Head-To-Head Contrast: Columbia Sportswear (NASDAQ:COLM) versus Innovative Designs (OTCMKTS:IVDN)

Columbia Sportswear (NASDAQ:COLM) and Innovative Designs (OTCMKTS:IVDN) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, risk, profitability, earnings and valuation.

Profitability

This table compares Columbia Sportswear and Innovative Designs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Columbia Sportswear	4.98%	11.78%	7.01%
Innovative Designs	21.73%	31.18%	28.17%

Volatility & Risk

Columbia Sportswear has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500. Comparatively, Innovative Designs has a beta of -2.86, meaning that its share price is 386% less volatile than the S&P 500.

Earnings & Valuation

This table compares Columbia Sportswear and Innovative Designs”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Columbia Sportswear	$3.40 billion	0.95	$177.22 million	$3.14	20.19
Innovative Designs	$2.77 million	4.17	$500,000.00	$0.03	10.00

Columbia Sportswear has higher revenue and earnings than Innovative Designs. Innovative Designs is trading at a lower price-to-earnings ratio than Columbia Sportswear, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Columbia Sportswear and Innovative Designs, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Columbia Sportswear	2	4	2	1	2.22
Innovative Designs	0	0	0	0	0.00

Columbia Sportswear currently has a consensus price target of $62.67, indicating a potential downside of 1.14%. Given Columbia Sportswear’s stronger consensus rating and higher possible upside, equities analysts clearly believe Columbia Sportswear is more favorable than Innovative Designs.

Insider and Institutional Ownership

47.8% of Columbia Sportswear shares are held by institutional investors. 51.9% of Columbia Sportswear shares are held by company insiders. Comparatively, 24.4% of Innovative Designs shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Columbia Sportswear beats Innovative Designs on 11 of the 15 factors compared between the two stocks.

About Columbia Sportswear

Columbia Sportswear Company, together with its subsidiaries, designs, develops, markets, and distributes outdoor, active, and everyday lifestyle apparel, footwear, accessories, and equipment in the United States, Latin America, the Asia Pacific, Europe, the Middle East, Africa, and Canada. The company provides apparel, accessories, and equipment for hiking, trail running, snow, fishing, hunting, mountaineering, climbing, skiing and snowboarding, trail, and outdoor activities. It offers footwear products that include lightweight hiking boot; trail running shoes; rugged cold weather boots; sandals and shoes for use in water activities; and footwear for lifestyle wear. In addition, it owned network of branded and outlet retail stores; brand-specific e-commerce sites; and concession or franchise-based arrangements with third parties at branded outlet and shop-in-shop retail locations, as well as through independently operated specialty outdoor and sporting goods stores, sporting goods chains, department store chains, internet retailers, and international distributors. The company sells its products under the Columbia, Mountain Hard Wear, SOREL, and prAna brand names. Columbia Sportswear Company was founded in 1938 and is headquartered in Portland, Oregon.

About Innovative Designs

Innovative Designs, Inc. engages in manufacture and marketing of cold weather recreational and industrial clothing products in the United States and Canada. The company operates in two segments, Apparel and House Wrap. It offers arctic armor line products, including jackets, bibs, and gloves for ice fisherman, snowmobilers, utility workers, oil/gas pipeline workers, railroad workers, construction workers, ski resort workers, and police and first responders; and house wrap that provides barrier protection and moisture vapor transmission and insulation for the building construction industry. In addition, it offers INSULTEX material in bulk to non-competing customers; products that restore the waterproof character of the outer side of its arctic armor clothing; and cold weather headgears and base insulation clothing products. The company primarily sells its products through independent sales agents, agencies, retailers, and distributors, as well as through website. The company was incorporated in 2002 and is based in Pittsburgh, Pennsylvania.