Comparing Kohl’s (NYSE:KSS) & LightInTheBox (NYSE:LITB)

Kohl’s (NYSE:KSS) and LightInTheBox (NYSE:LITB) are both small-cap consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, valuation, dividends, profitability, analyst recommendations, institutional ownership and risk.

Earnings and Valuation

This table compares Kohl’s and LightInTheBox”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kohl’s	$15.53 billion	0.12	$272.00 million	$2.29	7.21
LightInTheBox	$227.21 million	0.24	$8.28 million	$0.48	6.29

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

Profitability

This table compares Kohl’s and LightInTheBox’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kohl’s	1.75%	6.75%	2.02%
LightInTheBox	3.91%	-231.00%	13.47%

Analyst Ratings

This is a breakdown of current ratings for Kohl’s and LightInTheBox, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kohl’s	5	8	1	1	1.87
LightInTheBox	0	1	0	0	2.00

Kohl’s presently has a consensus price target of $16.17, suggesting a potential downside of 2.12%. Given Kohl’s’ higher probable upside, equities analysts clearly believe Kohl’s is more favorable than LightInTheBox.

Risk and Volatility

Kohl’s has a beta of 1.37, meaning that its share price is 37% more volatile than the S&P 500. Comparatively, LightInTheBox has a beta of 0.01, meaning that its share price is 99% less volatile than the S&P 500.

Insider & Institutional Ownership

98.0% of Kohl’s shares are owned by institutional investors. Comparatively, 56.8% of LightInTheBox shares are owned by institutional investors. 1.5% of Kohl’s shares are owned by insiders. Comparatively, 62.2% of LightInTheBox shares are owned by 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.

Summary

Kohl’s beats LightInTheBox on 10 of the 15 factors compared between the two stocks.

About Kohl’s

Kohl’s Corporation operates as an omnichannel retailer in the United States. It offers branded apparel, footwear, accessories, beauty, and home products through its stores and website. The company provides its products primarily under the brand names of Croft & Barrow, Jumping Beans, SO, Sonoma Goods for Life, and Tek Gear, as well as Food Network, LC Lauren Conrad, Nine West, and Simply Vera Vera Wang. Kohl’s Corporation was founded in 1988 and is headquartered in Menomonee Falls, Wisconsin.

About LightInTheBox

LightInTheBox Holding Co., Ltd., together with its subsidiaries, operates as an online retailer that delivers products directly to its consumers worldwide. The company provides apparel products; and other general merchandise products, such as small accessories and gadgets, home garden, toys and hobbies, electronics and communication devices, and other products. It also offers supplier chain management, research and development, customer, marketing, warehouse management, local delivery, and fulfillment services, as well as engages in the product sourcing, marketing, and operation of its websites and mobile applications. The company provides its products through www.lightinthebox.com and www.ezbuy.sg, and other websites and mobile applications. LightInTheBox Holding Co., Ltd. was founded in 2007 and is based in Singapore.