WallStSmart

Lowe's Companies Inc (LOW)vsFerrari NV (RACE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lowe's Companies Inc generates 1103% more annual revenue ($88.43B vs $7.35B). RACE leads profitability with a 22.3% profit margin vs 7.5%. LOW appears more attractively valued with a PEG of 1.36. RACE earns a higher WallStSmart Score of 58/100 (C).

LOW

Hold

50

out of 100

Grade: D+

Growth: 3.3Profit: 5.5Value: 5.3Quality: 6.0
Piotroski: 3/9Altman Z: 1.88

RACE

Buy

58

out of 100

Grade: C

Growth: 6.7Profit: 9.0Value: 2.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.44
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LOWSignificantly Overvalued (-55.3%)

Margin of Safety

-55.3%

Fair Value

$140.96

Current Price

$218.42

$77.46 premium

UndervaluedFair: $140.96Overvalued
RACESignificantly Overvalued (-64.1%)

Margin of Safety

-64.1%

Fair Value

$249.97

Current Price

$412.29

$162.32 premium

UndervaluedFair: $249.97Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LOW4 strengths · Avg: 8.8/10
Debt/EquityHealth
-4.5910/10

Conservative balance sheet, low leverage

Market CapQuality
$116.58B9/10

Large-cap with strong market position

P/E RatioValuation
17.9x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$2.83B8/10

Generating 2.8B in free cash flow

RACE4 strengths · Avg: 9.5/10
Return on EquityProfitability
44.8%10/10

Every $100 of equity generates 45 in profit

Operating MarginProfitability
31.1%10/10

Strong operational efficiency at 31.1%

Market CapQuality
$70.80B9/10

Large-cap with strong market position

Profit MarginProfitability
22.3%9/10

Keeps 22 of every $100 in revenue as profit

Areas to Watch

LOW4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.884/10

Grey zone — moderate risk

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
7.5%3/10

7.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

RACE4 concerns · Avg: 3.0/10
P/E RatioValuation
37.5x4/10

Premium valuation, high expectations priced in

Price/BookValuation
17.2x4/10

Trading at 17.2x book value

PEG RatioValuation
4.052/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.442/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : LOW

The strongest argument for LOW centers on Debt/Equity, Market Cap, P/E Ratio. Revenue growth of 10.3% demonstrates continued momentum. PEG of 1.36 suggests the stock is reasonably priced for its growth.

Bull Case : RACE

The strongest argument for RACE centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 22.3% and operating margin at 31.1%.

Bear Case : LOW

The primary concerns for LOW are Altman Z-Score, Return on Equity, Profit Margin.

Bear Case : RACE

The primary concerns for RACE are P/E Ratio, Price/Book, PEG Ratio.

Key Dynamics to Monitor

LOW profiles as a value stock while RACE is a mature play — different risk/reward profiles.

LOW carries more volatility with a beta of 0.85 — 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.

Bottom Line

RACE scores higher overall (58/100 vs 50/100), backed by strong 22.3% margins. 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.

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.

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Ferrari NV

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Ferrari NV designs, designs, produces and sells high performance sports cars. The company is headquartered in Maranello, Italy.

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