PDD Holdings Inc. (PDD)vsUlta Beauty Inc (ULTA)
PDD
PDD Holdings Inc.
$94.52
-3.34%
CONSUMER CYCLICAL · Cap: $123.28B
ULTA
Ulta Beauty Inc
$515.04
+2.18%
CONSUMER CYCLICAL · Cap: $22.39B
Smart Verdict
WallStSmart Research — data-driven comparison
PDD Holdings Inc. generates 3470% more annual revenue ($442.40B vs $12.39B). PDD leads profitability with a 21.6% profit margin vs 9.3%. PDD appears more attractively valued with a PEG of 0.69. PDD earns a higher WallStSmart Score of 73/100 (B).
PDD
Strong Buy73
out of 100
Grade: B
ULTA
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+70.8%
Fair Value
$365.92
Current Price
$94.52
$271.40 discount
Margin of Safety
-15.1%
Fair Value
$593.67
Current Price
$515.04
$78.63 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Conservative balance sheet, low leverage
Generating 24.1B in free cash flow
Safe zone — low bankruptcy risk
Large-cap with strong market position
Every $100 of equity generates 25 in profit
Every $100 of equity generates 44 in profit
Safe zone — low bankruptcy risk
Areas to Watch
Weak financial health signals
Earnings declined 14.9%
Expensive relative to growth rate
Trading at 8.1x book value
Earnings declined 5.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : PDD
The strongest argument for PDD centers on P/E Ratio, Debt/Equity, Free Cash Flow. Profitability is solid with margins at 21.6% and operating margin at 18.4%. Revenue growth of 11.0% demonstrates continued momentum.
Bull Case : ULTA
The strongest argument for ULTA centers on Return on Equity, Altman Z-Score. Revenue growth of 11.8% demonstrates continued momentum.
Bear Case : PDD
The primary concerns for PDD are Piotroski F-Score, EPS Growth.
Bear Case : ULTA
The primary concerns for ULTA are PEG Ratio, Price/Book, EPS Growth.
Key Dynamics to Monitor
PDD profiles as a mature stock while ULTA is a value play — different risk/reward profiles.
ULTA carries more volatility with a beta of 0.89 — expect wider price swings.
ULTA is growing revenue faster at 11.8% — sustainability is the question.
PDD generates stronger free cash flow (24.1B), providing more financial flexibility.
Bottom Line
PDD scores higher overall (73/100 vs 57/100), backed by strong 21.6% margins and 11.0% revenue growth. 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.
PDD Holdings Inc.
CONSUMER CYCLICAL · INTERNET RETAIL · China
Pinduoduo Inc., operates an electronic commerce platform in the People's Republic of China. The company is headquartered in Shanghai, the People's Republic of China.
Visit Website →Ulta Beauty Inc
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
Ulta Beauty, Inc., formerly known as Ulta Salon, Cosmetics & Fragrance Inc., is an American chain of beauty stores headquartered in Bolingbrook, Illinois. Ulta Beauty carries cosmetics and skincare brands, men's and women's fragrances, nail products, bath and body products, beauty tools and haircare products.
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