This is a fundamental analysis comparing Nike (NKE) and Lululemon (LULU) stocks, specifically reviewing their revenue growth, profit margins, and return on invested capital. Nike's revenue increased from $31 billion to $46 billion over the last decade (CAGR 4.5%) but has decelerated with declining revenues from the previous year due to tariffs and consumer behavior changes. A strategy change to prioritize wholesale segment. Nike has a goal to make a partnership with Amazon and new CEO wants to become a Premium brand to cut sales to increase price. Lululemon's revenue has grown over 5x in the past decade from $2.1 billion to $10.7 billion (CAGR 19.5%). LULU is still in the early stages to expand its product, men’s wear. Nike has a large brand equity than Lululemon, but both are planning less promotional activity. Operating profit margin: Lulu has been improving, Nike worsening. Return on invested capital, Lululemon is better than NIKE. Nike undervalue share price is $48.48. Nike to follow a more Premium brand selling and cutting promotional deals with a strong brand is now signaling to others. At the moment in the actual market price Nike is overvalued and Lulu is undervalued.