Tokyo Lifestyle (NASDAQ:TKLF) & Albertsons Companies (NYSE:ACI) Financial Survey

Albertsons Companies (NYSE:ACI) and Tokyo Lifestyle (NASDAQ:TKLF) are both consumer staples companies, but which is the superior stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, risk, dividends, earnings and valuation.

Dividends

Albertsons Companies pays an annual dividend of $0.68 per share and has a dividend yield of 4.2%. Tokyo Lifestyle pays an annual dividend of $0.08 per share and has a dividend yield of 4.1%. Albertsons Companies pays out 212.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Albertsons Companies has raised its dividend for 1 consecutive years. Albertsons Companies is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Valuation and Earnings

This table compares Albertsons Companies and Tokyo Lifestyle”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Albertsons Companies	$83.17 billion	0.10	$217.40 million	$0.32	50.55
Tokyo Lifestyle	$302.54 million	0.03	$6.64 million	N/A	N/A

Albertsons Companies has higher revenue and earnings than Tokyo Lifestyle.

Analyst Ratings

This is a summary of current ratings and target prices for Albertsons Companies and Tokyo Lifestyle, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Albertsons Companies	2	5	10	0	2.47
Tokyo Lifestyle	1	0	0	0	1.00

Albertsons Companies currently has a consensus price target of $21.31, indicating a potential upside of 31.73%. Given Albertsons Companies’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Albertsons Companies is more favorable than Tokyo Lifestyle.

Insider & Institutional Ownership

71.4% of Albertsons Companies shares are held by institutional investors. 1.4% of Albertsons Companies shares are held by insiders. Comparatively, 75.4% of Tokyo Lifestyle shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Albertsons Companies and Tokyo Lifestyle’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Albertsons Companies	0.26%	42.75%	4.24%
Tokyo Lifestyle	N/A	N/A	N/A

Risk and Volatility

Albertsons Companies has a beta of 0.43, suggesting that its stock price is 57% less volatile than the S&P 500. Comparatively, Tokyo Lifestyle has a beta of 0.26, suggesting that its stock price is 74% less volatile than the S&P 500.

Summary

Albertsons Companies beats Tokyo Lifestyle on 13 of the 15 factors compared between the two stocks.

About Albertsons Companies

Albertsons Companies, Inc., through its subsidiaries, engages in the operation of food and drug stores in the United States. The company’s food and drug retail stores offer grocery products, general merchandise, health and beauty care products, pharmacy, fuel, and other items and services. It also manufactures and processes food products for sale in stores. It operates stores under various banners, including Albertsons, Safeway, Vons, Pavilions, Randalls, Tom Thumb, Carrs, Jewel-Osco, Acme, Shaw’s, Star Market, United Supermarkets, Market Street, Haggen, Kings Food Markets, and Balducci’s Food Lovers Market; and pharmacies, in-store branded coffee shops, adjacent fuel centers, distribution centers, and manufacturing facilities, as well as various digital platforms. Albertsons Companies, Inc. was founded in 1860 and is headquartered in Boise, Idaho. Albertsons Companies, Inc. operates as a subsidiary of Albertsons Investor Holdings LLC.

About Tokyo Lifestyle

Yoshitsu Co., Ltd engages in the retail and wholesale of beauty, health, and other products. It offers beauty products, such as cosmetics comprising of foundation, powder, concealer, makeup remover, eyeliner, eye shadow, brow powder, brow pencil, mascara, lip gloss, lipstick, and nail polish; skin care products consisting of facial cleanser, whitening products, sun block, moisturizer, facial mask, eye mask, eye gel, and exfoliating; and cosmetic applicators, such as brush, puff, curler, hair iron, and shaver products. The company also provides body care products, such as shampoo, conditioner, and body wash; and fragrance products consisting of perfume and cologne for women and men. In addition, the company provides facial wash, firming lotion, astringent, and moisturizer products for men; and lip balm, lotion, shampoo, soap, and essence oil for children. Further, the company offers OTC drugs for the treatment of common ailments, such as colds, headaches, stomach pain, cough, and eye strains, as well as medical supplies and devices, including bandages, masks, thermometers, disinfectant sprays, eye masks, contact lens, and contact lens cleaners and solutions. Additionally, the company provides vitamins, minerals, fiber supplements, nutritional yeast, dietary products, and other nutritional supplements; bedding and bath products, and car supplies; and food, alcoholic beverages, and miscellaneous products. It directly operates physical stores in Japan and Hong Kong; online stores in Japan, China, and Korea; and franchise stores in the United States, Canada, and the United Kingdom, as well as wholesale customers in Japan, China, the United States, and Canada. The company was incorporated in 2006 and is headquartered in Tokyo, Japan.