Burlington Stores Inc (BURL)vsCato Corporation (CATO)
BURL
Burlington Stores Inc
$239.04
+0.43%
CONSUMER CYCLICAL · Cap: $16.04B
CATO
Cato Corporation
$2.41
-0.21%
CONSUMER CYCLICAL · Cap: $47.99M
Smart Verdict
WallStSmart Research — data-driven comparison
Burlington Stores Inc generates 1797% more annual revenue ($12.21B vs $643.67M). BURL leads profitability with a 5.8% profit margin vs -0.9%. CATO appears more attractively valued with a PEG of 1.17. BURL earns a higher WallStSmart Score of 63/100 (C+).
BURL
Buy63
out of 100
Grade: C+
CATO
Hold40
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-23.7%
Fair Value
$247.19
Current Price
$239.04
$8.15 premium
Margin of Safety
+75.6%
Fair Value
$12.36
Current Price
$2.41
$9.95 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 36 in profit
Earnings expanding 95.9% YoY
Reasonable price relative to book value
Areas to Watch
Grey zone — moderate risk
5.8% margin — thin
Expensive relative to growth rate
Negative free cash flow — burning cash
Smaller company, higher risk/reward
ROE of -3.7% — below average capital efficiency
Revenue declined 6.2%
Earnings declined 83.3%
Comparative Analysis Report
WallStSmart ResearchBull Case : BURL
The strongest argument for BURL centers on Return on Equity, EPS Growth. Revenue growth of 11.0% demonstrates continued momentum.
Bull Case : CATO
The strongest argument for CATO centers on Price/Book. PEG of 1.17 suggests the stock is reasonably priced for its growth.
Bear Case : BURL
The primary concerns for BURL are Altman Z-Score, Profit Margin, PEG Ratio. Debt-to-equity of 2.95 is elevated, increasing financial risk.
Bear Case : CATO
The primary concerns for CATO are Market Cap, Return on Equity, Revenue Growth.
Key Dynamics to Monitor
BURL profiles as a value stock while CATO is a turnaround play — different risk/reward profiles.
BURL carries more volatility with a beta of 1.42 — expect wider price swings.
BURL is growing revenue faster at 11.0% — sustainability is the question.
CATO generates stronger free cash flow (13M), providing more financial flexibility.
Bottom Line
BURL scores higher overall (63/100 vs 40/100) and 11.0% revenue growth. CATO offers better value entry with a 75.6% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Burlington Stores Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Burlington Stores, Inc. is a branded apparel retailer in the United States. The company is headquartered in Burlington, New Jersey.
Cato Corporation
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The Cato Corporation is a specialty clothing and fashion accessories retailer primarily in the southeastern United States. The company is headquartered in Charlotte, North Carolina.
Compare with Other APPAREL RETAIL Stocks
Want to dig deeper into these stocks?