The Gap, Inc. (GAP)vsUniversal Corporation (UVV)
GAP
The Gap, Inc.
$24.93
-2.20%
CONSUMER CYCLICAL · Cap: $9.50B
UVV
Universal Corporation
$51.95
+1.11%
CONSUMER DEFENSIVE · Cap: $1.32B
Smart Verdict
WallStSmart Research — data-driven comparison
The Gap, Inc. generates 414% more annual revenue ($15.37B vs $2.99B). GAP leads profitability with a 5.3% profit margin vs 3.7%. GAP appears more attractively valued with a PEG of 1.39. UVV earns a higher WallStSmart Score of 61/100 (C+).
GAP
Buy55
out of 100
Grade: C
UVV
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-89.6%
Fair Value
$14.48
Current Price
$24.93
$10.45 premium
Margin of Safety
+74.6%
Fair Value
$207.79
Current Price
$51.95
$155.84 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 23 in profit
Reasonable price relative to book value
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 32.0% YoY
Areas to Watch
2.1% revenue growth
5.3% margin — thin
Operating margin of 4.9%
Weak financial health signals
Smaller company, higher risk/reward
3.7% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : GAP
The strongest argument for GAP centers on P/E Ratio, Return on Equity, Price/Book. PEG of 1.39 suggests the stock is reasonably priced for its growth.
Bull Case : UVV
The strongest argument for UVV centers on P/E Ratio, Price/Book, EPS Growth.
Bear Case : GAP
The primary concerns for GAP are Revenue Growth, Profit Margin, Operating Margin.
Bear Case : UVV
The primary concerns for UVV are Market Cap, Profit Margin, PEG Ratio. Thin 3.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
GAP carries more volatility with a beta of 2.24 — expect wider price swings.
UVV is growing revenue faster at 6.1% — sustainability is the question.
GAP generates stronger free cash flow (696M), providing more financial flexibility.
Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
UVV scores higher overall (61/100 vs 55/100). 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.
The Gap, Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The Gap, Inc. is a leading global apparel retailer founded in 1969, recognized for its portfolio of well-known brands such as Gap, Banana Republic, Old Navy, and Athleta. Headquartered in San Francisco, California, the company operates in over 40 countries and is dedicated to providing quality, value, and style to a diverse customer base. Emphasizing digital transformation and sustainability, Gap is expanding its e-commerce capabilities while focusing on innovative product development and strategic growth initiatives to maintain its competitive edge in the ever-evolving retail sector.
Universal Corporation
CONSUMER DEFENSIVE · TOBACCO · USA
Universal Corporation processes and supplies leaf tobacco and plant ingredients worldwide. The company is headquartered in Richmond, Virginia.
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