Financial Survey: Ralph Lauren (NYSE:RL) and Nitches (OTCMKTS:NICH)

Nitches (OTCMKTS:NICH) and Ralph Lauren (NYSE:RL) are both consumer discretionary companies, but which is the better business? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, profitability, analyst recommendations, risk and valuation.

Insider & Institutional Ownership

67.9% of Ralph Lauren shares are owned by institutional investors. 23.2% of Nitches shares are owned by company insiders. Comparatively, 38.3% of Ralph Lauren shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Nitches and Ralph Lauren”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nitches	N/A	N/A	-$2.84 million	N/A	N/A
Ralph Lauren	$7.08 billion	3.04	$742.90 million	$13.53	26.27

Ralph Lauren has higher revenue and earnings than Nitches.

Volatility & Risk

Nitches has a beta of 1.54, indicating that its share price is 54% more volatile than the S&P 500. Comparatively, Ralph Lauren has a beta of 1.52, indicating that its share price is 52% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Nitches and Ralph Lauren, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nitches	0	0	0	0	0.00
Ralph Lauren	1	4	15	2	2.82

Ralph Lauren has a consensus price target of $349.63, indicating a potential downside of 1.64%. Given Ralph Lauren’s stronger consensus rating and higher possible upside, analysts plainly believe Ralph Lauren is more favorable than Nitches.

Profitability

This table compares Nitches and Ralph Lauren’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nitches	N/A	N/A	N/A
Ralph Lauren	11.28%	36.18%	12.66%

Summary

Ralph Lauren beats Nitches on 11 of the 12 factors compared between the two stocks.

About Nitches

Nitches Inc. engages in the production and distribution of household, lifestyle, travel and leisure, sports goods, and clothing items. It also develops NITCHES OVS, an owner verification system (OVS) mobile application that can be used to verify authenticity and ownership of Nitches' luxury products, apparels, and streetwear clothing items. The company sells its products through on-line store on the Nitches website, nitchescorp.com/brands/. Nitches Inc. was formerly known as Beebas Creations Inc. and changed its name to Nitches Inc. in July 1992. The company was founded in 1971 and is based in Las Vegas, California.

About Ralph Lauren

Ralph Lauren Corporation designs, markets, and distributes lifestyle products in North America, Europe, Asia, and internationally. The company offers apparel, including a range of men’s, women’s, and children’s clothing; footwear and accessories, which comprise casual shoes, dress shoes, boots, sneakers, sandals, eyewear, watches, fashion and fine jewelry, scarves, hats, gloves, and umbrellas, as well as leather goods, such as handbags, luggage, small leather goods, and belts; home products consisting of bed and bath lines, furniture, fabric and wallcoverings, floor coverings, lighting, tabletop, kitchen linens, floor coverings, dining, decorative accessories, and giftware; and fragrances. It sells apparel and accessories under the Ralph Lauren Collection, Ralph Lauren Purple Label, Polo Ralph Lauren, Double RL, Lauren Ralph Lauren, Polo Golf Ralph Lauren, Ralph Lauren Golf, RLX Ralph Lauren, Polo Ralph Lauren Children, and Chaps brands; women’s fragrances under the Ralph Lauren Collection, Woman by Ralph Lauren, Romance Collection, and Ralph Collection brand names; and men’s fragrances under the Ralph’s Club, Purple Label, Polo Blue, Polo Red, Polo Green, Polo Black, Polo 67, Safari, Polo Sport, and Big Pony Men’s brand names. The company’s restaurant collection includes The Polo Bar in New York City; RL Restaurant in Chicago; Ralph’s in Paris; The Bar at Ralph Lauren located in Milan; Ralph’s Bar located in Chengdu, China; and Ralph’s Coffee concept. It sells its products to department stores, specialty stores, and golf and pro shops, as well as directly to consumers through its retail stores, concession-based shop-within-shops, and its digital commerce sites. The company directly operates retail stores and concession-based shop-within-shops; and operates Ralph Lauren stores and stores and shops through licensing partners. Ralph Lauren Corporation was founded in 1967 and is headquartered in New York, New York.