WallStSmart

Lululemon Athletica Inc. (LULU)vsUniversal Corporation (UVV)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lululemon Athletica Inc. generates 281% more annual revenue ($11.10B vs $2.91B). LULU leads profitability with a 14.2% profit margin vs 2.9%. LULU appears more attractively valued with a PEG of 0.62. LULU earns a higher WallStSmart Score of 65/100 (B-).

LULU

Strong Buy

65

out of 100

Grade: B-

Growth: 4.7Profit: 8.5Value: 9.3Quality: 7.5
Piotroski: 2/9Altman Z: 4.32

UVV

Hold

45

out of 100

Grade: D+

Growth: 4.0Profit: 5.0Value: 6.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LULUUndervalued (+71.1%)

Margin of Safety

+71.1%

Fair Value

$608.14

Current Price

$131.18

$476.96 discount

UndervaluedFair: $608.14Overvalued
UVVUndervalued (+33.4%)

Margin of Safety

+33.4%

Fair Value

$79.32

Current Price

$53.70

$25.62 discount

UndervaluedFair: $79.32Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LULU5 strengths · Avg: 9.2/10
P/E RatioValuation
10.1x10/10

Attractively priced relative to earnings

Return on EquityProfitability
34.0%10/10

Every $100 of equity generates 34 in profit

Altman Z-ScoreHealth
4.3210/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.628/10

Growing faster than its price suggests

Operating MarginProfitability
22.3%8/10

Strong operational efficiency at 22.3%

UVV2 strengths · Avg: 9.0/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

P/E RatioValuation
15.9x8/10

Attractively priced relative to earnings

Areas to Watch

LULU3 concerns · Avg: 3.0/10
Revenue GrowthGrowth
0.8%4/10

0.8% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-18.5%2/10

Earnings declined 18.5%

UVV4 concerns · Avg: 2.8/10
Market CapQuality
$1.34B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Profit MarginProfitability
2.9%3/10

2.9% margin — thin

PEG RatioValuation
3.062/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : LULU

The strongest argument for LULU centers on P/E Ratio, Return on Equity, Altman Z-Score. PEG of 0.62 suggests the stock is reasonably priced for its growth.

Bull Case : UVV

The strongest argument for UVV centers on Price/Book, P/E Ratio.

Bear Case : LULU

The primary concerns for LULU are Revenue Growth, Piotroski F-Score, EPS Growth.

Bear Case : UVV

The primary concerns for UVV are Market Cap, Return on Equity, Profit Margin. Thin 2.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

LULU carries more volatility with a beta of 0.90 — expect wider price swings.

LULU is growing revenue faster at 0.8% — sustainability is the question.

LULU generates stronger free cash flow (960M), providing more financial flexibility.

Monitor APPAREL RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

LULU scores higher overall (65/100 vs 45/100). UVV offers better value entry with a 33.4% margin of safety. Both earn "Strong 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.

Lululemon Athletica Inc.

CONSUMER CYCLICAL · APPAREL RETAIL · USA

lululemon athletica inc. The company is headquartered in Vancouver, Canada.

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Universal Corporation

CONSUMER DEFENSIVE · TOBACCO · USA

Universal Corporation processes and supplies leaf tobacco and plant ingredients worldwide. The company is headquartered in Richmond, Virginia.

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