Lowe's Companies Inc (LOW)vsPenske Automotive Group Inc (PAG)
LOW
Lowe's Companies Inc
$245.19
+0.55%
CONSUMER CYCLICAL · Cap: $137.32B
PAG
Penske Automotive Group Inc
$159.47
-0.77%
CONSUMER CYCLICAL · Cap: $10.71B
Smart Verdict
WallStSmart Research — data-driven comparison
Lowe's Companies Inc generates 171% more annual revenue ($86.29B vs $31.81B). LOW leads profitability with a 7.7% profit margin vs 2.9%. PAG appears more attractively valued with a PEG of 1.81. PAG earns a higher WallStSmart Score of 53/100 (C-).
LOW
Hold44
out of 100
Grade: D
PAG
Buy53
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-47.0%
Fair Value
$166.85
Current Price
$245.19
$78.34 premium
Margin of Safety
-80.3%
Fair Value
$96.08
Current Price
$159.47
$63.39 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
ROE of 0.0% — below average capital efficiency
7.7% margin — thin
Expensive relative to growth rate
Earnings declined 11.0%
Expensive relative to growth rate
2.9% margin — thin
Operating margin of 3.4%
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : LOW
The strongest argument for LOW centers on Debt/Equity, Market Cap. Revenue growth of 10.9% demonstrates continued momentum.
Bull Case : PAG
The strongest argument for PAG centers on P/E Ratio, Price/Book.
Bear Case : LOW
The primary concerns for LOW are Return on Equity, Profit Margin, PEG Ratio.
Bear Case : PAG
The primary concerns for PAG are PEG Ratio, Profit Margin, Operating Margin. Debt-to-equity of 1.56 is elevated, increasing financial risk. Thin 2.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
LOW carries more volatility with a beta of 0.96 — expect wider price swings.
LOW is growing revenue faster at 10.9% — sustainability is the question.
LOW generates stronger free cash flow (964M), providing more financial flexibility.
Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PAG scores higher overall (53/100 vs 44/100). Both earn "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.
Lowe's Companies Inc
CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA
Lowe's Companies, Inc. is an American retail company specializing in home improvement. Headquartered in Mooresville, North Carolina, the company operates a chain of retail stores in the United States and Canada.
Visit Website →Penske Automotive Group Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Penske Automotive Group, Inc., a diversified transportation services company, operates commercial and automotive truck dealerships. The company is headquartered in Bloomfield Hills, Michigan.
Visit Website →Compare with Other HOME IMPROVEMENT RETAIL Stocks
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