Sportsman’s Warehouse (NASDAQ:SPWH) & FIGS (NYSE:FIGS) Head to Head Contrast

FIGS (NYSE:FIGS) and Sportsman’s Warehouse (NASDAQ:SPWH) are both retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, profitability, dividends, institutional ownership, valuation, analyst recommendations and earnings.

Volatility & Risk

FIGS has a beta of 1.21, indicating that its share price is 21% more volatile than the S&P 500. Comparatively, Sportsman’s Warehouse has a beta of 0.6, indicating that its share price is 40% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
FIGS	5.43%	8.41%	6.33%
Sportsman’s Warehouse	-3.05%	-7.20%	-1.72%

Insider and Institutional Ownership

92.2% of FIGS shares are owned by institutional investors. Comparatively, 83.0% of Sportsman’s Warehouse shares are owned by institutional investors. 29.4% of FIGS shares are owned by company insiders. Comparatively, 1.8% of Sportsman’s Warehouse shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares FIGS and Sportsman’s Warehouse”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FIGS	$631.10 million	4.03	$34.25 million	$0.19	81.42
Sportsman’s Warehouse	$1.20 billion	0.04	-$33.06 million	($0.97)	-1.43

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

Analyst Ratings

This is a breakdown of recent recommendations and price targets for FIGS and Sportsman’s Warehouse, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FIGS	0	5	3	2	2.70
Sportsman’s Warehouse	1	1	4	0	2.50

FIGS presently has a consensus target price of $12.25, suggesting a potential downside of 20.81%. Sportsman’s Warehouse has a consensus target price of $2.95, suggesting a potential upside of 112.23%. Given Sportsman’s Warehouse’s higher probable upside, analysts clearly believe Sportsman’s Warehouse is more favorable than FIGS.

Summary

FIGS beats Sportsman’s Warehouse on 12 of the 15 factors compared between the two stocks.

About FIGS

FIGS, Inc. operates as a direct-to-consumer healthcare apparel and lifestyle company in the United States and internationally. It designs and sells healthcare apparel and scrubwear and non-scrubwear offerings, such as outerwear, underscrubs, footwear, compression socks, lab coats, loungewear, and other apparel. It also offers sports bras, performance leggings, tops, super-soft pima cotton tops, vests, fleeces, and jackets; necessities, scrub caps, lanyards, badge reels, tote bags, baseball caps, and beanies. The company markets and sells its products to healthcare professionals through its direct-to-consumer digital platform comprising website, mobile app, and B2B business, as well as retail store. FIGS, Inc. was founded in 2013 and is headquartered in Santa Monica, California. FIGS, Inc.

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.