KO vs LULU: Which Is the Better Buy?

Side-by-side comparison of The Coca-Cola Company and Lululemon Athletica Inc. — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-06-20.
The Coca-Cola Company · Consumer Defensive
$79.39
-9.9% upside to fair value
Grade D High Quality
VS
Lululemon Athletica Inc. · Consumer Cyclical
$111.77
+45.0% upside to fair value
Grade B High Quality
QuantHub Verdict
LULU has more upside to fair value (+45.0%). LULU trades at a lower forward P/E (9.1x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric KO LULU
Current Price $79.39 $111.77
Fair Value Estimate $71.54 $162.07
Upside to Fair Value -9.9% +45.0%
Market Cap $341.6B $12.7B
Forward P/E 24.9x 9.1x
EV / EBITDA 19.5x 5.1x
Price / Sales 6.9x 1.1x
Price / FCF 27.2x 9.9x
Revenue Growth YoY +12.1% +4.3%
Gross Margin 61.7% 55.7%
Operating Margin 29.3% 18.2%
Return on Equity 43.6% 31.3%
Dividend Yield 0% 0%
FCF Yield 3.68% 10.08%
Analyst Consensus Strong Buy Hold
Investment Thesis
KO — The Coca-Cola Company
The Coca-Cola Company is a leading global branded beverages company with a very wide moat in sparkling soft drinks and non-alcoholic ready-to-drink beverages. It benefits from strong pricing power, stable margins, and high recurring cash flow, supported by a seasoned management team with deep company tenure. Despite solid recent growth with revenue up 12.1% and earnings up 17.8% in the most recen…
LULU — Lululemon Athletica Inc.
Lululemon Athletica Inc. operates in the premium athletic apparel retail sector, leveraging a strong brand and a durable competitive moat driven by product innovation and global expansion, particularly in China. The company has demonstrated solid capital allocation with organic growth and buybacks, though it faces near-term earnings pressure with a 38% decline in quarterly earnings year-over-year…
Accumulation Zones
Metric KO LULU
Zone Low $53.66 $121.55
Zone High $60.81 $137.76
In Buy Zone? No Yes
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