Bath & Body Works Inc. (BBWI)vsBest Buy Co. Inc (BBY)
BBWI
Bath & Body Works Inc.
$17.43
-2.84%
CONSUMER CYCLICAL · Cap: $3.91B
BBY
Best Buy Co. Inc
$71.54
+0.77%
CONSUMER CYCLICAL · Cap: $16.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Best Buy Co. Inc generates 478% more annual revenue ($41.86B vs $7.25B). BBWI leads profitability with a 10.0% profit margin vs 2.7%. BBWI appears more attractively valued with a PEG of 0.75. BBY earns a higher WallStSmart Score of 62/100 (C+).
BBWI
Buy59
out of 100
Grade: C
BBY
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+12.0%
Fair Value
$25.46
Current Price
$17.43
$8.03 discount
Margin of Safety
-67.0%
Fair Value
$40.17
Current Price
$71.54
$31.37 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Earnings expanding 83.7% YoY
Conservative balance sheet, low leverage
Growing faster than its price suggests
Every $100 of equity generates 37 in profit
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Earnings expanding 37.9% YoY
Areas to Watch
Grey zone — moderate risk
ROE of 0.0% — below average capital efficiency
Weak financial health signals
Revenue declined 3.2%
1.9% revenue growth
2.7% margin — thin
Operating margin of 4.0%
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : BBWI
The strongest argument for BBWI centers on P/E Ratio, EPS Growth, Debt/Equity. PEG of 0.75 suggests the stock is reasonably priced for its growth.
Bull Case : BBY
The strongest argument for BBY centers on Return on Equity, Altman Z-Score, P/E Ratio.
Bear Case : BBWI
The primary concerns for BBWI are Altman Z-Score, Return on Equity, Piotroski F-Score.
Bear Case : BBY
The primary concerns for BBY are Revenue Growth, Profit Margin, Operating Margin. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
BBWI carries more volatility with a beta of 1.39 — expect wider price swings.
BBY is growing revenue faster at 1.9% — sustainability is the question.
BBY generates stronger free cash flow (215M), providing more financial flexibility.
Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BBY scores higher overall (62/100 vs 59/100). Both earn "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.
Bath & Body Works Inc.
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Bath & Body Works Inc. (BBWI) is a leading specialty retailer that offers a broad range of premium personal care and home fragrance products, capitalizing on a strong omnichannel strategy that integrates an expansive network of physical stores with a thriving online platform. The company continuously innovates and adapts its marketing approaches to stay ahead of shifting consumer preferences in the competitive beauty and personal care market. As a subsidiary of L Brands, Inc., Bath & Body Works fosters operational synergies while actively pursuing sustainability initiatives and community engagement, positioning itself for long-term growth and a robust industry presence. With a loyal customer base and a commitment to excellence, BBWI is well-equipped to navigate the evolving retail landscape.
Best Buy Co. Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Best Buy Co., Inc. is an American multinational consumer electronics retailer headquartered in Richfield, Minnesota.
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