V.F. (NYSE:VFC) vs. Hugo Boss (OTCMKTS:BOSSY) Head-To-Head Contrast

V.F. (NYSE:VFC) and Hugo Boss (OTCMKTS:BOSSY) are both mid-cap consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, profitability, risk, analyst recommendations, dividends and institutional ownership.

Profitability

This table compares V.F. and Hugo Boss’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
V.F.	-0.50%	22.77%	3.16%
Hugo Boss	5.15%	15.65%	6.06%

Dividends

V.F. pays an annual dividend of $0.36 per share and has a dividend yield of 2.6%. Hugo Boss pays an annual dividend of $0.21 per share and has a dividend yield of 2.1%. V.F. pays out -276.9% of its earnings in the form of a dividend. Hugo Boss pays out 30.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. V.F. is clearly the better dividend stock, given its higher yield and lower payout ratio.

Analyst Recommendations

This is a summary of current recommendations for V.F. and Hugo Boss, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
V.F.	2	12	7	0	2.24
Hugo Boss	0	2	0	0	2.00

V.F. currently has a consensus price target of $16.20, indicating a potential upside of 18.21%. Given V.F.’s stronger consensus rating and higher possible upside, research analysts plainly believe V.F. is more favorable than Hugo Boss.

Institutional and Insider Ownership

86.8% of V.F. shares are owned by institutional investors. 1.1% of V.F. shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Volatility and Risk

V.F. has a beta of 1.68, indicating that its share price is 68% more volatile than the S&P 500. Comparatively, Hugo Boss has a beta of 0.87, indicating that its share price is 13% less volatile than the S&P 500.

Valuation & Earnings

This table compares V.F. and Hugo Boss”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
V.F.	$9.50 billion	0.56	-$189.72 million	($0.13)	-105.42
Hugo Boss	$4.66 billion	0.74	$230.99 million	$0.69	14.46

Hugo Boss has lower revenue, but higher earnings than V.F.. V.F. is trading at a lower price-to-earnings ratio than Hugo Boss, indicating that it is currently the more affordable of the two stocks.

Summary

V.F. beats Hugo Boss on 10 of the 16 factors compared between the two stocks.

About V.F.

VF Corp. engages in the business of producing and marketing apparel, footwear, and accessories. It operates through the following segments: Outdoor, Active, Work, and Other. The Outdoor segment includes authentic outdoor-based lifestyle brands such as performance-based and outdoor apparel, footwear, and equipment. The Active segment focuses on activity-based lifestyle brands including active apparel, footwear, backpacks, luggage, and accessories. The Work segment offers work and work-inspired lifestyle brands with product offerings including apparel, footwear, and accessories. The Other segment refers to the sale of non-VF products and sourcing activities related to transition services. The company was founded by John Barbey in October 1899 and is headquartered in Denver, CO.

About Hugo Boss

Hugo Boss AG, together with its subsidiaries, provides apparels, shoes, and accessories for men and women worldwide. It also offers licensed products comprising of fragrances, eyewear, watches, children’s fashion, equestrian, and cycling. The company markets and sells its products under the BOSS and HUGO brand names through freestanding stores, shop-in-shops, factory outlets, multi-brand stores, and franchise business, as well as online retailers, distribution, and stores. Hugo Boss AG was founded in 1924 and is headquartered in Metzingen, Germany.