Reviewing Clarus (NASDAQ:CLAR) & B2Digital (OTCMKTS:BTDG)

B2Digital (OTCMKTS:BTDG) and Clarus (NASDAQ:CLAR) are both consumer cyclical companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Insider & Institutional Ownership

81.5% of Clarus shares are held by institutional investors. 0.2% of B2Digital shares are held by company insiders. Comparatively, 22.4% of Clarus shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings for B2Digital and Clarus, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
B2Digital	0	0	0	0	N/A
Clarus	0	2	3	0	2.60

Clarus has a consensus price target of $15.83, suggesting a potential upside of 132.84%.

Profitability

This table compares B2Digital and Clarus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
B2Digital	N/A	N/A	N/A
Clarus	-19.79%	7.09%	4.07%

Earnings and Valuation

This table compares B2Digital and Clarus’ top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
B2Digital	N/A	N/A	N/A	($0.01)	N/A
Clarus	$448.11 million	0.57	-$69.78 million	($2.15)	-3.16

B2Digital has higher earnings, but lower revenue than Clarus. Clarus is trading at a lower price-to-earnings ratio than B2Digital, indicating that it is currently the more affordable of the two stocks.

Summary

Clarus beats B2Digital on 6 of the 9 factors compared between the two stocks.

About B2Digital

B2Digital, Incorporated operates as a live event sports company in the United States. The operates in two segments, The B2 Fighting Series and The Official B2 Training Facilities. The B2 Fighting Series segment engages in the scheduling, organizing, producing, and marketing live mixed martial arts (MMA) events; selling of live event ticket and pay-per-view tickets; and provision of content media marketing services. The B2 Training Facilities segment operates two ONE More Gym centers, which offers fitness facility memberships, MMA training resources, and recruiting functional services under the ONE More Gym brand name. B2Digital, Incorporated was incorporated in 2004 and is based in Tampa, Florida.

About Clarus

Clarus Corporation designs, develops, manufactures, and distributes outdoor equipment and lifestyle products focusing on the outdoor and consumer markets in the United States, Canada, Europe, the Middle East, Asia, Australia, New Zealand, Africa, and South America. Its Outdoor segment offers shells, insulation, midlayers, pants, and logowear; carabiners, protection devices, harnesses, belay devices, helmets, and ice-climbing gears; technical backpacks and day packs; trekking poles; headlamps and lanterns; gloves and mittens; skincare and other products; and skis, ski poles, ski skins, avalanche airbag systems, avalanche transceivers, shovels, and probes. This segment offers its products for climbing, mountaineering, trail running, backpacking, skiing, and other outdoor recreation activities under the Black Diamond Equipment, PIEPS, and SKINourishment brands. The company's Precision Sport segment manufactures bullets and ammunition products for precision target shooting, hunting, and military and law enforcement purposes under the Sierra and Barnes brands. The company sells its products to mountain, rock, ice, and gym climbers; and winter outdoor enthusiasts, trail runners, backpackers, competitive shooters, hunters, and outdoor consumers. Its Adventure segment offers engineered automotive roof racks, trays, mounting systems, luggage boxes, carriers, and accessories under the Rhino-Rack brand; and overlanding and off-road vehicle recovery and extraction tracks for the overland and the off-road market under the MAXTRAX brand. It markets and distributes its products through independent specialty stores and specialty chains, sporting goods and outdoor recreation stores, distributors, and original equipment manufacturers; and independent distributors, as well as through its websites. The company was formerly known as Black Diamond, Inc. and changed its name to Clarus Corporation in August 2017. The company was founded in 1957 and is headquartered in Salt Lake City, Utah.