Financial Analysis: Deer Consumer Products (OTCMKTS:DEER) vs. Electrolux (OTCMKTS:ELUXY)

Deer Consumer Products (OTCMKTS:DEER) and Electrolux (OTCMKTS:ELUXY) are both consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their institutional ownership, dividends, valuation, risk, profitability, earnings and analyst recommendations.

Profitability

This table compares Deer Consumer Products and Electrolux’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Deer Consumer Products	N/A	N/A	N/A
Electrolux	-0.09%	-1.39%	-0.11%

Valuation & Earnings

This table compares Deer Consumer Products and Electrolux”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Deer Consumer Products	N/A	N/A	N/A	N/A	N/A
Electrolux	$12.88 billion	0.17	-$131.87 million	($0.09)	-173.28

Deer Consumer Products has higher earnings, but lower revenue than Electrolux.

Volatility and Risk

Deer Consumer Products has a beta of 66.6, meaning that its share price is 6,560% more volatile than the S&P 500. Comparatively, Electrolux has a beta of 1.14, meaning that its share price is 14% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings for Deer Consumer Products and Electrolux, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Deer Consumer Products	0	0	0	0	0.00
Electrolux	1	0	0	1	2.50

Given Deer Consumer Products’ higher probable upside, analysts plainly believe Deer Consumer Products is more favorable than Electrolux.

Summary

Deer Consumer Products beats Electrolux on 5 of the 8 factors compared between the two stocks.

About Deer Consumer Products

Deer Consumer Products, Inc., through its subsidiaries, engages in the design, manufacture, and sale of small home and kitchen electronic appliances. It offers blenders, juicers, soy milk makers, food processors, popcorn makers, meat grinders, coffee machines, and hot water kettles primarily under the Deer brand name, as well as under one store brand for retailer's private label programs. Deer Consumer Products also offers humidifiers and dehumidifiers, rice cookers, and toasters. The company sells its products to consumer product companies internationally; and to retail stores through agents in the People's Republic of China. It also operates as an original design manufacturer and original equipment manufacturer. The company was formerly known as Tag Events Corp. and changed its name to Deer Consumer Products, Inc. in September 2008. Deer Consumer Products, Inc. is based in Shenzhen, the People's Republic of China.

About Electrolux

AB Electrolux (publ), together with its subsidiaries, manufactures and sells household appliances worldwide. The company offers various appliances, such as refrigerators, freezers, cookers, dryers, washing machines, dishwashers, room air-conditioners, microwave ovens, floor-care products, vacuum cleaners, water heaters, heat pumps, and other small domestic appliances, as well as consumables and accessories. It also provides hobs, ovens, and hoods; and tumble dryers. The company offers its products under the Electrolux, AEG, and Frigidaire brands through retailers, buying groups, and independent stores. AB Electrolux (publ) was founded in 1901 and is headquartered in Stockholm, Sweden.