Lululemon Athletica Inc. (LULU)vsRent the Runway Inc (RENT)
LULU
Lululemon Athletica Inc.
$114.23
-8.56%
CONSUMER CYCLICAL · Cap: $13.49B
RENT
Rent the Runway Inc
$3.45
-7.01%
CONSUMER CYCLICAL · Cap: $116.52M
Smart Verdict
WallStSmart Research — data-driven comparison
Lululemon Athletica Inc. generates 3100% more annual revenue ($11.20B vs $350.10M). LULU leads profitability with a 13.0% profit margin vs 8.5%. RENT trades at a lower P/E of 0.5x. LULU earns a higher WallStSmart Score of 64/100 (C+).
LULU
Buy64
out of 100
Grade: C+
RENT
Avoid34
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+70.7%
Fair Value
$600.18
Current Price
$114.23
$485.95 discount
Intrinsic value data unavailable for RENT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 30 in profit
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Attractively priced relative to earnings
Conservative balance sheet, low leverage
Revenue surging 29.2% year-over-year
Areas to Watch
4.3% revenue growth
Weak financial health signals
Earnings declined 35.0%
0.0% earnings growth
Smaller company, higher risk/reward
ROE of -775.0% — below average capital efficiency
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : LULU
The strongest argument for LULU centers on P/E Ratio, Return on Equity, Altman Z-Score. PEG of 0.58 suggests the stock is reasonably priced for its growth.
Bull Case : RENT
The strongest argument for RENT centers on P/E Ratio, Debt/Equity, Revenue Growth. Revenue growth of 29.2% demonstrates continued momentum.
Bear Case : LULU
The primary concerns for LULU are Revenue Growth, Piotroski F-Score, EPS Growth.
Bear Case : RENT
The primary concerns for RENT are EPS Growth, Market Cap, Return on Equity.
Key Dynamics to Monitor
LULU profiles as a value stock while RENT is a growth play — different risk/reward profiles.
RENT carries more volatility with a beta of 1.24 — expect wider price swings.
RENT is growing revenue faster at 29.2% — sustainability is the question.
LULU generates stronger free cash flow (87M), providing more financial flexibility.
Bottom Line
LULU scores higher overall (64/100 vs 34/100). Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Lululemon Athletica Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
lululemon athletica inc. The company is headquartered in Vancouver, Canada.
Visit Website →Rent the Runway Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Rent the Runway, Inc. rents women's designer dresses, clothing and accessories through its stores and online platform.
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