Financial Survey: HomesToLife (NASDAQ:HTLM) vs. Natuzzi (NYSE:NTZ)

Natuzzi (NYSE:NTZ) and HomesToLife (NASDAQ:HTLM) are both small-cap consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, profitability, dividends, analyst recommendations, valuation and institutional ownership.

Valuation & Earnings

This table compares Natuzzi and HomesToLife”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Natuzzi	$306.30 million	0.10	-$16.39 million	N/A	N/A
HomesToLife	$40.29 million	1.06	-$1.67 million	$0.04	72.50

HomesToLife has lower revenue, but higher earnings than Natuzzi.

Profitability

This table compares Natuzzi and HomesToLife’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Natuzzi	-5.66%	-29.05%	-5.45%
HomesToLife	N/A	N/A	N/A

Institutional & Insider Ownership

6.1% of Natuzzi shares are held by institutional investors. 0.6% of Natuzzi shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and price targets for Natuzzi and HomesToLife, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Natuzzi	1	0	0	0	1.00
HomesToLife	1	0	0	0	1.00

Summary

HomesToLife beats Natuzzi on 5 of the 8 factors compared between the two stocks.

About Natuzzi

Natuzzi S.p.A. engages in the design, manufacture, and marketing of leather and fabric upholstered furniture through its own and franchised stores in the United States, Italy, China, Brazil, Spain, Mexico, Canada, Australia, Belgium, the United Arab Emirates, South Korea, Israel, Taiwan, the United Kingdom, and internationally. The company offers stationary furniture, such as sofas, loveseats, and armchairs; sectional furniture; motion furniture; sofa beds; occasional chairs, including recliners and massage chairs; home furnishing accessories, including coffee tables, lamps, rugs, and wall units; and home accessories, which include vases, mirrors, magazines racks, trays, and decorative objects. It also sells polyurethane foam and leather processing by-products. It operates Natuzzi Italia stores; Divani&Divani by Natuzzi stores; and Natuzzi Editions stores. The company was formerly known as Industrie Natuzzi S.p.A. and changed its name to Natuzzi S.p.A. in June 2002. Natuzzi S.p.A. was incorporated in 1959 and is headquartered in Santeramo In Colle, Italy.

About HomesToLife

HomesToLife Ltd. engages in the retail of home furniture and sale of customized furniture solutions. Its products include leather and fabric upholstered furniture, case goods, and accessories. The company was founded by Yong Pin Phua and Yong Tat Phua in September 1989 and is headquartered in Singapore.