ADBE vs LULU: Which Is the Better Buy?
Side-by-side comparison of Adobe Inc. and Lululemon Athletica Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-23.
Adobe Inc. · Technology
$238.25
+13.5% upside to fair value
Med Conviction
Grade B
High Quality
VS
Lululemon Athletica Inc. · Consumer Cyclical
$98.06
+1.5% upside to fair value
Low Conviction
Grade C
QuantHub Verdict
ADBE has more upside to fair value
(+13.5%).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
ADBE |
LULU |
| Current Price |
$238.25 |
$98.06 |
| Fair Value Estimate |
$270.38 |
$99.50 |
| Upside to Fair Value |
+13.5%
|
+1.5%
|
| Market Cap |
$94.7B |
$11.1B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
9.5x
|
4.6x
|
| Price / Sales |
3.6x
|
1.0x
|
| Price / FCF |
8.6x
|
8.2x
|
| Revenue Growth YoY |
+12.9%
|
-4.3%
|
| Gross Margin |
89.1%
|
56.1%
|
| Operating Margin |
35.7%
|
17.8%
|
| Return on Equity |
62.9%
|
29.7%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
11.63%
|
12.24%
|
| Analyst Consensus |
Hold
|
Sell
|
Investment Thesis
Adobe is a global software provider organized into Digital Media, Digital Experience, and Publishing and Advertising, with Creative Cloud as its subscription flagship and Document Cloud as its cloud-native document platform. The business quality is high on fundamentals: TTM gross margin of 89.1%, TTM operating margin of 35.7%, TTM net margin of 28.0%, ROE of 62.9%, and free cash flow of $27.69 pe…
Lululemon Athletica designs and retails premium athletic apparel and accessories through company-owned stores and direct-to-consumer channels, with roughly 39,000 employees and a brand built on technical fabrics and community-led fitness positioning. The business still earns high returns on equity of 29.7% and generates $12.00 of free cash flow per share on $97.70 of revenue per share, with TTM g…
Accumulation Zones
| Metric |
ADBE |
LULU |
| Zone Low |
$202.78 |
$74.62 |
| Zone High |
$229.82 |
$84.58 |
| In Buy Zone? |
No
|
No
|