Canada Goose (NYSE:GOOS) & NIKE (NYSE:NKE) Financial Contrast

Canada Goose (NYSE:GOOS) and NIKE (NYSE:NKE) are both consumer discretionary companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, earnings, valuation, analyst recommendations, dividends, profitability and risk.

Earnings & Valuation

This table compares Canada Goose and NIKE”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Canada Goose	$1.11 billion	0.77	$16.29 million	$0.39	22.42
NIKE	$46.40 billion	1.30	$3.11 billion	$2.09	19.49

NIKE has higher revenue and earnings than Canada Goose. NIKE is trading at a lower price-to-earnings ratio than Canada Goose, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Canada Goose and NIKE, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Canada Goose	5	3	1	0	1.56
NIKE	5	18	13	1	2.27

Canada Goose presently has a consensus price target of $11.78, indicating a potential upside of 34.76%. NIKE has a consensus price target of $53.53, indicating a potential upside of 31.43%. Given Canada Goose’s higher probable upside, equities analysts clearly believe Canada Goose is more favorable than NIKE.

Risk & Volatility

Canada Goose has a beta of 1.62, suggesting that its stock price is 62% more volatile than the S&P 500. Comparatively, NIKE has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500.

Insider & Institutional Ownership

83.6% of Canada Goose shares are held by institutional investors. Comparatively, 64.2% of NIKE shares are held by institutional investors. 0.5% of Canada Goose shares are held by company insiders. Comparatively, 1.1% of NIKE shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Canada Goose and NIKE’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Canada Goose	3.65%	14.28%	4.56%
NIKE	6.70%	16.54%	6.21%

Summary

NIKE beats Canada Goose on 11 of the 15 factors compared between the two stocks.

About Canada Goose

Canada Goose Holdings Inc., together with its subsidiaries, designs, manufactures, and sells performance luxury apparel for men, women, youth, children, and babies in Canada, the United States, Asia Pacific, Europe, the Middle East, and Africa. The company operates through three segments: Direct-to-Consumer, Wholesale, and Other. It offers parkas, lightweight down jackets, rainwear, windwear, apparel, fleece, footwear, and accessories for fall, winter, and spring seasons. The company operates through national e-commerce markets and directly operated retail stores. Canada Goose Holdings Inc. was founded in 1957 and is headquartered in Toronto, Canada.

About NIKE

NIKE, Inc., together with its subsidiaries, designs, develops, markets, and sells athletic footwear, apparel, equipment, accessories, and services worldwide. The company provides athletic and casual footwear, apparel, and accessories under the Jumpman trademark; and casual sneakers, apparel, and accessories under the Converse, Chuck Taylor, All Star, One Star, Star Chevron, and Jack Purcell trademarks. It also sells a line of performance equipment and accessories comprising bags, sport balls, socks, eyewear, timepieces, digital devices, bats, gloves, protective equipment, and other equipment for sports activities under the NIKE brand; and various plastic products to other manufacturers. In addition, the company markets apparel with licensed college and professional team, and league logos, as well as sells sports apparel; and licenses unaffiliated parties to manufacture and sell apparel, digital devices, and applications and other equipment for sports activities under NIKE-owned trademarks. It sells its products to footwear stores; sporting goods stores; athletic specialty stores; department stores; skate, tennis, and golf shops; and other retail accounts through NIKE-owned retail stores, digital platforms, independent distributors, licensees, and sales representatives. NIKE, Inc. was founded in 1964 and is headquartered in Beaverton, Oregon.