Head to Head Survey: MarineMax (NYSE:HZO) & Bath & Body Works (NYSE:BBWI)

Bath & Body Works (NYSE:BBWI) and MarineMax (NYSE:HZO) are both retail/wholesale companies, but which is the better investment? We will compare the two companies based on the strength of their valuation, profitability, institutional ownership, risk, earnings, dividends and analyst recommendations.

Profitability

This table compares Bath & Body Works and MarineMax’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bath & Body Works	9.88%	-48.43%	15.18%
MarineMax	-1.15%	2.63%	1.00%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Bath & Body Works and MarineMax, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bath & Body Works	0	6	11	0	2.65
MarineMax	2	0	5	0	2.43

Bath & Body Works currently has a consensus price target of $36.39, suggesting a potential upside of 54.04%. MarineMax has a consensus price target of $34.00, suggesting a potential upside of 44.49%. Given Bath & Body Works’ stronger consensus rating and higher probable upside, equities analysts clearly believe Bath & Body Works is more favorable than MarineMax.

Insider & Institutional Ownership

95.1% of Bath & Body Works shares are owned by institutional investors. Comparatively, 92.8% of MarineMax shares are owned by institutional investors. 0.3% of Bath & Body Works shares are owned by insiders. Comparatively, 4.0% of MarineMax shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Bath & Body Works and MarineMax”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bath & Body Works	$7.37 billion	0.66	$798.00 million	$3.37	7.01
MarineMax	$2.32 billion	0.22	$38.07 million	($1.34)	-17.56

Bath & Body Works has higher revenue and earnings than MarineMax. MarineMax is trading at a lower price-to-earnings ratio than Bath & Body Works, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Bath & Body Works has a beta of 1.52, indicating that its stock price is 52% more volatile than the S&P 500. Comparatively, MarineMax has a beta of 1.53, indicating that its stock price is 53% more volatile than the S&P 500.

Summary

Bath & Body Works beats MarineMax on 11 of the 14 factors compared between the two stocks.

About Bath & Body Works

Bath & Body Works, Inc. is a specialty retailers and home to America’s Favorite Fragrances, offering a breadth of exclusive fragrances for the body and home, including the selling collections for fine fragrance mist, body lotion and body cream, 3-wick candles, home fragrance diffusers and liquid hand soap. The company was founded by Leslie Herbert Wexner in 1963 and is headquartered in Columbus, OH.

About MarineMax

MarineMax, Inc. operates as a recreational boat and yacht retailer and superyacht services company in the United States. It operates in two segments, Retail Operations and Product Manufacturing. The company sells new and used recreational boats, including pleasure and fishing boats, mega-yachts, yachts, sport cruisers, motor yachts, e-power yachts, pontoon boats, ski boats, jet boats, and other recreational boats. It also offers marine parts and accessories comprising marine electronics; dock and anchoring products that include boat fenders, lines, and anchors; boat covers; trailer parts; water sport accessories, which comprise tubes, lines, wakeboards, and skis; engine parts; oils; lubricants; steering and control systems; corrosion control products and service products; high-performance accessories, including propellers and instruments; and a line of boating accessories, such as life jackets, inflatables, and water sports equipment. In addition, the company provides novelty items, such as shirts, caps, and license plates; marine engines and equipment; maintenance, repair, and slip and storage services; and boat or yacht brokerage services, as well as yacht charters and power catamarans. Further, it offers new or used boat finance services; arranges insurance coverage, including boat property, disability, undercoating, gel sealant, fabric protection, trailer tire and wheel protection, and casualty insurance coverage; and manufactures and sells sport yachts and yachts. Additionally, the company operates MarineMax vacations in Tortola and British Virgin Islands. It also markets and sells its products through offsite locations and print catalog. MarineMax, Inc. was incorporated in 1998 and is based in Clearwater, Florida.