Camping World (NYSE:CWH) & Torrid (NYSE:CURV) Critical Survey

Torrid (NYSE:CURV) and Camping World (NYSE:CWH) are both small-cap consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, profitability, risk, earnings, dividends and institutional ownership.

Analyst Ratings

This is a breakdown of current recommendations for Torrid and Camping World, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Torrid	2	5	1	0	1.88
Camping World	2	0	10	0	2.67

Torrid presently has a consensus price target of $1.81, indicating a potential downside of 11.37%. Camping World has a consensus price target of $11.02, indicating a potential upside of 161.47%. Given Camping World’s stronger consensus rating and higher probable upside, analysts clearly believe Camping World is more favorable than Torrid.

Institutional and Insider Ownership

81.8% of Torrid shares are held by institutional investors. Comparatively, 52.5% of Camping World shares are held by institutional investors. 6.5% of Torrid shares are held by company insiders. Comparatively, 2.1% of Camping World shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Torrid and Camping World’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Torrid	-0.94%	N/A	-4.49%
Camping World	-1.55%	-3.52%	-0.28%

Earnings & Valuation

This table compares Torrid and Camping World”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Torrid	$1.00 billion	0.20	-$7.03 million	($0.09)	-22.72
Camping World	$6.27 billion	0.07	-$89.80 million	($1.55)	-2.72

Torrid has higher earnings, but lower revenue than Camping World. Torrid is trading at a lower price-to-earnings ratio than Camping World, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Torrid has a beta of 0.69, indicating that its stock price is 31% less volatile than the S&P 500. Comparatively, Camping World has a beta of 2.15, indicating that its stock price is 115% more volatile than the S&P 500.

About Torrid

Torrid Holdings Inc. operates in women’s plus-size apparel and intimates market in North America. The company designs, develops, and merchandises its products under the Torrid, Torrid Curve, CURV, and Lovesick brand names. It is involved in the sale of tops, bottoms, dresses, denims, activewear, intimates, sleep wear, swim wear, and outerwear products; and non-apparel products comprising accessories, footwear, and beauty products. The company sells its products directly to consumers through its e-commerce platform and its physical stores. Torrid Holdings Inc. was incorporated in 2019 and is headquartered in City Of Industry, California.

About Camping World

Camping World Holdings, Inc., together its subsidiaries, retails recreational vehicles (RVs), and related products and services in the United States. It operates in two segments, Good Sam Services and Plans; and RV and Outdoor Retail. The company provides a portfolio of services, protection plans, products, and resources in the RV industry. It also offers extended vehicle service contracts; roadside assistance plans; property and casualty insurance programs; travel planning and directories; and publications, as well as operates the Coast to Coast Resorts and Good Sam Campgrounds. In addition, the company provides new and used RVs; vehicle financing; RV repair and maintenance services; various RV parts, equipment, supplies, and accessories, which include towing and hitching products, satellite and GPS systems, electrical and lighting products, appliances and furniture, and other products; and collision repair services comprising fiberglass front and rear cap replacement, windshield replacement, interior remodel solutions, and paint and body work. Further, it offers equipment, gears, and supplies for camping, hunting, fishing, skiing, snowboarding, bicycling, skateboarding, and marine and watersports equipment and supplies, as well as operates Good Sam Club, a membership organization that offers savings on a range of products and services and provides co-branded credit cards. Additionally, the company facilitates an RV rental platform that connects travelers with RV owners; and designs, manufactures, and distributes RV and camping furniture, as well as a range of outdoor products and accessories. It serves customers through dealerships, and online and e-commerce platforms. Camping World Holdings, Inc. was founded in 1966 and is headquartered in Lincolnshire, Illinois.