Lululemon Athletica or NIKE: which stock is cheaper in 2026?
As of October 5, 2026, Lululemon Athletica (LULU) trades at 7.8× earnings (P/E) and NIKE (NKE) at 16.2×, according to Kaplio. The median across the 202 consumer cyclicals companies above $2bn in Kaplio's universe is 18.1×. A caveat on NIKE: its earnings over the last twelve months are far from what the consensus expects, so its current P/E is not representative.
According to the Kaplio Summary
The same verdict as each company's page: price range by multiples, the four lights, the expected return if consensus is right and what Buffett and Lynch would say today.
| Lululemon Athletica (LULU) | NIKE (NKE) | |
|---|---|---|
| Summary valuation | cheap ($221–$581) | cheap ($25–$40) |
| The four lights | Valuation: P/E 7.8× (cheap) Business: 5-year ROIC 24.9 % (excellent) Balance sheet: Net debt/EBITDA −0.0× (solid) Results: 8 of 8 (on track) | Valuation: P/E 16.2× (cheap) Business: 5-year ROIC 15.5 % (solid) Balance sheet: Net debt/EBITDA 0.9× (solid) Results: 8 of 8 (on track) |
| Expected return (per year) | -11.1 % a year (to 2029) | +17.8 % a year (to 2029) |
| Buffett method | quality 91 · approves | quality 78 · would not approve |
| Lynch method | fast grower · approves | slow grower · approves |
Metrics side by side
| Metric | Lululemon Athletica (LULU) | NIKE (NKE) |
|---|---|---|
| Overview | ||
| Market Cap | $10.7B | $50.1B |
| Price | $94.46 | $33.87 |
| Valuation | ||
| P/E | 7.8× | 16.2× |
| P/B | 2.2× | 3.3× |
| P/S | 1.0× | 1.1× |
| EV/EBITDA | 4.5× | 12.4× |
| FCF Yield | 12.6 % | 4.2 % |
| Dividend Yield | 0.0 % | 4.8 % |
| Profitability | ||
| ROIC | 19.7 % | 10.3 % |
| ROE | 29.7 % | 21.2 % |
| Gross Margin | 56.1 % | 43.1 % |
| Operating Margin | 17.8 % | 8.2 % |
| Net Margin | 12.8 % | 6.7 % |
| Growth | ||
| Revenue 5Y CAGR | 20.3 % | 0.8 % |
| EPS 5Y CAGR | 24.0 % | -10.4 % |
| FCF 5Y CAGR | 9.9 % | -18.2 % |
| Balance Sheet | ||
| Net Debt / EBITDA | -0.0× | 0.9× |
| Debt / Equity | 0.4× | 0.7× |
Trailing twelve months where available; otherwise the latest fiscal year. Growth: five-year compound annual rate.