Head to Head Analysis: ODP (NASDAQ:ODP) & SIGNA Sports United (NYSE:SSU)

ODP (NASDAQ:ODP – Get Rating) and SIGNA Sports United (NYSE:SSU – Get Rating) are both small-cap retail/wholesale companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, earnings, valuation, profitability, analyst recommendations and risk.

Insider & Institutional Ownership

97.0% of ODP shares are owned by institutional investors. Comparatively, 11.6% of SIGNA Sports United shares are owned by institutional investors. 3.0% of ODP shares are owned by company insiders. Comparatively, 0.4% of SIGNA Sports United shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares ODP and SIGNA Sports United’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ODP	1.96%	14.92%	4.92%
SIGNA Sports United	N/A	N/A	N/A

Earnings and Valuation

This table compares ODP and SIGNA Sports United’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ODP	$8.49 billion	0.22	$166.00 million	$3.34	13.77
SIGNA Sports United	$1.06 billion	1.62	-$613.33 million	N/A	N/A

ODP has higher revenue and earnings than SIGNA Sports United.

Analyst Recommendations

This is a summary of current ratings and target prices for ODP and SIGNA Sports United, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ODP	0	1	0	0	2.00
SIGNA Sports United	0	2	0	0	2.00

ODP presently has a consensus price target of $41.00, suggesting a potential downside of 10.87%. SIGNA Sports United has a consensus price target of $5.10, suggesting a potential upside of 14.61%. Given SIGNA Sports United’s higher possible upside, analysts clearly believe SIGNA Sports United is more favorable than ODP.

Volatility & Risk

ODP has a beta of 1.83, meaning that its stock price is 83% more volatile than the S&P 500. Comparatively, SIGNA Sports United has a beta of -0.03, meaning that its stock price is 103% less volatile than the S&P 500.

Summary

ODP beats SIGNA Sports United on 8 of the 10 factors compared between the two stocks.

About ODP

(Get Rating)

The ODP Corp. is a holding company, which engages in the provision of business services and supplies, products, and digital workplace technology solutions. It operates through the following divisions: ODP Business Solutions, Office Depot, Veyer, and Varis. The ODP Business Solutions division provides solutions to small, medium and enterprise level companies, including those in the public and education sectors. The Office Depot division covers the provision of solutions through omni-channel platform of 980 Office Depot and OfficeMax retail locations in the United States, Puerto Rico and the U.S. Virgin Islands, and an eCommerce presence. The Veyer division is the supply chain, distribution, procurement, and global sourcing operation. The Varis division includes the tech-enabled B2B indirect procurement marketplace. The company was founded in 1986 and is headquartered in Boca Raton, FL.

About SIGNA Sports United

(Get Rating)

SIGNA Sports United N.V. operates online sports web shops in the European Union, Switzerland, Norway, the United Kingdom, and the United States. Its product categories include bike, tennis/racket sports, outdoor, and team sports and athleisure. The company is headquartered in Berlin, Germany.