WallStSmart

Lowe's Companies Inc (LOW)vsYum China Holdings Inc (YUMC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lowe's Companies Inc generates 631% more annual revenue ($86.29B vs $11.80B). YUMC leads profitability with a 7.9% profit margin vs 7.7%. YUMC appears more attractively valued with a PEG of 1.27. YUMC earns a higher WallStSmart Score of 64/100 (C+).

LOW

Hold

44

out of 100

Grade: D

Growth: 3.3Profit: 5.5Value: 4.0Quality: 7.0
Piotroski: 5/9Altman Z: 2.16

YUMC

Buy

64

out of 100

Grade: C+

Growth: 7.3Profit: 6.0Value: 7.3Quality: 6.0
Piotroski: 5/9Altman Z: 2.54
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LOWSignificantly Overvalued (-188.4%)

Margin of Safety

-188.4%

Fair Value

$80.65

Current Price

$232.58

$151.93 premium

UndervaluedFair: $80.65Overvalued
YUMCUndervalued (+52.2%)

Margin of Safety

+52.2%

Fair Value

$117.47

Current Price

$49.59

$67.88 discount

UndervaluedFair: $117.47Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LOW2 strengths · Avg: 9.5/10
Debt/EquityHealth
-4.3110/10

Conservative balance sheet, low leverage

Market CapQuality
$129.19B9/10

Large-cap with strong market position

YUMC1 strengths · Avg: 8.0/10
EPS GrowthGrowth
34.3%8/10

Earnings expanding 34.3% YoY

Areas to Watch

LOW4 concerns · Avg: 3.0/10
PEG RatioValuation
2.464/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Profit MarginProfitability
7.7%3/10

7.7% margin — thin

EPS GrowthGrowth
-11.0%2/10

Earnings declined 11.0%

YUMC2 concerns · Avg: 2.5/10
Profit MarginProfitability
7.9%3/10

7.9% margin — thin

Free Cash FlowQuality
$-112.93M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : LOW

The strongest argument for LOW centers on Debt/Equity, Market Cap. Revenue growth of 10.9% demonstrates continued momentum.

Bull Case : YUMC

The strongest argument for YUMC centers on EPS Growth. PEG of 1.27 suggests the stock is reasonably priced for its growth.

Bear Case : LOW

The primary concerns for LOW are PEG Ratio, Return on Equity, Profit Margin.

Bear Case : YUMC

The primary concerns for YUMC are Profit Margin, Free Cash Flow.

Key Dynamics to Monitor

LOW carries more volatility with a beta of 0.94 — expect wider price swings.

LOW is growing revenue faster at 10.9% — sustainability is the question.

LOW generates stronger free cash flow (964M), providing more financial flexibility.

Monitor HOME IMPROVEMENT RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

YUMC scores higher overall (64/100 vs 44/100). 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.

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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Yum China Holdings Inc

CONSUMER CYCLICAL · RESTAURANTS · USA

Yum China Holdings, Inc. owns, operates and franchises restaurants in China. The company is headquartered in Shanghai, China.

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