Lululemon Athletica Inc. (LULU)vsUrban Outfitters Inc (URBN)
LULU
Lululemon Athletica Inc.
$98.06
-1.34%
CONSUMER CYCLICAL · Cap: $11.42B
URBN
Urban Outfitters Inc
$75.01
-1.09%
CONSUMER CYCLICAL · Cap: $6.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Lululemon Athletica Inc. generates 71% more annual revenue ($11.09B vs $6.47B). LULU leads profitability with a 12.8% profit margin vs 8.8%. LULU appears more attractively valued with a PEG of 0.77. URBN earns a higher WallStSmart Score of 71/100 (B).
LULU
Buy62
out of 100
Grade: C+
URBN
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+70.5%
Fair Value
$595.37
Current Price
$98.06
$497.31 discount
Margin of Safety
+4.0%
Fair Value
$73.42
Current Price
$75.01
$1.59 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Safe zone — low bankruptcy risk
Every $100 of equity generates 30 in profit
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 75.9% YoY
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Weak financial health signals
Revenue declined 4.3%
Earnings declined 5.9%
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : LULU
The strongest argument for LULU centers on P/E Ratio, Altman Z-Score, Return on Equity. PEG of 0.77 suggests the stock is reasonably priced for its growth.
Bull Case : URBN
The strongest argument for URBN centers on EPS Growth, Altman Z-Score, P/E Ratio. Revenue growth of 10.4% demonstrates continued momentum. PEG of 1.35 suggests the stock is reasonably priced for its growth.
Bear Case : LULU
The primary concerns for LULU are Piotroski F-Score, Revenue Growth, EPS Growth.
Bear Case : URBN
No major red flags identified for URBN, but monitor valuation.
Key Dynamics to Monitor
LULU profiles as a declining stock while URBN is a value play — different risk/reward profiles.
URBN carries more volatility with a beta of 1.26 — expect wider price swings.
URBN is growing revenue faster at 10.4% — sustainability is the question.
URBN generates stronger free cash flow (301M), providing more financial flexibility.
Bottom Line
URBN scores higher overall (71/100 vs 62/100) and 10.4% revenue growth. LULU offers better value entry with a 70.5% margin of safety. Both earn "Strong 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.
Lululemon Athletica Inc.
CONSUMER CYCLICAL · APPAREL RETAIL · USA
lululemon athletica inc. The company is headquartered in Vancouver, Canada.
Visit Website →Urban Outfitters Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
Urban Outfitters, Inc. is engaged in the retail and wholesale of general consumer products. The company is headquartered in Philadelphia, Pennsylvania.
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