Edgewell Personal Care (NYSE:EPC) vs. Tokyo Lifestyle (NASDAQ:TKLF) Head to Head Comparison
by Mitch Edgeman · The Markets DailyTokyo Lifestyle (NASDAQ:TKLF – Get Free Report) and Edgewell Personal Care (NYSE:EPC – Get Free Report) are both small-cap consumer staples companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, valuation, dividends, risk, profitability, analyst recommendations and institutional ownership.
Risk & Volatility
Tokyo Lifestyle has a beta of 0.05, meaning that its stock price is 95% less volatile than the S&P 500. Comparatively, Edgewell Personal Care has a beta of 0.59, meaning that its stock price is 41% less volatile than the S&P 500.
Earnings & Valuation
This table compares Tokyo Lifestyle and Edgewell Personal Care”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Tokyo Lifestyle | $210.12 million | 0.05 | $6.64 million | N/A | N/A |
| Edgewell Personal Care | $2.22 billion | 0.41 | $25.40 million | ($0.85) | -22.88 |
Edgewell Personal Care has higher revenue and earnings than Tokyo Lifestyle.
Analyst Ratings
This is a summary of recent recommendations and price targets for Tokyo Lifestyle and Edgewell Personal Care, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Tokyo Lifestyle | 1 | 0 | 0 | 0 | 1.00 |
| Edgewell Personal Care | 1 | 4 | 3 | 0 | 2.25 |
Edgewell Personal Care has a consensus price target of $23.67, indicating a potential upside of 21.67%. Given Edgewell Personal Care’s stronger consensus rating and higher possible upside, analysts clearly believe Edgewell Personal Care is more favorable than Tokyo Lifestyle.
Dividends
Tokyo Lifestyle pays an annual dividend of $0.08 per share and has a dividend yield of 3.4%. Edgewell Personal Care pays an annual dividend of $0.60 per share and has a dividend yield of 3.1%. Edgewell Personal Care pays out -70.6% of its earnings in the form of a dividend.
Insider & Institutional Ownership
91.9% of Edgewell Personal Care shares are owned by institutional investors. 75.4% of Tokyo Lifestyle shares are owned by company insiders. Comparatively, 3.0% of Edgewell Personal Care shares are owned 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.
Profitability
This table compares Tokyo Lifestyle and Edgewell Personal Care’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Tokyo Lifestyle | N/A | N/A | N/A |
| Edgewell Personal Care | -1.76% | 7.16% | 2.90% |
Summary
Edgewell Personal Care beats Tokyo Lifestyle on 11 of the 14 factors compared between the two stocks.
About Tokyo Lifestyle
Yoshitsu Co., Ltd engages in the retail and wholesale of beauty, health, and other products. It offers beauty products, such as cosmetics comprising of foundation, powder, concealer, makeup remover, eyeliner, eye shadow, brow powder, brow pencil, mascara, lip gloss, lipstick, and nail polish; skin care products consisting of facial cleanser, whitening products, sun block, moisturizer, facial mask, eye mask, eye gel, and exfoliating; and cosmetic applicators, such as brush, puff, curler, hair iron, and shaver products. The company also provides body care products, such as shampoo, conditioner, and body wash; and fragrance products consisting of perfume and cologne for women and men. In addition, the company provides facial wash, firming lotion, astringent, and moisturizer products for men; and lip balm, lotion, shampoo, soap, and essence oil for children. Further, the company offers OTC drugs for the treatment of common ailments, such as colds, headaches, stomach pain, cough, and eye strains, as well as medical supplies and devices, including bandages, masks, thermometers, disinfectant sprays, eye masks, contact lens, and contact lens cleaners and solutions. Additionally, the company provides vitamins, minerals, fiber supplements, nutritional yeast, dietary products, and other nutritional supplements; bedding and bath products, and car supplies; and food, alcoholic beverages, and miscellaneous products. It directly operates physical stores in Japan and Hong Kong; online stores in Japan, China, and Korea; and franchise stores in the United States, Canada, and the United Kingdom, as well as wholesale customers in Japan, China, the United States, and Canada. The company was incorporated in 2006 and is headquartered in Tokyo, Japan.
About Edgewell Personal Care
Edgewell Personal Care Company is a manufacturer and marketer of personal care products in the wet shave, sun and skin care, feminine care and infant care categories. As of September 30, 2016, the Company had a portfolio of over 25 brands. It manages its business in four segments: Wet Shave, Sun and Skin Care, Feminine Care and All Other. Its Wet shave products are sold under the Schick, Wilkinson Sword, Edge, Skintimate, Shave Guard and Personna brand names. Its Sun and Skin Care products are sold under the Banana Boat, Hawaiian Tropic, Wet Ones and Playtex brand names and offers Wet Ones, portable hand wipes category, and Playtex household gloves, the branded household glove in the United States. Its Feminine Care segment markets its products under the Playtex, Stayfree, Carefree and o.b. brands and markets pads and liners. Its All Other segment includes infant care, pet care and miscellaneous other products.