WallStSmart

Capri Holdings Ltd (CPRI)vsPDD Holdings Inc. (PDD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PDD Holdings Inc. generates 12981% more annual revenue ($450.78B vs $3.45B). PDD leads profitability with a 20.4% profit margin vs 4.4%. CPRI appears more attractively valued with a PEG of 0.17. PDD earns a higher WallStSmart Score of 75/100 (B).

CPRI

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 5.5Value: 9.3Quality: 5.5
Piotroski: 5/9Altman Z: 3.19

PDD

Strong Buy

75

out of 100

Grade: B

Growth: 6.0Profit: 8.0Value: 9.3Quality: 8.0
Piotroski: 2/9Altman Z: 3.69
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CPRIUndervalued (+46.0%)

Margin of Safety

+46.0%

Fair Value

$38.30

Current Price

$13.89

$24.41 discount

UndervaluedFair: $38.30Overvalued
PDDUndervalued (+69.8%)

Margin of Safety

+69.8%

Fair Value

$353.87

Current Price

$77.81

$276.06 discount

UndervaluedFair: $353.87Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CPRI5 strengths · Avg: 9.2/10
PEG RatioValuation
0.1710/10

Growing faster than its price suggests

Return on EquityProfitability
177.5%10/10

Every $100 of equity generates 178 in profit

Altman Z-ScoreHealth
3.1910/10

Safe zone — low bankruptcy risk

P/E RatioValuation
16.3x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
34.4%8/10

Earnings expanding 34.4% YoY

PDD6 strengths · Avg: 9.7/10
P/E RatioValuation
8.9x10/10

Attractively priced relative to earnings

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Free Cash FlowQuality
$25.67B10/10

Generating 25.7B in free cash flow

Altman Z-ScoreHealth
3.6910/10

Safe zone — low bankruptcy risk

Market CapQuality
$117.02B9/10

Large-cap with strong market position

Return on EquityProfitability
20.8%9/10

Every $100 of equity generates 21 in profit

Areas to Watch

CPRI4 concerns · Avg: 3.3/10
Price/BookValuation
11.4x4/10

Trading at 11.4x book value

Market CapQuality
$1.46B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.4%3/10

4.4% margin — thin

Operating MarginProfitability
2.6%3/10

Operating margin of 2.6%

PDD2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-11.2%2/10

Earnings declined 11.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : CPRI

The strongest argument for CPRI centers on PEG Ratio, Return on Equity, Altman Z-Score. PEG of 0.17 suggests the stock is reasonably priced for its growth.

Bull Case : PDD

The strongest argument for PDD centers on P/E Ratio, Debt/Equity, Free Cash Flow. Profitability is solid with margins at 20.4% and operating margin at 24.7%. PEG of 0.72 suggests the stock is reasonably priced for its growth.

Bear Case : CPRI

The primary concerns for CPRI are Price/Book, Market Cap, Profit Margin. Debt-to-equity of 10.09 is elevated, increasing financial risk. Thin 4.4% margins leave little buffer for downturns.

Bear Case : PDD

The primary concerns for PDD are Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

CPRI profiles as a value stock while PDD is a mature play — different risk/reward profiles.

CPRI carries more volatility with a beta of 1.38 — expect wider price swings.

PDD is growing revenue faster at 8.1% — sustainability is the question.

PDD generates stronger free cash flow (25.7B), providing more financial flexibility.

Bottom Line

PDD scores higher overall (75/100 vs 59/100), backed by strong 20.4% margins. CPRI offers better value entry with a 46.0% margin of safety. 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.

Capri Holdings Ltd

CONSUMER CYCLICAL · LUXURY GOODS · USA

Capri Holdings Limited designs, markets, distributes and retails branded men's and women's clothing, footwear and accessories in the United States, Canada, Latin America, Europe, the Middle East, Africa and Asia. The company is headquartered in London, the United Kingdom.

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PDD Holdings Inc.

CONSUMER CYCLICAL · INTERNET RETAIL · China

Pinduoduo Inc., operates an electronic commerce platform in the People's Republic of China. The company is headquartered in Shanghai, the People's Republic of China.

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