Head-To-Head Analysis: Capri (NYSE:CPRI) and MOGU (NYSE:MOGU)

Capri (NYSE:CPRI) and MOGU (NYSE:MOGU) are both retail/wholesale companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, risk, dividends, institutional ownership, analyst recommendations, profitability and earnings.

Profitability

This table compares Capri and MOGU’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Capri	-29.55%	-138.53%	-8.48%
MOGU	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings and recommmendations for Capri and MOGU, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Capri	1	6	7	1	2.53
MOGU	1	0	0	0	1.00

Capri presently has a consensus target price of $26.62, suggesting a potential upside of 2.48%. Given Capri’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Capri is more favorable than MOGU.

Earnings & Valuation

This table compares Capri and MOGU”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Capri	$4.37 billion	0.71	-$1.18 billion	($9.83)	-2.64
MOGU	$19.46 million	0.97	-$8.62 million	N/A	N/A

MOGU has lower revenue, but higher earnings than Capri.

Risk & Volatility

Capri has a beta of 1.48, suggesting that its share price is 48% more volatile than the S&P 500. Comparatively, MOGU has a beta of 0.4, suggesting that its share price is 60% less volatile than the S&P 500.

Institutional & Insider Ownership

84.3% of Capri shares are held by institutional investors. Comparatively, 19.1% of MOGU shares are held by institutional investors. 2.3% of Capri shares are held by insiders. Comparatively, 19.8% of MOGU shares are held by 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.

Summary

Capri beats MOGU on 7 of the 13 factors compared between the two stocks.

About Capri

Capri Holdings Limited designs, markets, distributes, and retails branded women's and men's apparel, footwear, and accessories in the United States, Canada, Latin America, Europe, the Middle East, Africa, and Asia. It operates through three segments: Versace, Jimmy Choo, and Michael Kors. The company offers ready-to-wear, accessories, footwear, handbags, scarves and belts, small leather goods, eyewear, watches, jewelry, fragrances, and home furnishings through a distribution network, including boutiques, department, and specialty stores, as well as through e-commerce sites. It also engages in licensing agreements to the manufacture and sale of watches, jewelry, eyewear, and fragrances. The company was formerly known as Michael Kors Holdings Limited and changed its name to Capri Holdings Limited in December 2018. Capri Holdings Limited was founded in 1981 and is headquartered in London, the United Kingdom.

About MOGU

MOGU Inc., through its subsidiaries, engages in the online fashion and lifestyle business in the People's Republic of China. The company operates an online platform that primarily offers a range of fashion apparel and other products, including beauty products and accessories provided by third party merchants, as well as personal care, food, and medical beauty products. It also provides online marketing, commission, financing, technology, and other related services to merchants, brand partners/owners, and users; and technology services to insurance companies. The company offers its products through mobile apps, including flagship Mogujie app, mini programs on Weixin, and Weixin pay; websites comprising Mogu.com, Mogujie.com and Meilishuo.com. The company was formerly known as Meili Inc. and changed its name to MOGU Inc. in November 2018. The company was incorporated in 2011 and is headquartered in Hangzhou, the People's Republic of China.