Head-To-Head Comparison: Central Garden & Pet (NASDAQ:CENT) vs. Lifetime Brands (NASDAQ:LCUT)

Central Garden & Pet (NASDAQ:CENT) and Lifetime Brands (NASDAQ:LCUT) are both consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, valuation, risk, profitability, analyst recommendations and dividends.

Valuation and Earnings

This table compares Central Garden & Pet and Lifetime Brands”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Central Garden & Pet	$3.13 billion	0.77	$162.84 million	$2.75	13.99
Lifetime Brands	$647.93 million	0.30	-$26.94 million	($1.27)	-6.73

Central Garden & Pet has higher revenue and earnings than Lifetime Brands. Lifetime Brands is trading at a lower price-to-earnings ratio than Central Garden & Pet, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations and price targets for Central Garden & Pet and Lifetime Brands, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Central Garden & Pet	0	2	1	1	2.75
Lifetime Brands	1	1	1	1	2.50

Central Garden & Pet currently has a consensus target price of $54.00, suggesting a potential upside of 40.33%. Lifetime Brands has a consensus target price of $7.00, suggesting a potential downside of 18.13%. Given Central Garden & Pet’s stronger consensus rating and higher probable upside, equities analysts clearly believe Central Garden & Pet is more favorable than Lifetime Brands.

Insider & Institutional Ownership

16.1% of Central Garden & Pet shares are owned by institutional investors. Comparatively, 40.6% of Lifetime Brands shares are owned by institutional investors. 8.2% of Central Garden & Pet shares are owned by insiders. Comparatively, 44.4% of Lifetime Brands shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Central Garden & Pet and Lifetime Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Central Garden & Pet	5.42%	11.55%	5.04%
Lifetime Brands	-4.22%	8.01%	2.76%

Risk & Volatility

Central Garden & Pet has a beta of 0.62, suggesting that its share price is 38% less volatile than the S&P 500. Comparatively, Lifetime Brands has a beta of 0.92, suggesting that its share price is 8% less volatile than the S&P 500.

Summary

Central Garden & Pet beats Lifetime Brands on 10 of the 13 factors compared between the two stocks.

About Central Garden & Pet

Central Garden & Pet Co. engages in the production and distribution of branded and private label products for the lawn, garden, and pet supplies markets. It operates through the Pet and Garden segments. The Pet segment focuses on dog and cat supplies such as dog treats and chews, toys, pet beds and containment, grooming products, waste management and training pads, supplies for aquatics, small animals, reptiles and pet birds including toys, cages and habitats, bedding, food and supplements, products for equine and livestock, animal and household health and insect control products, live fish, and small animals, as well as outdoor cushions. The Garden segment includes lawn and garden consumables such as grass, vegetable, flower and herb seed, wild bird feed, bird houses and other birding accessories, weed, grass, and other herbicides, insecticide and pesticide products, fertilizers, and live plants. The company was founded by William E. Brown in 1980 and is headquartered in Walnut Creek, CA.

About Lifetime Brands

Lifetime Brands, Inc. designs, sources, and sells branded kitchenware, tableware, and other products for use in the home in the worldwide. The company provides kitchenware products, including kitchen tools and gadgets, cutlery, kitchen scales, thermometers, cutting boards, shears, cookware, pantryware, spice racks, and bakeware; and tableware products comprising dinnerware, stemware, flatware, and giftware. It also provides home solutions, such as thermal beverageware, bath scales, weather and outdoor household, food storage, neoprene travel, and home décor products. The company owns or licenses various brands, including the Farberware, Mikasa, Taylor, KitchenAid, Pfaltzgraff, BUILT NY, Rabbit, Kamenstein, S’well, and Fred & Friends. It serves mass market merchants, specialty stores, department stores, warehouse clubs, grocery stores, off-price retailers, food service distributors, food and beverage outlets, and e-commerce. The company sells its products directly, as well as through its retail websites. Lifetime Brands, Inc. was founded in 1945 and is headquartered in Garden City, New York.