Comparing MINISO Group (NYSE:MNSO) & Esprit (OTCMKTS:ESPGY)

MINISO Group (NYSE:MNSO) and Esprit (OTCMKTS:ESPGY) are both retail/wholesale companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, risk, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Insider & Institutional Ownership

17.2% of MINISO Group shares are owned by institutional investors. 73.5% of MINISO Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for MINISO Group and Esprit, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MINISO Group	1	2	3	2	2.75
Esprit	0	0	0	0	0.00

MINISO Group presently has a consensus target price of $24.5250, suggesting a potential upside of 24.59%. Given MINISO Group’s stronger consensus rating and higher possible upside, research analysts clearly believe MINISO Group is more favorable than Esprit.

Earnings & Valuation

This table compares MINISO Group and Esprit”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MINISO Group	$2.33 billion	2.65	$364.10 million	$1.11	17.73
Esprit	$5.38 million	N/A	-$157.30 million	N/A	N/A

MINISO Group has higher revenue and earnings than Esprit.

Volatility & Risk

MINISO Group has a beta of 0.16, suggesting that its stock price is 84% less volatile than the S&P 500. Comparatively, Esprit has a beta of 0.34, suggesting that its stock price is 66% less volatile than the S&P 500.

Profitability

This table compares MINISO Group and Esprit’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MINISO Group	13.85%	24.23%	12.84%
Esprit	N/A	N/A	N/A

Summary

MINISO Group beats Esprit on 11 of the 12 factors compared between the two stocks.

About MINISO Group

MINISO Group Holding Limited, an investment holding company, engages in the retail and wholesale of lifestyle products and pop toy products in China, Asia, the United States, and Europe. The company offers products in various categories, including home decor products, small electronics, textiles, accessories, beauty tools, toys, cosmetics, personal care products, snacks, fragrances and perfumes, and stationeries and gifts under the MINISO and WonderLife brand names; and blind boxes, toy bricks, model figures, model kits, collectible dolls, Ichiban Kuji, sculptures, and other popular toys under the TOP TOY brand. The company was founded in 2013 and is based in Guangzhou, China.

About Esprit

Esprit Holdings Limited, an investment holding company, engages in retail and wholesale distribution, and licensing of fashion and non-apparel products. It operates through Europe; Asia; E-shop; and Corporate Services, Sourcing, Licensing and Others segments. The company offers apparel and accessories under the ESPRIT brand name through retail stores and e-commerce platforms. It is also involved in the sourcing, purchasing, distributing, and sale of merchandise; provision of financial and treasury services, as well as logistic services comprising customs dealing and quality control; design and image directions; and conceptualization and development of global uniform image businesses. Esprit Holdings Limited was founded in 1968 and is headquartered in North Point, Hong Kong.