Beauty Health (NASDAQ:SKIN – Get Free Report) and Kenvue (NYSE:KVUE – Get Free Report) are both consumer staples companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, risk, dividends, analyst recommendations, earnings and profitability.
Risk and Volatility
Beauty Health has a beta of 1, suggesting that its share price has a similar volatility profile to the S&P 500.Comparatively, Kenvue has a beta of 0.46, suggesting that its share price is 54% less volatile than the S&P 500.
Profitability
This table compares Beauty Health and Kenvue’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Beauty Health | -9.79% | -47.83% | -5.79% |
| Kenvue | 10.76% | 21.22% | 8.37% |
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Beauty Health | 1 | 5 | 1 | 0 | 2.00 |
| Kenvue | 0 | 12 | 3 | 0 | 2.20 |
Beauty Health currently has a consensus price target of $1.38, suggesting a potential upside of 103.70%. Kenvue has a consensus price target of $19.27, suggesting a potential upside of 7.64%. Given Beauty Health’s higher possible upside, research analysts plainly believe Beauty Health is more favorable than Kenvue.
Institutional & Insider Ownership
93.3% of Beauty Health shares are held by institutional investors. Comparatively, 97.6% of Kenvue shares are held by institutional investors. 35.5% of Beauty Health shares are held by company insiders. Comparatively, 1.6% of Kenvue shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Earnings and Valuation
This table compares Beauty Health and Kenvue”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Beauty Health | $300.80 million | 0.29 | -$9.52 million | ($0.22) | -3.07 |
| Kenvue | $15.12 billion | 2.27 | $1.47 billion | $0.87 | 20.58 |
Kenvue has higher revenue and earnings than Beauty Health. Beauty Health is trading at a lower price-to-earnings ratio than Kenvue, indicating that it is currently the more affordable of the two stocks.
Summary
Kenvue beats Beauty Health on 11 of the 14 factors compared between the two stocks.
About Beauty Health
The Beauty Health Company designs, develops, manufactures, markets, and sells aesthetic technologies and products worldwide. The company's flagship product includes HydraFacial that enhance the skin to cleanse, extract, and hydrate the skin with proprietary solutions and serums. Its products also comprise Syndeo, a Delivery System designs to connects providers to the consumer's preferences to create a more personalized experience; consumables, such as single-use tips, solutions, and serums used to provide a hydrafacial treatment; SkinStylus SteriLock Microsystem, a microneedling device used for the treatment of enhancing appearance of surgical or traumatic hypertrophic scars on the abdomen and facial acne scarring in Fitzpatrick skin types I, II, and III; and Keravive, a treatment for scalp health. The company was founded in 1997 and is headquartered in Long Beach, California.
About Kenvue
Kenvue Inc. operates as a consumer health company worldwide. The company operates through three segments: Self Care, Skin Health and Beauty, and Essential Health. The Self Care segment offers cough, cold and allergy, pain care, digestive health, smoking cessation, eye care, and other products under the Tylenol, Motrin, Benadryl, Nicorette, Zarbee's, ORSLTM, Rhinocort, Calpol, and Zyrtec brands. The Skin Health and Beauty segment provides face and body care, hair, sun, and other care products under the Neutrogena, Aveeno, Dr.Ci:Labo, Le Petit Marseillais, Lubriderm, Rogaine, and OGX brand names. The Essential Health segment offers oral and baby, women's health, wound, and other care products under the Listerine, Johnson's, Band-Aid, and Stayfree, o.b., tampons, Carefree, and Desitin Diaper Rash brands. The company was incorporated in 2022 and is headquartered in Skillman, New Jersey.
Receive News & Ratings for Beauty Health Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Beauty Health and related companies with MarketBeat.com's FREE daily email newsletter.
