LULU vs UNH: Which Is the Better Buy?
Side-by-side comparison of Lululemon Athletica Inc. and UnitedHealth Group Incorporated — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-04.
Lululemon Athletica Inc. · Consumer Cyclical
$128.98
+307.7% upside to fair value
Grade C
VS
UnitedHealth Group Incorporated · Healthcare
$353.52
+97.1% upside to fair value
Grade B
High Quality
QuantHub Verdict
LULU has more upside to fair value
(+307.7%).
LULU trades at a lower forward P/E
(9.7x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
LULU |
UNH |
| Current Price |
$128.98 |
$353.52 |
| Fair Value Estimate |
$525.85 |
$696.88 |
| Upside to Fair Value |
+307.7%
|
+97.1%
|
| Market Cap |
$15.1B |
$320.9B |
| Forward P/E |
9.7x
|
26.7x
|
| EV / EBITDA |
5.6x
|
16.1x
|
| Price / Sales |
1.4x
|
0.7x
|
| Price / FCF |
16.4x
|
16.3x
|
| Revenue Growth YoY |
+0.8%
|
+2.0%
|
| Gross Margin |
56.6%
|
18.8%
|
| Operating Margin |
19.8%
|
4.2%
|
| Return on Equity |
34.8%
|
12.4%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
6.09%
|
6.13%
|
| Analyst Consensus |
Hold
|
Strong Buy
|
Investment Thesis
Lululemon Athletica Inc. is a premium athletic apparel retailer operating primarily in the consumer cyclical sector with a focus on apparel retail. The company has a strong brand and historically high profitability with a gross margin of 56.6% and ROE of 34.8%, but it faces significant near-term challenges including earnings pressure with a 21.6% decline in earnings in the most recent quarter and…
UnitedHealth Group Incorporated operates as a leading healthcare company with two main platforms: UnitedHealthcare, providing health benefits coverage, and Optum, offering information and technology services. The company benefits from a durable competitive moat due to its scale, integrated platforms, and broad market reach serving over 170 million consumers. Despite strong revenue growth of 12% y…
Accumulation Zones
| Metric |
LULU |
UNH |
| Zone Low |
$394.39 |
$522.66 |
| Zone High |
$446.97 |
$592.35 |
| In Buy Zone? |
Yes
|
Yes
|