RatioValuation
25.8x4/10

Moderate valuation

Price/BookValuation
11.3x4/10

Trading at 11.3x book value

Debt/EquityHealth
1.533/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : BBWI

The strongest argument for BBWI centers on P/E Ratio, EPS Growth, Debt/Equity. PEG of 0.79 suggests the stock is reasonably priced for its growth.

Bull Case : EBAY

The strongest argument for EBAY centers on Return on Equity, EPS Growth, Altman Z-Score. Profitability is solid with margins at 18.6% and operating margin at 21.6%. Revenue growth of 14.8% demonstrates continued momentum.

Bear Case : BBWI

The primary concerns for BBWI are Altman Z-Score, Return on Equity, Piotroski F-Score.

Bear Case : EBAY

The primary concerns for EBAY are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 1.53 is elevated, increasing financial risk.

Key Dynamics to Monitor

BBWI profiles as a declining stock while EBAY is a mature play — different risk/reward profiles.

BBWI carries more volatility with a beta of 1.40 — expect wider price swings.

EBAY is growing revenue faster at 14.8% — sustainability is the question.

EBAY generates stronger free cash flow (300M), providing more financial flexibility.

Bottom Line

EBAY scores higher overall (70/100 vs 57/100), backed by strong 18.6% margins and 14.8% revenue growth. Both earn "Strong 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.

eBay Inc

CONSUMER CYCLICAL · INTERNET RETAIL · USA

eBay Inc. is an American multinational e-commerce corporation based in San Jose, California, that facilitates consumer-to-consumer and business-to-consumer sales through its website.

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