Genesco Inc (GCO)vsLululemon Athletica Inc. (LULU)
GCO
Genesco Inc
$37.72
+1.79%
CONSUMER CYCLICAL · Cap: $392.01M
LULU
Lululemon Athletica Inc.
$105.22
+0.60%
CONSUMER CYCLICAL · Cap: $11.25B
Smart Verdict
WallStSmart Research — data-driven comparison
Lululemon Athletica Inc. generates 356% more annual revenue ($11.09B vs $2.43B). LULU leads profitability with a 12.8% profit margin vs 1.7%. GCO appears more attractively valued with a PEG of 0.68. GCO earns a higher WallStSmart Score of 61/100 (C+).
GCO
Buy61
out of 100
Grade: C+
LULU
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+33.7%
Fair Value
$42.85
Current Price
$37.72
$5.13 discount
Margin of Safety
+70.2%
Fair Value
$589.81
Current Price
$105.22
$484.59 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Growing faster than its price suggests
Earnings expanding 41.6% YoY
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Every $100 of equity generates 30 in profit
Reasonable price relative to book value
Areas to Watch
Smaller company, higher risk/reward
ROE of 3.6% — below average capital efficiency
1.7% margin — thin
Elevated debt levels
Weak financial health signals
Revenue declined 4.3%
Earnings declined 5.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : GCO
The strongest argument for GCO centers on P/E Ratio, Price/Book, PEG Ratio. PEG of 0.68 suggests the stock is reasonably priced for its growth.
Bull Case : LULU
The strongest argument for LULU centers on P/E Ratio, Altman Z-Score, Return on Equity. PEG of 1.13 suggests the stock is reasonably priced for its growth.
Bear Case : GCO
The primary concerns for GCO are Market Cap, Return on Equity, Profit Margin. Thin 1.7% margins leave little buffer for downturns.
Bear Case : LULU
The primary concerns for LULU are Piotroski F-Score, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
GCO profiles as a value stock while LULU is a declining play — different risk/reward profiles.
GCO carries more volatility with a beta of 1.81 — expect wider price swings.
GCO is growing revenue faster at -3.0% — sustainability is the question.
LULU generates stronger free cash flow (225M), providing more financial flexibility.
Bottom Line
GCO scores higher overall (61/100 vs 60/100). LULU offers better value entry with a 70.2% 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.
Genesco Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Genesco Inc. is a retailer and wholesaler of footwear, apparel and accessories. The company is headquartered in Nashville, Tennessee.
Lululemon Athletica Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
lululemon athletica inc. The company is headquartered in Vancouver, Canada.
Visit Website →Compare with Other APPAREL RETAIL Stocks
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