Allbirds (NASDAQ:BIRD) and Sportsman’s Warehouse (NASDAQ:SPWH) Head to Head Analysis

Sportsman’s Warehouse (NASDAQ:SPWH) and Allbirds (NASDAQ:BIRD) are both small-cap retail/wholesale companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, dividends, valuation, profitability and institutional ownership.

Risk & Volatility

Sportsman’s Warehouse has a beta of 0.43, meaning that its stock price is 57% less volatile than the S&P 500. Comparatively, Allbirds has a beta of 2.72, meaning that its stock price is 172% more volatile than the S&P 500.

Profitability

This table compares Sportsman’s Warehouse and Allbirds’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sportsman’s Warehouse	-4.14%	-10.30%	-2.38%
Allbirds	-53.36%	-173.54%	-67.54%

Analyst Recommendations

This is a breakdown of current recommendations for Sportsman’s Warehouse and Allbirds, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sportsman’s Warehouse	1	1	3	0	2.40
Allbirds	1	2	0	0	1.67

Sportsman’s Warehouse presently has a consensus price target of $2.94, indicating a potential upside of 127.71%. Allbirds has a consensus price target of $8.00, indicating a potential upside of 108.33%. Given Sportsman’s Warehouse’s stronger consensus rating and higher probable upside, analysts plainly believe Sportsman’s Warehouse is more favorable than Allbirds.

Insider & Institutional Ownership

83.0% of Sportsman’s Warehouse shares are owned by institutional investors. Comparatively, 44.1% of Allbirds shares are owned by institutional investors. 3.8% of Sportsman’s Warehouse shares are owned by insiders. Comparatively, 30.7% of Allbirds shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Sportsman’s Warehouse and Allbirds”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sportsman’s Warehouse	$1.21 billion	0.04	-$50.06 million	($1.30)	-0.99
Allbirds	$152.47 million	0.22	-$77.28 million	($9.12)	-0.42

Sportsman’s Warehouse has higher revenue and earnings than Allbirds. Sportsman’s Warehouse is trading at a lower price-to-earnings ratio than Allbirds, indicating that it is currently the more affordable of the two stocks.

Summary

Sportsman’s Warehouse beats Allbirds on 10 of the 14 factors compared between the two stocks.

About Sportsman’s Warehouse

Sportsman’s Warehouse Holdings, Inc. engages in the retail of sporting and athletic goods. Its products include hunting and shooting, archery, fishing, camping, boating accessories, optics and electronics, knives and tools, and footwear. The company was founded in 1986 and is headquartered in West Jordan, UT.

About Allbirds

Allbirds, Inc. manufactures and sells footwear and apparel products for men and women in the United States and internationally. The company offers a range of lifestyle and performance shoes; and apparel, including classic tees and sweats, socks, and underwear. It sells its products through its retail stores, as well as online. The company was formerly known as Bozz, Inc. and changed its name to Allbirds, Inc. in December 2015. Allbirds, Inc. was incorporated in 2015 and is headquartered in San Francisco, California.