Baozun (NASDAQ:BZUN) versus MINISO Group (NYSE:MNSO) Head-To-Head Contrast

MINISO Group (NYSE:MNSO) and Baozun (NASDAQ:BZUN) are both consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, risk, valuation, earnings and dividends.

Insider & Institutional Ownership

17.2% of MINISO Group shares are held by institutional investors. Comparatively, 47.3% of Baozun shares are held by institutional investors. 73.5% of MINISO Group shares are held by company insiders. Comparatively, 59.2% of Baozun shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares MINISO Group and Baozun”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MINISO Group	$23.55 billion	0.13	$167.62 million	$0.58	17.61
Baozun	$1.42 billion	0.15	-$34.62 million	($0.33)	-11.27

MINISO Group has higher revenue and earnings than Baozun. Baozun is trading at a lower price-to-earnings ratio than MINISO Group, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings and price targets for MINISO Group and Baozun, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MINISO Group	1	4	2	1	2.38
Baozun	1	1	2	0	2.25

MINISO Group currently has a consensus price target of $15.27, indicating a potential upside of 49.53%. Baozun has a consensus price target of $3.80, indicating a potential upside of 2.15%. Given MINISO Group’s stronger consensus rating and higher possible upside, analysts clearly believe MINISO Group is more favorable than Baozun.

Profitability

This table compares MINISO Group and Baozun’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MINISO Group	5.32%	19.41%	7.11%
Baozun	-1.26%	2.55%	1.43%

Volatility & Risk

MINISO Group has a beta of 0.16, meaning that its stock price is 84% less volatile than the S&P 500. Comparatively, Baozun has a beta of 0.39, meaning that its stock price is 61% less volatile than the S&P 500.

Summary

MINISO Group beats Baozun on 11 of the 14 factors compared between the two stocks.

About MINISO Group

MINISO Group Holding Limited, an investment holding company, engages in the retail and wholesale of lifestyle products and pop toy products in China, Asia, the United States, and Europe. The company offers products in various categories, including home decor products, small electronics, textiles, accessories, beauty tools, toys, cosmetics, personal care products, snacks, fragrances and perfumes, and stationeries and gifts under the MINISO and WonderLife brand names; and blind boxes, toy bricks, model figures, model kits, collectible dolls, Ichiban Kuji, sculptures, and other popular toys under the TOP TOY brand. The company was founded in 2013 and is based in Guangzhou, China.

About Baozun

Baozun Inc., through its subsidiaries, provides end-to-end e-commerce solutions to brand partners in the People’s Republic of China. The company operates through two segments, E-Commerce and Brand Management (BBM). The E-Commerce segment offers brands’ store operations, customer services and value-added services in logistics and supply chain management, IT, and digital marketing. The Brand Management segment provides brand management, strategic and tactic positioning, branding and marketing, retail and e-commerce operations, supply chain, and logistics and technology services. It serves brand partners in various categories, including apparel and accessories, appliances, electronics, home and furnishings, food and health products, beauty and cosmetics, fast moving consumer goods, mother and baby products, and automobiles. The company was formerly known as Baozun Cayman Inc. and changed its name to Baozun Inc. in March 2015. Baozun Inc. was founded in 2007 and is headquartered in Shanghai, the People’s Republic of China.