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BBWI vs FTDR

BBWI
Bath & Body Works, Inc.
NEUTRAL
Price
$22.20
Market Cap
$4.58B
Sector
Consumer Cyclical
AI Confidence
65%
FTDR
Frontdoor, Inc.
BEARISH
Price
$57.68
Market Cap
$4.07B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
BBWI
6.87
FTDR
16.67
Forward P/E
BBWI
8.55
FTDR
11.63
P/B Ratio
BBWI
-2.86
FTDR
16.91
P/S Ratio
BBWI
0.62
FTDR
1.95
EV/EBITDA
BBWI
6.27
FTDR
9.51

Profitability

Gross Margin
BBWI
44.14%
FTDR
55.28%
Operating Margin
BBWI
10.1%
FTDR
4.85%
Profit Margin
BBWI
9.5%
FTDR
12.18%
ROE
BBWI
--
FTDR
106.03%
ROA
BBWI
15.29%
FTDR
11.97%

Growth

Revenue Growth
BBWI
-1.0%
FTDR
13.4%
Earnings Growth
BBWI
-23.9%
FTDR
-84.0%

Financial Health

Debt/Equity
BBWI
--
FTDR
5.0
Current Ratio
BBWI
1.21
FTDR
1.55
Quick Ratio
BBWI
0.26
FTDR
1.43

Dividends

Dividend Yield
BBWI
3.6%
FTDR
--
Payout Ratio
BBWI
24.77%
FTDR
0.0%

AI Verdict

BBWI NEUTRAL

BBWI's deterministic health score is concerning with a Piotroski F-Score of 4/9, indicating marginal financial stability. The stock appears undervalued based on a low P/E of 6.87 and an intrinsic value estimate of $22.61, close to the current price of $22.20. However, declining revenue and earnings growth, along with negative Price/Book, raise sustainability concerns. While profitability margins and ROA are strong relative to peers, weak recent earnings surprises and bearish technical trends cap upside potential.

Strengths
Attractive valuation with P/E of 6.87 well below sector average of 55.88
High gross margin of 44.14% indicates strong pricing power and cost control
ROA of 15.29% significantly exceeds sector average of 6.28%
Risks
Piotroski F-Score of 4 suggests weak financial health and operational instability
Negative Price/Book ratio (-2.86) indicates shareholder equity deficit or accounting issues
Revenue and earnings declining YoY by -1.00% and -23.90% respectively
FTDR BEARISH

FTDR exhibits a stable but mediocre Piotroski F-Score of 4/9 and lacks an Altman Z-Score for bankruptcy risk assessment. The stock is severely overvalued based on deterministic metrics, trading at $57.68 despite a Graham Number of $16.29 and an Intrinsic Value of $24.22. While revenue growth remains positive and the company consistently beats earnings estimates, a catastrophic -84% YoY earnings collapse and high leverage (Debt/Equity of 5.00) create a precarious financial profile. Technicals and insider sentiment are both bearish, suggesting a lack of confidence in the current price level.

Strengths
Consistent track record of beating earnings estimates over 25 quarters
Strong gross margins at 55.28%
Positive revenue growth (13.40% YoY)
Risks
Severe earnings contraction (-84% YoY growth)
Extreme overvaluation relative to Graham Number ($16.29) and Intrinsic Value ($24.22)
High financial leverage with a Debt/Equity ratio of 5.00

Compare Another Pair

BBWI vs FTDR: Head-to-Head Comparison

This page compares Bath & Body Works, Inc. (BBWI) and Frontdoor, Inc. (FTDR) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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