Analyzing Lucky Strike Entertainment (NYSE:LUCK) & Interactive Strength (NASDAQ:TRNR)

Lucky Strike Entertainment (NYSE:LUCK) and Interactive Strength (NASDAQ:TRNR) are both small-cap consumer discretionary companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, dividends, valuation, analyst recommendations, institutional ownership, profitability and earnings.

Risk & Volatility

Lucky Strike Entertainment has a beta of 0.75, meaning that its share price is 25% less volatile than the S&P 500. Comparatively, Interactive Strength has a beta of 0.15, meaning that its share price is 85% less volatile than the S&P 500.

Earnings and Valuation

This table compares Lucky Strike Entertainment and Interactive Strength”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lucky Strike Entertainment	$1.15 billion	1.17	-$83.58 million	($0.07)	-137.71
Interactive Strength	$6.37 million	0.94	-$34.93 million	($7,629.53)	0.00

Interactive Strength has lower revenue, but higher earnings than Lucky Strike Entertainment. Lucky Strike Entertainment is trading at a lower price-to-earnings ratio than Interactive Strength, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Lucky Strike Entertainment and Interactive Strength’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lucky Strike Entertainment	0.21%	-23.31%	1.36%
Interactive Strength	-469.69%	-445.35%	-81.73%

Analyst Ratings

This is a breakdown of current recommendations for Lucky Strike Entertainment and Interactive Strength, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lucky Strike Entertainment	0	2	3	0	2.60
Interactive Strength	0	0	0	1	4.00

Lucky Strike Entertainment presently has a consensus target price of $11.60, indicating a potential upside of 20.33%. Interactive Strength has a consensus target price of $15.00, indicating a potential upside of 254.61%. Given Interactive Strength’s stronger consensus rating and higher probable upside, analysts plainly believe Interactive Strength is more favorable than Lucky Strike Entertainment.

Institutional and Insider Ownership

68.1% of Lucky Strike Entertainment shares are held by institutional investors. Comparatively, 0.6% of Interactive Strength shares are held by institutional investors. 79.9% of Lucky Strike Entertainment shares are held by insiders. Comparatively, 0.0% of Interactive Strength shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Summary

Lucky Strike Entertainment beats Interactive Strength on 10 of the 15 factors compared between the two stocks.

About Lucky Strike Entertainment

Lucky Strike Entertainment Corp. engages in operating bowling centers. It offers entertainment concepts with lounge seating, arcades, food and beverage offerings, and hosting and overseeing professional and non-professional bowling tournaments and related broadcasting. The company was founded by Thomas F. Shannon in 1997 and is headquartered in Mechanicsville, VA.

About Interactive Strength

Interactive Strength Inc., doing business as FORME, operates digital fitness platform that provides connected fitness hardware products and related accessories in the United States. The company offers the Forme Studio, a fitness mirror with touchscreen display; and the Forme Studio Lift, a fitness mirror and cable-based digital resistance. It also provides video on-demand classes, and personal training and expert health coaching services. The company sells its products through retail stores, as well as online. Interactive Strength Inc. was incorporated in 2017 and is headquartered in Austin, Texas.