Digital Brands Group, Inc. Common Stock (DBGI)vsThe Gap, Inc. (GAP)
DBGI
Digital Brands Group, Inc. Common Stock
$2.13
-6.58%
CONSUMER CYCLICAL · Cap: $17.24M
GAP
The Gap, Inc.
$24.93
-2.20%
CONSUMER CYCLICAL · Cap: $9.50B
Smart Verdict
WallStSmart Research — data-driven comparison
The Gap, Inc. generates 193937% more annual revenue ($15.37B vs $7.92M). GAP leads profitability with a 5.3% profit margin vs -1.6%. DBGI trades at a lower P/E of 0.0x. GAP earns a higher WallStSmart Score of 55/100 (C).
DBGI
Avoid23
out of 100
Grade: F
GAP
Buy55
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+99.6%
Fair Value
$740.38
Current Price
$2.13
$738.25 discount
Margin of Safety
-89.6%
Fair Value
$14.48
Current Price
$24.93
$10.45 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Attractively priced relative to earnings
Every $100 of equity generates 23 in profit
Reasonable price relative to book value
Areas to Watch
0.0% earnings growth
Smaller company, higher risk/reward
Weak financial health signals
ROE of -1.6% — below average capital efficiency
2.1% revenue growth
5.3% margin — thin
Operating margin of 4.9%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : DBGI
The strongest argument for DBGI centers on P/E Ratio, Price/Book.
Bull Case : GAP
The strongest argument for GAP centers on P/E Ratio, Return on Equity, Price/Book. PEG of 1.39 suggests the stock is reasonably priced for its growth.
Bear Case : DBGI
The primary concerns for DBGI are EPS Growth, Market Cap, Piotroski F-Score.
Bear Case : GAP
The primary concerns for GAP are Revenue Growth, Profit Margin, Operating Margin.
Key Dynamics to Monitor
DBGI profiles as a turnaround stock while GAP is a value play — different risk/reward profiles.
GAP carries more volatility with a beta of 2.24 — expect wider price swings.
GAP is growing revenue faster at 2.1% — sustainability is the question.
GAP generates stronger free cash flow (696M), providing more financial flexibility.
Bottom Line
GAP scores higher overall (55/100 vs 23/100). DBGI offers better value entry with a 99.6% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Digital Brands Group, Inc. Common Stock
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Digital Brands Group, Inc. offers apparel from various brands direct to consumer and wholesale. The company is headquartered in Austin, Texas.
Visit Website →The Gap, Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The Gap, Inc. is a leading global apparel retailer founded in 1969, recognized for its portfolio of well-known brands such as Gap, Banana Republic, Old Navy, and Athleta. Headquartered in San Francisco, California, the company operates in over 40 countries and is dedicated to providing quality, value, and style to a diverse customer base. Emphasizing digital transformation and sustainability, Gap is expanding its e-commerce capabilities while focusing on innovative product development and strategic growth initiatives to maintain its competitive edge in the ever-evolving retail sector.
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