Allbirds (NASDAQ:BIRD) vs. Deckers Outdoor (NYSE:DECK) Head-To-Head Contrast

Allbirds (NASDAQ:BIRD) and Deckers Outdoor (NYSE:DECK) are both retail/wholesale companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, risk, dividends, earnings, analyst recommendations, institutional ownership and profitability.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Allbirds and Deckers Outdoor, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allbirds	0	1	1	0	2.50
Deckers Outdoor	1	13	10	1	2.44

Allbirds presently has a consensus price target of $9.50, suggesting a potential downside of 19.29%. Deckers Outdoor has a consensus price target of $137.66, suggesting a potential upside of 39.82%. Given Deckers Outdoor’s higher probable upside, analysts clearly believe Deckers Outdoor is more favorable than Allbirds.

Institutional and Insider Ownership

44.1% of Allbirds shares are held by institutional investors. Comparatively, 97.8% of Deckers Outdoor shares are held by institutional investors. 45.5% of Allbirds shares are held by insiders. Comparatively, 0.4% of Deckers Outdoor shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Allbirds has a beta of 1.9, suggesting that its share price is 90% more volatile than the S&P 500. Comparatively, Deckers Outdoor has a beta of 0.99, suggesting that its share price is 1% less volatile than the S&P 500.

Profitability

This table compares Allbirds and Deckers Outdoor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allbirds	-48.13%	-76.44%	-43.69%
Deckers Outdoor	19.49%	41.17%	27.30%

Valuation and Earnings

This table compares Allbirds and Deckers Outdoor”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allbirds	$182.54 million	0.52	-$93.32 million	($11.04)	-1.07
Deckers Outdoor	$4.99 billion	2.95	$966.09 million	$6.34	15.53

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

Summary

Deckers Outdoor beats Allbirds on 12 of the 15 factors compared between the two stocks.

About Allbirds

Allbirds, Inc. manufactures and sells footwear and apparel products for men and women in the United States and internationally. The company offers a range of lifestyle and performance shoes; and apparel, including classic tees and sweats, socks, and underwear. It sells its products through its retail stores, as well as online. The company was formerly known as Bozz, Inc. and changed its name to Allbirds, Inc. in December 2015. Allbirds, Inc. was incorporated in 2015 and is headquartered in San Francisco, California.

About Deckers Outdoor

Deckers Outdoor Corporation, together with its subsidiaries, designs, markets, and distributes footwear, apparel, and accessories for casual lifestyle use and high-performance activities in the United States and internationally. The company offers premium footwear, apparel, and accessories under the UGG brand name; footwear, apparel, and accessories for ultra-runners and athletes under the HOKA brand name; and sandals, shoes, and boots under the Teva brand name. It also provides relaxed casual shoes and sandals under the Sanuk brand name; casual footwear fashion line under the Koolaburra brand name; and footwear under the AHNU brand name. The company sells its products through domestic and international retailers; international distributors; and directly to its consumers through its direct-to-consumer business, which includes e-commerce websites and retail stores. Deckers Outdoor Corporation was founded in 1973 and is headquartered in Goleta, California.