WallStSmart

Lululemon Athletica Inc. (LULU)vsZumiez Inc (ZUMZ)

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Smart Verdict

WallStSmart Research — data-driven comparison

Lululemon Athletica Inc. generates 1095% more annual revenue ($11.10B vs $929.06M). LULU leads profitability with a 14.2% profit margin vs 1.4%. LULU appears more attractively valued with a PEG of 0.90. LULU earns a higher WallStSmart Score of 65/100 (B-).

LULU

Strong Buy

65

out of 100

Grade: B-

Growth: 4.7Profit: 8.5Value: 7.3Quality: 8.0
Piotroski: 2/9Altman Z: 4.32

ZUMZ

Buy

55

out of 100

Grade: C-

Growth: 3.3Profit: 4.5Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LULUSignificantly Overvalued (-95.2%)

Margin of Safety

-95.2%

Fair Value

$90.10

Current Price

$158.72

$68.62 premium

UndervaluedFair: $90.10Overvalued
ZUMZSignificantly Overvalued (-255.2%)

Margin of Safety

-255.2%

Fair Value

$6.80

Current Price

$21.87

$15.07 premium

UndervaluedFair: $6.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LULU5 strengths · Avg: 9.2/10
P/E RatioValuation
12.0x10/10

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
0.908/10

Growing faster than its price suggests

Operating MarginProfitability
22.3%8/10

Strong operational efficiency at 22.3%

ZUMZ2 strengths · Avg: 9.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

PEG RatioValuation
0.968/10

Growing faster than its price suggests

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%

ZUMZ4 concerns · Avg: 3.8/10
P/E RatioValuation
28.0x4/10

Moderate valuation

Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

EPS GrowthGrowth
1.2%4/10

1.2% earnings growth

Market CapQuality
$371.13M3/10

Smaller company, higher risk/reward

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 0.90 suggests the stock is reasonably priced for its growth.

Bull Case : ZUMZ

The strongest argument for ZUMZ centers on Price/Book, PEG Ratio. PEG of 0.96 suggests the stock is reasonably priced for its growth.

Bear Case : LULU

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

Bear Case : ZUMZ

The primary concerns for ZUMZ are P/E Ratio, Revenue Growth, EPS Growth. Thin 1.4% margins leave little buffer for downturns.

Key Dynamics to Monitor

LULU carries more volatility with a beta of 1.01 — expect wider price swings.

ZUMZ is growing revenue faster at 4.6% — 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 55/100). 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 →

Zumiez Inc

CONSUMER CYCLICAL · APPAREL RETAIL · USA

Zumiez Inc., is a specialty retailer of clothing, footwear, accessories and durable goods for young men and women. The company is headquartered in Lynnwood, Washington.

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