Li Ning (OTCMKTS:LNNGY) vs. Lulu’s Fashion Lounge (NASDAQ:LVLU) Financial Comparison
by Doug Wharley · The Cerbat GemLulu’s Fashion Lounge (NASDAQ:LVLU – Get Free Report) and Li Ning (OTCMKTS:LNNGY – Get Free Report) are both retail/wholesale companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, profitability, risk, dividends, earnings and analyst recommendations.
Institutional & Insider Ownership
73.8% of Lulu’s Fashion Lounge shares are held by institutional investors. 6.8% of Lulu’s Fashion Lounge shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Profitability
This table compares Lulu’s Fashion Lounge and Li Ning’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Lulu’s Fashion Lounge | -4.86% | -308.76% | -12.91% |
| Li Ning | N/A | N/A | N/A |
Volatility and Risk
Lulu’s Fashion Lounge has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500. Comparatively, Li Ning has a beta of 0.52, suggesting that its share price is 48% less volatile than the S&P 500.
Analyst Ratings
This is a summary of current ratings and price targets for Lulu’s Fashion Lounge and Li Ning, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Lulu’s Fashion Lounge | 1 | 0 | 0 | 0 | 1.00 |
| Li Ning | 0 | 1 | 0 | 1 | 3.00 |
Valuation and Earnings
This table compares Lulu’s Fashion Lounge and Li Ning”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Lulu’s Fashion Lounge | $282.28 million | 0.11 | -$55.29 million | ($4.91) | -2.31 |
| Li Ning | $4.12 billion | 1.75 | $408.41 million | N/A | N/A |
Li Ning has higher revenue and earnings than Lulu’s Fashion Lounge.
Summary
Li Ning beats Lulu’s Fashion Lounge on 8 of the 11 factors compared between the two stocks.
About Lulu’s Fashion Lounge
Lulu’s Fashion Lounge Holdings, Inc. engages in providing an online website for clothing. It offers retailing of women’s clothing, shoes, and accessories. The company was founded in 1996 and is headquartered in Chico, CA.
About Li Ning
Li Ning Company Limited, a sports brand company, engages in the research and development, design, manufacture, marketing, distribution, and retail of sporting goods in the People’s Republic of China. The company offers sporting goods, including professional and leisure footwear, apparel, equipment, and accessories under the LI-NING brand. It also develops, manufactures, markets, distributes, and/or sells outdoor sports products under the AIGLE brand; table tennis products under the Double Happiness brand name; fashionable fitness products for dance and yoga under the Danskin brand; and badminton products under the Kason brand name. The company also provides brand licensing, administrative, and property management services. It operates conventional stores, flagship stores, China LI-NING stores, LI-NING 1990 stores, factory outlets, and multi-brand stores under the LI-NING brand. The company was founded in 1990 and is headquartered in Beijing, the People’s Republic of China.