Lululemon Athletica Inc. (LULU)vsVictoria's Secret & Co (VSCO)
LULU
Lululemon Athletica Inc.
$123.03
-0.52%
CONSUMER CYCLICAL · Cap: $13.50B
VSCO
Victoria's Secret & Co
$89.21
+0.11%
CONSUMER CYCLICAL · Cap: $4.73B
Smart Verdict
WallStSmart Research — data-driven comparison
Lululemon Athletica Inc. generates 71% more annual revenue ($11.20B vs $6.55B). LULU leads profitability with a 13.0% profit margin vs 2.5%. LULU trades at a lower P/E of 9.6x. LULU earns a higher WallStSmart Score of 64/100 (C+).
LULU
Buy64
out of 100
Grade: C+
VSCO
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+70.3%
Fair Value
$592.73
Current Price
$123.03
$469.70 discount
Intrinsic value data unavailable for VSCO.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 30 in profit
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
No standout strengths identified
Areas to Watch
4.3% revenue growth
Weak financial health signals
Earnings declined 35.0%
Premium valuation, high expectations priced in
Trading at 8.3x book value
2.5% margin — thin
Weak financial health signals
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 0.91 suggests the stock is reasonably priced for its growth.
Bull Case : VSCO
VSCO has a balanced fundamental profile.
Bear Case : LULU
The primary concerns for LULU are Revenue Growth, Piotroski F-Score, EPS Growth.
Bear Case : VSCO
The primary concerns for VSCO are P/E Ratio, Price/Book, Profit Margin. Debt-to-equity of 3.32 is elevated, increasing financial risk. Thin 2.5% margins leave little buffer for downturns.
Key Dynamics to Monitor
VSCO carries more volatility with a beta of 2.25 — expect wider price swings.
VSCO is growing revenue faster at 7.7% — sustainability is the question.
VSCO generates stronger free cash flow (649M), providing more financial flexibility.
Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LULU scores higher overall (64/100 vs 47/100). 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.
Lululemon Athletica Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
lululemon athletica inc. The company is headquartered in Vancouver, Canada.
Visit Website →Victoria's Secret & Co
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Victoria's Secret & Co (VSCO) is a prominent specialty retailer recognized for its esteemed brands, primarily Victoria's Secret and PINK, offering a wide range of women's lingerie and personal care products. The company is strategically enhancing its omnichannel presence to better engage customers and respond to market dynamics, with a strong emphasis on brand repositioning and sustainability efforts. By prioritizing consumer preferences and exploring new growth opportunities, VSCO aims to strengthen its market position and drive long-term value creation in an increasingly competitive retail sector.
Visit Website →Compare with Other APPAREL RETAIL Stocks
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