I think some DW ranged builds outdps DW melee.
For example - very few weapons can compete with dagallon’s
EDIT: As for balancing, I think retal builds should be nerfed in terms of OA, not armor. Makes sense for them to be tanky to actually dish out retaliation damage WHEN HIT. Doesn’t make sense for them to be able to dish out the pain like a classic DPS spec.
Maybe imposing a -5% OA or something on retal sets/devotions might work.