Financial Comparison: Talon International (OTCMKTS:TALN) & Vince (NYSE:VNCE)

Talon International (OTCMKTS:TALN) and Vince (NYSE:VNCE) are both small-cap consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, dividends, risk, institutional ownership, profitability and valuation.

Volatility and Risk

Talon International has a beta of -0.22, indicating that its stock price is 122% less volatile than the S&P 500. Comparatively, Vince has a beta of 0.7, indicating that its stock price is 30% less volatile than the S&P 500.

Earnings & Valuation

This table compares Talon International and Vince”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Talon International	$32.11 million	0.17	$220,000.00	N/A	N/A
Vince	$293.45 million	0.06	-$19.05 million	($2.22)	-0.64

Talon International has higher earnings, but lower revenue than Vince.

Institutional and Insider Ownership

16.1% of Vince shares are owned by institutional investors. 20.3% of Talon International shares are owned by company insiders. Comparatively, 61.0% of Vince shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Talon International and Vince’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Talon International	N/A	N/A	N/A
Vince	-9.66%	1.89%	0.38%

Analyst Ratings

This is a summary of current recommendations for Talon International and Vince, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Talon International	0	0	0	0	0.00
Vince	0	0	1	0	3.00

Vince has a consensus price target of $2.50, indicating a potential upside of 74.83%. Given Vince’s stronger consensus rating and higher possible upside, analysts plainly believe Vince is more favorable than Talon International.

Summary

Vince beats Talon International on 9 of the 12 factors compared between the two stocks.

About Talon International

Talon International, Inc. manufactures and distributes apparel components and accessories to manufacturers of fashion apparel, specialty retailers, and mass merchandisers. The company offers a line of metal, coil, and plastic zippers under the Talon brand name; apparel trim components, including tags, labels, buttons, rivets, leather patches, woven labels, heat transfer seals, tapes, ribbons, printed marketing material, polybasic, packing cartons, and hangers; Flex-It films, adhesive films, overlay films, seam sealing tapes; metal fasteners; stretch waistbands, shirt collars, and inner pocketing panels under the Tekfit brand, as well as packaging and other items; and specialty stretch technology for interlinings. It also provides outsourced trim design, sourcing, and management services, as well as supplies custom branded trim components. The company sells its products through its own sales force in the United States, Hong Kong, China, India, Indonesia, Vietnam, and Bangladesh, as well as through sales representatives in Europe. The company was formerly known as Tag-It Pacific, Inc. and changed its name to Talon International, Inc. in July 2007. Talon International, Inc. was founded in 1980 and is headquartered in Woodland Hills, California.

About Vince

Vince Holding Corp. provides luxury apparel and accessories in the United States and internationally. It operates through Vince Wholesale, Vince Direct-to-Consumer segments. The company offers a range of men's and women's products, such as cashmere sweaters, silk blouses, leather and suede products, and jackets, dresses, skirts, pants, t-shirts, footwear, outerwear, and accessories, as well as woven shirts, core and fashion pants, and blazers under the Vince brand. It sells its products directly to consumers through its branded specialty retail stores and outlet stores, as well as through its vince.com e-commerce platform and subscription business through Vince Unfold, vinceunfold.com; and to department stores and specialty stores. The company was formerly known as Apparel Holding Corp. and changed its name to Vince Holding Corp. in November 2013. The company was founded in 2002 and is headquartered in New York, New York.