Lululemon Athletica Inc. (LULU)vsRoss Stores Inc (ROST)
LULU
Lululemon Athletica Inc.
$162.82
-1.66%
CONSUMER CYCLICAL · Cap: $19.10B
ROST
Ross Stores Inc
$211.19
+0.25%
CONSUMER CYCLICAL · Cap: $68.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Ross Stores Inc generates 105% more annual revenue ($22.75B vs $11.10B). LULU leads profitability with a 14.2% profit margin vs 9.4%. LULU appears more attractively valued with a PEG of 0.91. LULU earns a higher WallStSmart Score of 65/100 (B-).
LULU
Strong Buy65
out of 100
Grade: B-
ROST
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-82.8%
Fair Value
$96.22
Current Price
$162.82
$66.60 premium
Margin of Safety
-15.2%
Fair Value
$167.08
Current Price
$211.19
$44.11 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 34 in profit
Revenue surging 80.0% year-over-year
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Strong operational efficiency at 22.3%
Every $100 of equity generates 37 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
Weak financial health signals
Earnings declined 18.5%
Premium valuation, high expectations priced in
Trading at 10.9x book value
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : LULU
The strongest argument for LULU centers on P/E Ratio, Return on Equity, Revenue Growth. Revenue growth of 80.0% demonstrates continued momentum. PEG of 0.91 suggests the stock is reasonably priced for its growth.
Bull Case : ROST
The strongest argument for ROST centers on Return on Equity, Altman Z-Score, Market Cap. Revenue growth of 12.2% demonstrates continued momentum.
Bear Case : LULU
The primary concerns for LULU are Piotroski F-Score, EPS Growth.
Bear Case : ROST
The primary concerns for ROST are P/E Ratio, Price/Book, PEG Ratio.
Key Dynamics to Monitor
LULU profiles as a growth stock while ROST is a value play — different risk/reward profiles.
LULU carries more volatility with a beta of 1.01 — expect wider price swings.
LULU is growing revenue faster at 80.0% — sustainability is the question.
LULU generates stronger free cash flow (922M), providing more financial flexibility.
Bottom Line
LULU scores higher overall (65/100 vs 56/100) and 80.0% revenue growth. Both earn "Strong 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.
Lululemon Athletica Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
lululemon athletica inc. The company is headquartered in Vancouver, Canada.
Visit Website →Ross Stores Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Ross Stores, Inc., operating under the brand name Ross Dress for Less, is an American chain of discount department stores headquartered in Dublin, California.
Visit Website →Compare with Other APPAREL RETAIL Stocks
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