Financial Analysis: ASICS (ASCCF) and Its Competitors

ASICS (OTCMKTS:ASCCF) is one of 118 publicly-traded companies in the “Textiles, Apparel & Luxury Goods” industry, but how does it weigh in compared to its peers? We will compare ASICS to similar businesses based on the strength of its earnings, risk, analyst recommendations, valuation, institutional ownership, profitability and dividends.

Dividends

ASICS pays an annual dividend of $13.55 per share and has a dividend yield of 45.3%. ASICS pays out 7.9% of its earnings in the form of a dividend. As a group, “Textiles, Apparel & Luxury Goods” companies pay a dividend yield of 3.2% and pay out 22.9% of their earnings in the form of a dividend. ASICS is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Valuation and Earnings

This table compares ASICS and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ASICS	N/A	N/A	0.17
ASICS Competitors	$5.69 billion	$478.19 million	27.52

ASICS’s peers have higher revenue and earnings than ASICS. ASICS is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for ASICS and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ASICS	0	0	1	0	3.00
ASICS Competitors	1587	7620	10200	342	2.47

As a group, “Textiles, Apparel & Luxury Goods” companies have a potential upside of 17.64%. Given ASICS’s peers higher probable upside, analysts clearly believe ASICS has less favorable growth aspects than its peers.

Institutional and Insider Ownership

22.2% of ASICS shares are held by institutional investors. Comparatively, 54.5% of shares of all “Textiles, Apparel & Luxury Goods” companies are held by institutional investors. 16.3% of shares of all “Textiles, Apparel & Luxury Goods” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares ASICS and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ASICS	N/A	N/A	N/A
ASICS Competitors	-3.32%	13.14%	2.59%

Summary

ASICS peers beat ASICS on 8 of the 13 factors compared.

ASICS Company Profile

ASICS Corporation manufactures and sells sporting goods in Japan, North America, Europe, China, Oceania, Southeast and South Asia, and internationally. It offers running shoes, apparel, and sports accessories and equipment. The company sells its products under the ASICS, ASICSTIGER, and Onitsuka Tiger brands through retail stores, as well as online. ASICS Corporation was incorporated in 1943 and is headquartered in Kobe, Japan.