Capri (NYSE:CPRI) and Adidas (OTCMKTS:ADDYY) Head to Head Analysis

Adidas (OTCMKTS:ADDYY – Get Free Report) and Capri (NYSE:CPRI – Get Free Report) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, profitability, valuation, institutional ownership, analyst recommendations, risk and dividends.

Valuation and Earnings

This table compares Adidas and Capri”s gross revenue, earnings per share and valuation.

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

Insider & Institutional Ownership

84.3% of Capri shares are held by institutional investors. 2.6% of Capri shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Risk and Volatility

Adidas has a beta of 1.24, meaning that its stock price is 24% more volatile than the S&P 500. Comparatively, Capri has a beta of 1.35, meaning that its stock price is 35% more volatile than the S&P 500.

Profitability

This table compares Adidas and Capri’s net margins, return on equity and return on assets.

Analyst Recommendations

This is a summary of current recommendations and price targets for Adidas and Capri, as reported by MarketBeat.com.

Adidas currently has a consensus price target of $146.02, indicating a potential upside of 81.14%. Capri has a consensus price target of $21.93, indicating a potential upside of 51.65%. Given Adidas’ stronger consensus rating and higher probable upside, equities analysts clearly believe Adidas is more favorable than Capri.

Summary

Adidas beats Capri on 10 of the 14 factors compared between the two stocks.

About Adidas

(Get Free Report)

adidas AG, together with its subsidiaries, designs, develops, produces, and markets athletic and sports lifestyle products in Europe, the Middle East, Africa, North America, Greater China, the Asia-Pacific, and Latin America. It offers footwear, apparel, and accessories and gear, such as bags and balls under the adidas brand; golf footwear and apparel under the adidas Golf brand; and outdoor footwear under the Five Ten brand. It sells its products through its own retail stores; mono-branded franchise stores and shop-in-shops; and wholesale and its e-commerce channels. The company was formerly known as adidas-Salomon AG and changed its name to adidas AG in June 2006. adidas AG was founded in 1920 and is headquartered in Herzogenaurach, Germany.

About Capri

(Get Free Report)

Capri Holdings Limited designs, markets, distributes, and retails branded women's and men's apparel, footwear, and accessories in the United States, Canada, Latin America, Europe, the Middle East, Africa, and Asia. It operates through three segments: Versace, Jimmy Choo, and Michael Kors. The company offers ready-to-wear, accessories, footwear, handbags, scarves and belts, small leather goods, eyewear, watches, jewelry, fragrances, and home furnishings through a distribution network, including boutiques, department, and specialty stores, as well as through e-commerce sites. It also engages in licensing agreements to the manufacture and sale of watches, jewelry, eyewear, and fragrances. The company was formerly known as Michael Kors Holdings Limited and changed its name to Capri Holdings Limited in December 2018. Capri Holdings Limited was founded in 1981 and is headquartered in London, the United Kingdom.