Reviewing Under Armour (NYSE:UA) and Savers Value Village (NYSE:SVV)

Under Armour (NYSE:UA) and Savers Value Village (NYSE:SVV) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, profitability, institutional ownership, valuation, dividends, risk and earnings.

Risk & Volatility

Under Armour has a beta of 1.67, indicating that its stock price is 67% more volatile than the S&P 500. Comparatively, Savers Value Village has a beta of 1.07, indicating that its stock price is 7% more volatile than the S&P 500.

Earnings and Valuation

This table compares Under Armour and Savers Value Village”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Under Armour	$5.16 billion	0.39	-$201.27 million	$0.22	21.11
Savers Value Village	$1.54 billion	1.36	$29.03 million	$0.21	64.10

Savers Value Village has lower revenue, but higher earnings than Under Armour. Under Armour is trading at a lower price-to-earnings ratio than Savers Value Village, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and price targets for Under Armour and Savers Value Village, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Under Armour	1	0	0	0	1.00
Savers Value Village	0	4	4	1	2.67

Savers Value Village has a consensus price target of $13.17, indicating a potential downside of 2.19%. Given Savers Value Village’s stronger consensus rating and higher probable upside, analysts clearly believe Savers Value Village is more favorable than Under Armour.

Profitability

This table compares Under Armour and Savers Value Village’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Under Armour	1.99%	7.24%	3.06%
Savers Value Village	2.14%	8.85%	1.98%

Insider & Institutional Ownership

36.4% of Under Armour shares are owned by institutional investors. Comparatively, 98.8% of Savers Value Village shares are owned by institutional investors. 15.6% of Under Armour shares are owned by company insiders. Comparatively, 3.1% of Savers Value Village shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Savers Value Village beats Under Armour on 10 of the 15 factors compared between the two stocks.

About Under Armour

Under Armour, Inc., together with its subsidiaries, develops, markets, and distributes performance apparel, footwear, and accessories for men, women, and youth. The company provides its apparel in compression, fitted, and loose fit types. It also offers footwear products for running, training, basketball, cleated sports, recovery, and outdoor applications. In addition, the company provides accessories, which include gloves, bags, headwear, and sports masks; and digital subscription, advertising, and other digital business services. It primarily offers its products under the UNDER ARMOUR, HEATGEAR, COLDGEAR, HOVR, UA, PROTECT THIS HOUSE, I WILL, UA Logo, ARMOUR FLEECE, and ARMOUR BRA brands. The company sells its products through wholesale channels, including national and regional sporting goods chains, independent and specialty retailers, department store chains, mono-branded Under Armour retail stores, institutional athletic departments, and leagues and teams, as well as independent distributors; and directly to consumers through a network of 439 Brand and Factory House stores, as well as through e-commerce websites. It operates in the United States, Canada, Europe, the Middle East, Africa, the Asia-Pacific, and Latin America. Under Armour, Inc. was incorporated in 1996 and is headquartered in Baltimore, Maryland.

About Savers Value Village

Savers Value Village, Inc. sells second-hand merchandise in retail stores in the United States, Canada, and Australia. It operates stores under the Savers, Value Village, Value Village Boutique, Village des Valeurs, Unique, and 2nd Avenue brands. The company purchases secondhand textiles, including clothing, bedding, and bath items; shoes; accessories; housewares; books; and other goods from non-profit partners and then processes, selects, prices, merchandises, and sells them in its stores. It serves retail and wholesale customers. The company was formerly known as S-Evergreen Holding LLC and changed its name to Savers Value Village, Inc. in January 2022. Savers Value Village, Inc. was founded in 1954 and is based in Bellevue, Washington.