LULU vs V: Which Is the Better Buy?
Side-by-side comparison of Lululemon Athletica Inc. and Visa Inc. — 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
Visa Inc. · Financial Services
$368.29
+25.7% upside to fair value
Med Conviction
Grade B
High Quality
QuantHub Verdict
V has more upside to fair value
(+25.7%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
LULU |
V |
| Current Price |
$98.06 |
$368.29 |
| Fair Value Estimate |
$99.50 |
$463.00 |
| Upside to Fair Value |
+1.5%
|
+25.7%
|
| Market Cap |
$11.1B |
$687.6B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
4.6x
|
24.0x
|
| Price / Sales |
1.0x
|
15.5x
|
| Price / FCF |
8.2x
|
33.5x
|
| Revenue Growth YoY |
-4.3%
|
+14.4%
|
| Gross Margin |
56.1%
|
80.2%
|
| Operating Margin |
17.8%
|
60.7%
|
| Return on Equity |
29.7%
|
61.3%
|
| Dividend Yield |
0% |
0.73% |
| FCF Yield |
12.24%
|
2.98%
|
| Analyst Consensus |
Sell
|
Strong 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…
Visa operates the world's largest retail payments network, connecting consumers, merchants, issuers, and acquirers through VisaNet, which authorizes, clears, and settles transactions across more than 200 countries. The business quality is exceptional: TTM gross margin of 80.2%, operating margin of 60.7%, net margin of 50.8%, and ROE of 61.3% reflect a two-sided network with powerful scale economi…
Accumulation Zones
| Metric |
LULU |
V |
| Zone Low |
$74.62 |
$347.25 |
| Zone High |
$84.58 |
$393.55 |
| In Buy Zone? |
No
|
Yes
|