LGI Homes (LGIH)vsLowe's Companies Inc (LOW)
LGIH
LGI Homes
$55.15
-0.51%
CONSUMER CYCLICAL · Cap: $1.26B
LOW
Lowe's Companies Inc
$214.40
-0.40%
CONSUMER CYCLICAL · Cap: $123.46B
Smart Verdict
WallStSmart Research — data-driven comparison
Lowe's Companies Inc generates 5183% more annual revenue ($88.43B vs $1.67B). LOW leads profitability with a 7.5% profit margin vs 4.2%. LGIH appears more attractively valued with a PEG of 0.69. LOW earns a higher WallStSmart Score of 50/100 (D+).
LGIH
Hold49
out of 100
Grade: D+
LOW
Hold50
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+12.9%
Fair Value
$69.93
Current Price
$55.15
$14.78 discount
Margin of Safety
-58.5%
Fair Value
$140.20
Current Price
$214.40
$74.20 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Attractively priced relative to earnings
Conservative balance sheet, low leverage
Large-cap with strong market position
Generating 2.8B in free cash flow
Areas to Watch
Smaller company, higher risk/reward
ROE of 3.4% — below average capital efficiency
4.2% margin — thin
Weak financial health signals
Grey zone — moderate risk
ROE of 0.0% — below average capital efficiency
7.5% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : LGIH
The strongest argument for LGIH centers on Price/Book, Altman Z-Score, PEG Ratio. PEG of 0.69 suggests the stock is reasonably priced for its growth.
Bull Case : LOW
The strongest argument for LOW centers on Debt/Equity, Market Cap, Free Cash Flow. Revenue growth of 10.3% demonstrates continued momentum. PEG of 1.44 suggests the stock is reasonably priced for its growth.
Bear Case : LGIH
The primary concerns for LGIH are Market Cap, Return on Equity, Profit Margin. Thin 4.2% margins leave little buffer for downturns.
Bear Case : LOW
The primary concerns for LOW are Altman Z-Score, Return on Equity, Profit Margin.
Key Dynamics to Monitor
LGIH carries more volatility with a beta of 1.89 — expect wider price swings.
LOW is growing revenue faster at 10.3% — sustainability is the question.
LOW generates stronger free cash flow (2.8B), providing more financial flexibility.
Monitor RESIDENTIAL CONSTRUCTION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LOW scores higher overall (50/100 vs 49/100) and 10.3% revenue growth. Both earn "Hold" 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.
LGI Homes
CONSUMER CYCLICAL · RESIDENTIAL CONSTRUCTION · USA
LGI Homes, Inc. designs, builds and sells homes in the United States. The company is headquartered in The Woodlands, Texas.
Visit Website →Lowe's Companies Inc
CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA
Lowe's Companies, Inc. is an American retail company specializing in home improvement. Headquartered in Mooresville, North Carolina, the company operates a chain of retail stores in the United States and Canada.
Visit Website →Compare with Other RESIDENTIAL CONSTRUCTION Stocks
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