Lululemon Athletica Inc. (LULU)vsRoss Stores Inc (ROST)
LULU
Lululemon Athletica Inc.
$132.04
+1.41%
CONSUMER CYCLICAL · Cap: $15.67B
ROST
Ross Stores Inc
$228.91
+0.66%
CONSUMER CYCLICAL · Cap: $73.11B
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 0.64. 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
+71.2%
Fair Value
$609.94
Current Price
$132.04
$477.90 discount
Margin of Safety
-4.9%
Fair Value
$183.53
Current Price
$228.91
$45.38 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 34 in profit
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
0.8% revenue growth
Weak financial health signals
Earnings declined 18.5%
Premium valuation, high expectations priced in
Trading at 11.9x 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, Altman Z-Score. PEG of 0.64 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 Revenue Growth, 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 carries more volatility with a beta of 1.07 — expect wider price swings.
ROST is growing revenue faster at 12.2% — sustainability is the question.
LULU generates stronger free cash flow (960M), providing more financial flexibility.
Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LULU scores higher overall (65/100 vs 56/100). 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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