Reviewing Ted Baker (OTCMKTS:TBAKF) and Duluth (NASDAQ:DLTH)

Duluth (NASDAQ:DLTH) and Ted Baker (OTCMKTS:TBAKF) are both consumer discretionary companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, earnings, dividends, profitability, risk and institutional ownership.

Profitability

This table compares Duluth and Ted Baker’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Duluth	-8.68%	-14.31%	-5.48%
Ted Baker	N/A	N/A	N/A

Insider & Institutional Ownership

24.4% of Duluth shares are owned by institutional investors. 42.9% of Duluth shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Duluth and Ted Baker, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Duluth	0	1	0	0	2.00
Ted Baker	0	0	0	0	0.00

Duluth presently has a consensus target price of $2.75, suggesting a potential upside of 19.57%. Given Duluth’s stronger consensus rating and higher possible upside, research analysts clearly believe Duluth is more favorable than Ted Baker.

Valuation and Earnings

This table compares Duluth and Ted Baker”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Duluth	$612.65 million	0.14	-$43.67 million	($1.58)	-1.46
Ted Baker	N/A	N/A	N/A	N/A	N/A

Ted Baker has lower revenue, but higher earnings than Duluth.

Summary

Duluth beats Ted Baker on 5 of the 8 factors compared between the two stocks.

About Duluth

Duluth Holdings Inc. sells casual wear, workwear, and accessories for men and women under the Duluth Trading brand in the United States. It provides shirts, pants, underwear, tanks, outerwear, footwear, accessories, and hard goods. The company offers its products under various trademarks, trade names, and service marks, including Alaskan Hardgear, Armachillo, Ballroom, Bucket Master, Cab Commander, Crouch Gusset, Dry on the Fly, Duluth Trading Co, Duluthflex, Fire Hose, Longtail T, No-Yank, No Polo Shirt, Wild Boar Mocs, and Buck Naked. Duluth Holdings Inc. markets its products through its Website, catalogs, and retail stores. As of May 17, 2018, it operated 36 retail stores. The company was formerly known as GEMPLER'S, Inc. Duluth Holdings Inc. was founded in 1989 and is headquartered in Belleville, Wisconsin.

About Ted Baker

Ted Baker plc engages in the design, wholesale, and retail of menswear, womenswear, and accessories under the Ted Baker brand in the United States, the United Kingdom, rest of Europe, Canada, and South Africa. The company operates through three segments: Retail, Wholesale, and Licensing. It offers various collections, including childrenswear, suiting, lingerie and nightwear, men's underwear, fragrance, skincare, eyewear, watches, luggage, jewelry and personal technology accessories, bedding, towels, wallpapers, rugs, gifting and stationery, swimwear, footwear, and toiletries. The company distributes its products through retail stores, concessions, retailers, and department stores, as well as through its e-commerce business. It operates through a network of 85 own stores, 130 concessions, and 31 outlets. Ted Baker plc was founded in 1987 and is headquartered in London, the United Kingdom.