Winmark (NASDAQ:WINA) vs. Abercrombie & Fitch (NYSE:ANF) Critical Comparison

Winmark (NASDAQ:WINA – Get Free Report) and Abercrombie & Fitch (NYSE:ANF – Get Free Report) are both consumer discretionary companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, valuation, earnings, risk and analyst recommendations.

Institutional & Insider Ownership

73.3% of Winmark shares are owned by institutional investors. 10.4% of Winmark shares are owned by company insiders. Comparatively, 2.3% of Abercrombie & Fitch shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Winmark and Abercrombie & Fitch’s net margins, return on equity and return on assets.

Valuation & Earnings

This table compares Winmark and Abercrombie & Fitch”s top-line revenue, earnings per share (EPS) and valuation.

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

Risk & Volatility

Winmark has a beta of 0.54, suggesting that its stock price is 46% less volatile than the S&P 500. Comparatively, Abercrombie & Fitch has a beta of 0.97, suggesting that its stock price is 3% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Winmark and Abercrombie & Fitch, as provided by MarketBeat.com.

Abercrombie & Fitch has a consensus target price of $155.38, indicating a potential upside of 13.89%. Given Abercrombie & Fitch’s stronger consensus rating and higher probable upside, analysts plainly believe Abercrombie & Fitch is more favorable than Winmark.

Summary

Abercrombie & Fitch beats Winmark on 9 of the 15 factors compared between the two stocks.

About Winmark

(Get Free Report)

Winmark Corporation, a resale company operates as a franchisor for small business in the United States and Canada. The company franchises retail stores concepts that buy, sell and trade merchandise. It also operates middle-market equipment leasing business. In addition, the company buys and sells used clothing and accessories geared toward the teenage and young adult market under Plato’s Closet brand; and operates stores which buys and sells used and new children’s clothing, toys, furniture, equipment, and accessories primarily to parents of children ages infant to 12 years under the Once Upon A Child brand. Further, it buys, sells, trades in, and used and new sporting goods, equipment, and accessories for various athletic activities including team sports, such as baseball/softball, hockey, football, lacrosse, and soccer, as well as fitness, ski/snowboard, golf, and others under the Play It Again Sports brand; and buys and sells used women’s apparel, shoes, and accessories under the Style Encore brand. Additionally, the company buys, sells, trades in, and used and new musical instruments, speakers, amplifiers, music-related electronics, and related accessories under the Music Go Round brand. Winmark Corporation was incorporated in 1988 and is headquartered in Minneapolis, Minnesota.

About Abercrombie & Fitch

(Get Free Report)

Abercrombie & Fitch Co. engages in the retail of apparel, personal care products, and accessories. The firm operates through following geographical segments: Americas, EMEA and APAC. The Americas segment includes operations in North America and South America. The EMEA segment includes operations in Europe, the Middle East and Africa. The APAC segment includes operations in the Asia-Pacific region, including Asia and Oceania. The company was founded by David Abercrombie in 1892 and is headquartered in New Albany, OH.