Sportsman’s Warehouse (NASDAQ:SPWH) & LuxExperience B.V. (NYSE:LUXE) Critical Contrast

LuxExperience B.V. (NYSE:LUXE) and Sportsman’s Warehouse (NASDAQ:SPWH) are both small-cap consumer discretionary companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, valuation, institutional ownership, analyst recommendations, earnings and risk.

Risk & Volatility

LuxExperience B.V. has a beta of 1.06, suggesting that its share price is 6% more volatile than the S&P 500. Comparatively, Sportsman’s Warehouse has a beta of 0.42, suggesting that its share price is 58% less volatile than the S&P 500.

Insider and Institutional Ownership

10.1% of LuxExperience B.V. shares are held by institutional investors. Comparatively, 83.0% of Sportsman’s Warehouse shares are held by institutional investors. 1.9% of LuxExperience B.V. shares are held by insiders. Comparatively, 3.8% of Sportsman’s Warehouse shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares LuxExperience B.V. and Sportsman’s Warehouse’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LuxExperience B.V.	17.93%	35.63%	21.07%
Sportsman’s Warehouse	-3.94%	-10.50%	-2.29%

Valuation & Earnings

This table compares LuxExperience B.V. and Sportsman’s Warehouse”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LuxExperience B.V.	$1.37 billion	0.46	$620.57 million	$4.09	1.81
Sportsman’s Warehouse	$1.21 billion	0.04	-$50.06 million	($1.23)	-0.97

LuxExperience B.V. has higher revenue and earnings than Sportsman’s Warehouse. Sportsman’s Warehouse is trading at a lower price-to-earnings ratio than LuxExperience B.V., indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings for LuxExperience B.V. and Sportsman’s Warehouse, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LuxExperience B.V.	1	3	2	0	2.17
Sportsman’s Warehouse	1	2	1	0	2.00

LuxExperience B.V. currently has a consensus price target of $9.75, indicating a potential upside of 31.85%. Sportsman’s Warehouse has a consensus price target of $2.12, indicating a potential upside of 78.57%. Given Sportsman’s Warehouse’s higher possible upside, analysts clearly believe Sportsman’s Warehouse is more favorable than LuxExperience B.V..

Summary

LuxExperience B.V. beats Sportsman’s Warehouse on 11 of the 14 factors compared between the two stocks.

About LuxExperience B.V.

MYT Netherlands Parent B.V., through its subsidiary, Mytheresa Group GmbH, operates a luxury e-commerce platform for fashion consumers in Germany, the United States, the rest of Europe, and internationally. The company sells clothes, bags, shoes, accessories, and fine jewelry through online and retail stores. It serves high-income luxury consumers. The company was founded in 1987 and is based in Munich, Germany.

About Sportsman’s Warehouse

Sportsman’s Warehouse Holdings, Inc. engages in the retail of sporting and athletic goods. Its products include hunting and shooting, archery, fishing, camping, boating accessories, optics and electronics, knives and tools, and footwear. The company was founded in 1986 and is headquartered in West Jordan, UT.