LULU vs RTX: Which Is the Better Buy?
Side-by-side comparison of Lululemon Athletica Inc. and RTX Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-21.
Lululemon Athletica Inc. · Consumer Cyclical
$98.06
+1.5% upside to fair value
Low Conviction
Grade C
VS
RTX Corporation · Industrials
$193.54
+33.0% upside to fair value
Med Conviction
Grade B
High Quality
QuantHub Verdict
RTX has more upside to fair value
(+33.0%).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
LULU |
RTX |
| Current Price |
$98.06 |
$193.54 |
| Fair Value Estimate |
$99.50 |
$257.36 |
| Upside to Fair Value |
+1.5%
|
+33.0%
|
| Market Cap |
$11.1B |
$260.9B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
4.6x
|
18.1x
|
| Price / Sales |
1.0x
|
2.8x
|
| Price / FCF |
8.2x
|
21.7x
|
| Revenue Growth YoY |
-4.3%
|
+14.5%
|
| Gross Margin |
56.1%
|
20.3%
|
| Operating Margin |
17.8%
|
11.2%
|
| Return on Equity |
29.7%
|
11.8%
|
| Dividend Yield |
0% |
1.46% |
| FCF Yield |
12.24%
|
4.6%
|
| Analyst Consensus |
Sell
|
Buy
|
Investment Thesis
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…
RTX Corporation is a $260.85 billion aerospace and defense conglomerate operating three segments — Collins Aerospace, Pratt & Whitney, and Raytheon — serving commercial aviation, military, and government customers worldwide with 180,000 employees. The business quality is high: it holds intangible-asset and switching-cost advantages rooted in long-cycle engine programs, proprietary defense electro…
Accumulation Zones
| Metric |
LULU |
RTX |
| Zone Low |
$74.62 |
$193.02 |
| Zone High |
$84.58 |
$218.76 |
| In Buy Zone? |
No
|
Yes
|