Comparing SharkNinja (NYSE:SN) and KB Home (NYSE:KBH)

KB Home (NYSE:KBH) and SharkNinja (NYSE:SN) are both consumer discretionary companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, valuation, risk, dividends, institutional ownership, profitability and analyst recommendations.

Institutional and Insider Ownership

96.1% of KB Home shares are held by institutional investors. Comparatively, 34.8% of SharkNinja shares are held by institutional investors. 4.7% of KB Home shares are held by insiders. Comparatively, 40.8% of SharkNinja shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current recommendations and price targets for KB Home and SharkNinja, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KB Home	3	10	4	0	2.06
SharkNinja	0	0	12	0	3.00

KB Home currently has a consensus target price of $52.23, suggesting a potential upside of 11.75%. SharkNinja has a consensus target price of $192.01, suggesting a potential downside of 2.91%. Given KB Home’s higher probable upside, equities analysts clearly believe KB Home is more favorable than SharkNinja.

Profitability

This table compares KB Home and SharkNinja’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KB Home	N/A	N/A	N/A
SharkNinja	N/A	N/A	N/A

Valuation and Earnings

This table compares KB Home and SharkNinja”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KB Home	$5.18 billion	0.55	$215.71 million	$3.55	13.17
SharkNinja	N/A	N/A	N/A	$4.90	40.36

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

Summary

SharkNinja beats KB Home on 4 of the 7 factors compared between the two stocks.

About KB Home

KB Home operates as a homebuilding company in the United States. It operates through four segments: West Coast, Southwest, Central, and Southeast. It builds and sells various homes, including attached and detached single-family residential homes, townhomes, and condominiums primarily for first-time, first move-up, second move-up, and active adult homebuyers. The company also provides financial services, such as insurance products and title services, as well as mortgage banking services, including residential consumer mortgage loans to homebuyers. It has operations in Arizona, California, Colorado, Florida, Idaho, Nevada, North Carolina, Texas, and Washington. The company was formerly known as Kaufman and Broad Home Corporation and changed its name to KB Home in January 2001. KB Home was founded in 1957 and is based in Los Angeles, California.

About SharkNinja

SharkNinja, Inc., a product design and technology company, engages in the provision of various solutions for consumers worldwide. It offers cleaning appliances, including corded and cordless vacuums, including handheld and robotic vacuums, as well as other floorcare products comprising steam mops, wet/dry cleaning floor products, and carpet extraction; cooking and beverage appliances, such as air fryers, multi-cookers, outdoor and countertop grills and ovens, coffee systems, carbonation, cookware, cutlery, kettles, toasters and bakeware; food preparation appliances comprising blenders, food processors, ice cream makers, and juicers; and beauty appliances, such as hair dryers and stylers, as well as home environment products comprising air purifiers and humidifiers. The company sells its products through traditional brick-and-mortar retail channels and e-commerce channels, distributors, and direct-to-consumer channels under the Shark and Ninja brands. SharkNinja, Inc. was incorporated in 2017 and is headquartered in Needham, Massachusetts.