Duluth Holdings Inc (DLTH)vsThe Gap, Inc. (GAP)
DLTH
Duluth Holdings Inc
$4.01
-6.74%
CONSUMER CYCLICAL · Cap: $159.61M
GAP
The Gap, Inc.
$20.38
+0.44%
CONSUMER CYCLICAL · Cap: $7.33B
Smart Verdict
WallStSmart Research — data-driven comparison
The Gap, Inc. generates 2645% more annual revenue ($15.40B vs $561.07M). GAP leads profitability with a 6.3% profit margin vs -2.0%. DLTH appears more attractively valued with a PEG of 0.83. GAP earns a higher WallStSmart Score of 69/100 (B-).
DLTH
Hold38
out of 100
Grade: F
GAP
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+73.2%
Fair Value
$8.80
Current Price
$4.01
$4.79 discount
Margin of Safety
-26.3%
Fair Value
$21.75
Current Price
$20.38
$1.37 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Attractively priced relative to earnings
Earnings expanding 76.5% YoY
Every $100 of equity generates 21 in profit
Reasonable price relative to book value
Areas to Watch
Smaller company, higher risk/reward
ROE of -9.7% — below average capital efficiency
Revenue declined 4.0%
Earnings declined 6.8%
1.0% revenue growth
6.3% margin — thin
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : DLTH
The strongest argument for DLTH centers on Price/Book, PEG Ratio. PEG of 0.83 suggests the stock is reasonably priced for its growth.
Bull Case : GAP
The strongest argument for GAP centers on P/E Ratio, EPS Growth, Return on Equity. PEG of 1.09 suggests the stock is reasonably priced for its growth.
Bear Case : DLTH
The primary concerns for DLTH are Market Cap, Return on Equity, Revenue Growth.
Bear Case : GAP
The primary concerns for GAP are Revenue Growth, Profit Margin, Debt/Equity. Debt-to-equity of 1.54 is elevated, increasing financial risk.
Key Dynamics to Monitor
DLTH profiles as a turnaround stock while GAP is a value play — different risk/reward profiles.
GAP carries more volatility with a beta of 2.02 — expect wider price swings.
GAP is growing revenue faster at 1.0% — sustainability is the question.
GAP generates stronger free cash flow (78M), providing more financial flexibility.
Bottom Line
GAP scores higher overall (69/100 vs 38/100). DLTH offers better value entry with a 73.2% margin of safety. Both earn "Strong 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.
Duluth Holdings Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Duluth Holdings Inc. sells men's and women's casual, workwear, and accessories under the Duluth Trading brand in the United States. The company is headquartered in Mount Horeb, Wisconsin.
The Gap, Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The Gap, Inc. (GAP) is a leading global apparel retailer established in 1969, renowned for its strong portfolio of brands, including Gap, Banana Republic, Old Navy, and Athleta. Headquartered in San Francisco and operating in over 40 countries, the company emphasizes quality, style, and value to cater to a diverse customer base. In response to the evolving retail environment, Gap is aggressively pursuing digital transformation and sustainability initiatives, focusing on enhancing its e-commerce capabilities and introducing innovative product offerings to drive growth and maintain its competitive edge in the marketplace.
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