LULU vs NVDA: Which Is the Better Buy?
Side-by-side comparison of Lululemon Athletica Inc. and NVIDIA Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-17.
Lululemon Athletica Inc. · Consumer Cyclical
$116.33
+45.0% upside to fair value
Med Conviction
Grade B-
VS
NVIDIA Corporation · Technology
$210.69
+45.0% upside to fair value
Grade B
High Quality
Valuation & Fundamentals
| Metric |
LULU |
NVDA |
| Current Price |
$116.33 |
$210.69 |
| Fair Value Estimate |
$168.68 |
$305.50 |
| Upside to Fair Value |
+45.0%
|
+45.0%
|
| Market Cap |
$13.2B |
$5,103.1B |
| Forward P/E |
—
|
32.1x
|
| EV / EBITDA |
5.3x
|
26.5x
|
| Price / Sales |
1.2x
|
20.1x
|
| Price / FCF |
10.3x
|
42.9x
|
| Revenue Growth YoY |
+4.3%
|
+85.2%
|
| Gross Margin |
55.7%
|
74.1%
|
| Operating Margin |
18.2%
|
64.0%
|
| Return on Equity |
31.3%
|
111.7%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
9.69%
|
2.33%
|
| Analyst Consensus |
Hold
|
Strong Buy
|
Investment Thesis
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…
NVIDIA Corporation is a leading technology company specializing in semiconductors, particularly GPUs and AI accelerators, with a dominant market position in AI training markets holding over 80% share. The company exhibits exceptional business quality with a founder-led management team boasting over 30 years of continuous leadership, very high profitability with gross margins above 74% and net mar…
Accumulation Zones
| Metric |
LULU |
NVDA |
| Zone Low |
$126.51 |
$229.12 |
| Zone High |
$143.38 |
$259.68 |
| In Buy Zone? |
Yes
|
Yes
|