Burlington Stores Inc (BURL)vsCato Corporation (CATO)
BURL
Burlington Stores Inc
$317.05
-1.53%
CONSUMER CYCLICAL · Cap: $21.30B
CATO
Cato Corporation
$3.18
-3.05%
CONSUMER CYCLICAL · Cap: $65.47M
Smart Verdict
WallStSmart Research — data-driven comparison
Burlington Stores Inc generates 1719% more annual revenue ($11.91B vs $654.67M). BURL leads profitability with a 5.2% profit margin vs 0.0%. CATO appears more attractively valued with a PEG of 1.17. BURL earns a higher WallStSmart Score of 59/100 (C).
BURL
Buy59
out of 100
Grade: C
CATO
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-27.9%
Fair Value
$239.08
Current Price
$317.05
$77.97 premium
Margin of Safety
+76.6%
Fair Value
$12.93
Current Price
$3.18
$9.75 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 34 in profit
Reasonable price relative to book value
Earnings expanding 181.7% YoY
Areas to Watch
Premium valuation, high expectations priced in
Trading at 10.7x book value
Grey zone — moderate risk
5.2% margin — thin
0.5% revenue growth
Grey zone — moderate risk
Smaller company, higher risk/reward
0.0% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : BURL
The strongest argument for BURL centers on Return on Equity. Revenue growth of 14.1% demonstrates continued momentum.
Bull Case : CATO
The strongest argument for CATO centers on Price/Book, EPS Growth. PEG of 1.17 suggests the stock is reasonably priced for its growth.
Bear Case : BURL
The primary concerns for BURL are P/E Ratio, Price/Book, Altman Z-Score. Debt-to-equity of 3.20 is elevated, increasing financial risk.
Bear Case : CATO
The primary concerns for CATO are Revenue Growth, Altman Z-Score, Market Cap. Thin 0.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
BURL carries more volatility with a beta of 1.46 — expect wider price swings.
BURL is growing revenue faster at 14.1% — sustainability is the question.
CATO generates stronger free cash flow (7M), providing more financial flexibility.
Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BURL scores higher overall (59/100 vs 57/100) and 14.1% revenue growth. CATO offers better value entry with a 76.6% margin of safety. 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.
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.
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