WallStSmart

Lowe's Companies Inc (LOW)vsYum! Brands Inc (YUM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lowe's Companies Inc generates 937% more annual revenue ($90.43B vs $8.72B). YUM leads profitability with a 25.4% profit margin vs 7.3%. LOW appears more attractively valued with a PEG of 1.33. YUM earns a higher WallStSmart Score of 65/100 (C+).

LOW

Hold

50

out of 100

Grade: D+

Growth: 4.0Profit: 5.5Value: 5.3Quality: 6.0
Piotroski: 3/9Altman Z: 1.97

YUM

Buy

65

out of 100

Grade: C+

Growth: 7.3Profit: 8.5Value: 4.0Quality: 4.5
Piotroski: 2/9Altman Z: 0.92
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LOWSignificantly Overvalued (-36.2%)

Margin of Safety

-36.2%

Fair Value

$144.51

Current Price

$198.18

$53.67 premium

UndervaluedFair: $144.51Overvalued
YUMSignificantly Overvalued (-78.4%)

Margin of Safety

-78.4%

Fair Value

$89.16

Current Price

$140.87

$51.71 premium

UndervaluedFair: $89.16Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LOW4 strengths · Avg: 8.8/10
Debt/EquityHealth
-5.6510/10

Conservative balance sheet, low leverage

Market CapQuality
$110.43B9/10

Large-cap with strong market position

P/E RatioValuation
16.6x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$3.12B8/10

Generating 3.1B in free cash flow

YUM4 strengths · Avg: 9.8/10
Operating MarginProfitability
32.8%10/10

Strong operational efficiency at 32.8%

EPS GrowthGrowth
131.6%10/10

Earnings expanding 131.6% YoY

Debt/EquityHealth
-1.7310/10

Conservative balance sheet, low leverage

Profit MarginProfitability
25.4%9/10

Keeps 25 of every $100 in revenue as profit

Areas to Watch

LOW4 concerns · Avg: 3.5/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Altman Z-ScoreHealth
1.974/10

Grey zone — moderate risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
7.3%3/10

7.3% margin — thin

YUM4 concerns · Avg: 3.0/10
PEG RatioValuation
1.904/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Altman Z-ScoreHealth
0.922/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : LOW

The strongest argument for LOW centers on Debt/Equity, Market Cap, P/E Ratio. PEG of 1.33 suggests the stock is reasonably priced for its growth.

Bull Case : YUM

The strongest argument for YUM centers on Operating Margin, EPS Growth, Debt/Equity. Profitability is solid with margins at 25.4% and operating margin at 32.8%. Revenue growth of 12.2% demonstrates continued momentum.

Bear Case : LOW

The primary concerns for LOW are EPS Growth, Altman Z-Score, Return on Equity.

Bear Case : YUM

The primary concerns for YUM are PEG Ratio, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

LOW profiles as a value stock while YUM is a mature play — different risk/reward profiles.

LOW carries more volatility with a beta of 0.85 — expect wider price swings.

YUM is growing revenue faster at 12.2% — sustainability is the question.

LOW generates stronger free cash flow (3.1B), providing more financial flexibility.

Bottom Line

YUM scores higher overall (65/100 vs 50/100), backed by strong 25.4% margins and 12.2% revenue growth. 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.

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Yum! Brands Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Yum! Brands, Inc. is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.

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