DIS vs LULU: Which Is the Better Buy?
Side-by-side comparison of The Walt Disney Company and Lululemon Athletica Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-17.
The Walt Disney Company · Communication Services
$96.16
+45.0% upside to fair value
Grade B
VS
Lululemon Athletica Inc. · Consumer Cyclical
$116.33
+45.0% upside to fair value
Med Conviction
Grade B-
Valuation & Fundamentals
| Metric |
DIS |
LULU |
| Current Price |
$96.16 |
$116.33 |
| Fair Value Estimate |
$139.43 |
$168.68 |
| Upside to Fair Value |
+45.0%
|
+45.0%
|
| Market Cap |
$167.0B |
$13.2B |
| Forward P/E |
15.4x
|
—
|
| EV / EBITDA |
10.8x
|
5.3x
|
| Price / Sales |
1.7x
|
1.2x
|
| Price / FCF |
23.5x
|
10.3x
|
| Revenue Growth YoY |
+6.5%
|
+4.3%
|
| Gross Margin |
37.2%
|
55.7%
|
| Operating Margin |
15.5%
|
18.2%
|
| Return on Equity |
10.3%
|
31.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
4.26%
|
9.69%
|
| Analyst Consensus |
Strong Buy
|
Hold
|
Investment Thesis
The Walt Disney Company operates as a leading global entertainment and media conglomerate with a strong brand portfolio and diversified revenue streams across media networks, parks, experiences, and studio entertainment. The business quality is medium due to its durable brand and intangible assets but recent earnings pressure with a 31.4% decline in earnings in the most recent quarter highlights …
Lululemon Athletica is a premium athletic-apparel retailer whose technical-product innovation, powerful brand, direct-to-consumer retail and e-commerce model, and community-led marketing have historically supported high returns, including a 31.3% ROE, 55.7% gross margin, 18.2% operating margin, and 13.0% net margin. The investment case is now a turnaround rather than a clean compounding story: in…
Accumulation Zones
| Metric |
DIS |
LULU |
| Zone Low |
$104.57 |
$126.51 |
| Zone High |
$118.52 |
$143.38 |
| In Buy Zone? |
Yes
|
Yes
|