Analyzing THG (OTCMKTS:THGPF) and Savers Value Village (NYSE:SVV)

Savers Value Village (NYSE:SVV) and THG (OTCMKTS:THGPF) are both consumer discretionary companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, analyst recommendations, dividends, institutional ownership and profitability.

Profitability

This table compares Savers Value Village and THG’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Savers Value Village	1.42%	14.58%	3.12%
THG	N/A	N/A	N/A

Earnings & Valuation

This table compares Savers Value Village and THG”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Savers Value Village	$1.68 billion	0.99	$22.64 million	$0.16	67.38
THG	N/A	N/A	N/A	N/A	N/A

Savers Value Village has higher revenue and earnings than THG.

Insider & Institutional Ownership

98.8% of Savers Value Village shares are held by institutional investors. 3.5% of Savers Value Village 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.

Analyst Ratings

This is a breakdown of current ratings and target prices for Savers Value Village and THG, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Savers Value Village	1	3	4	0	2.38
THG	0	0	0	0	0.00

Savers Value Village presently has a consensus price target of $14.00, suggesting a potential upside of 29.87%. Given Savers Value Village’s stronger consensus rating and higher possible upside, analysts clearly believe Savers Value Village is more favorable than THG.

Summary

Savers Value Village beats THG on 9 of the 9 factors compared between the two stocks.

About Savers Value Village

Savers Value Village, Inc. sells second-hand merchandise in retail stores in the United States, Canada, and Australia. It operates stores under the Savers, Value Village, Value Village Boutique, Village des Valeurs, Unique, and 2nd Avenue brands. The company purchases secondhand textiles, including clothing, bedding, and bath items; shoes; accessories; housewares; books; and other goods from non-profit partners and then processes, selects, prices, merchandises, and sells them in its stores. It serves retail and wholesale customers. The company was formerly known as S-Evergreen Holding LLC and changed its name to Savers Value Village, Inc. in January 2022. Savers Value Village, Inc. was founded in 1954 and is based in Bellevue, Washington.

About THG

THG Plc operates as an e-commerce technology company in the United Kingdom, the United States, Europe, and internationally. The company operates through THG Beauty, THG Nutrition, and THG Ingenuity segments. The THG Beauty segment manufactures and retails skincare, haircare, cosmetics, body care, and fragrance; and operates spa and experience venues, as well as luxury clothing and homeware. This segment offers its products through websites, such as Lookfantastic, Dermstore, Cult Beauty. The THG Nutrition segment offers sports nutrition, vegan products, vitamins, bars and snacks and sportswear under the Myprotein, Myvegan, Myvitamins, MP Activewear, and MyPRO brands. The THG Ingenuity segment provides digital commerce solution, including media related services. It also engages in provision of website development services; procurement services; online advertising; franchising and consultancy services; hairdressing salon business; warehouse and distribution; manufacturing services; translation and interpretation services; financial and businesses newspaper; and operates hotel. In addition, the company is involved in website development, environmental consulting, distributes motion pictures; recovers sorted metals; and produces visual content. The company was formerly known as THG Holdings plc and changed its name to THG Plc in January 2021. THG Plc was founded in 2004 and is based in Altrincham, the United Kingdom.