Analyzing Haverty Furniture Companies (NYSE:HVT.A) and Brand House Collective (NASDAQ:TBHC)

Haverty Furniture Companies (NYSE:HVT.A) and Brand House Collective (NASDAQ:TBHC) are both small-cap retail/wholesale companies, but which is the superior business? We will compare the two companies based on the strength of their risk, valuation, analyst recommendations, dividends, earnings, institutional ownership and profitability.

Analyst Ratings

This is a breakdown of recent recommendations for Haverty Furniture Companies and Brand House Collective, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Haverty Furniture Companies	0	0	0	0	0.00
Brand House Collective	0	0	1	1	3.50

Brand House Collective has a consensus target price of $4.50, indicating a potential upside of 262.90%. Given Brand House Collective’s stronger consensus rating and higher possible upside, analysts plainly believe Brand House Collective is more favorable than Haverty Furniture Companies.

Profitability

This table compares Haverty Furniture Companies and Brand House Collective’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Haverty Furniture Companies	N/A	N/A	N/A
Brand House Collective	-6.06%	N/A	-8.47%

Volatility & Risk

Haverty Furniture Companies has a beta of 1.24, suggesting that its stock price is 24% more volatile than the S&P 500. Comparatively, Brand House Collective has a beta of 2.11, suggesting that its stock price is 111% more volatile than the S&P 500.

Earnings & Valuation

This table compares Haverty Furniture Companies and Brand House Collective”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Haverty Furniture Companies	$722.90 million	0.49	$18.57 million	$1.15	19.25
Brand House Collective	$441.36 million	0.06	-$23.13 million	($1.73)	-0.72

Haverty Furniture Companies has higher revenue and earnings than Brand House Collective. Brand House Collective is trading at a lower price-to-earnings ratio than Haverty Furniture Companies, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

0.8% of Haverty Furniture Companies shares are owned by institutional investors. Comparatively, 15.4% of Brand House Collective shares are owned by institutional investors. 8.1% of Haverty Furniture Companies shares are owned by company insiders. Comparatively, 3.0% of Brand House Collective shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

Haverty Furniture Companies beats Brand House Collective on 8 of the 14 factors compared between the two stocks.

About Haverty Furniture Companies

Haverty Furniture Companies, Inc. operates as a specialty retailer of residential furniture and accessories in the United States. The company offers furniture merchandise under the Havertys brand name. It also provides custom upholstery products and eclectic looks; and mattress product lines under the Sealy, Tempur-Pedic, and Serta names, as well as private label Skye name. The company sells home furnishings through its retail stores, as well as through its Website. As of February 23, 2021, it operated 120 showrooms in 16 states in the Southern and Midwestern regions. Haverty Furniture Companies, Inc. was founded in 1885 and is based in Atlanta, Georgia.

About Brand House Collective

Kirkland’s, Inc. operates as a specialty retailer of home décor and furnishings in the United States. Its stores provide various merchandise, including holiday décor, furniture, textiles, ornamental wall décor, decorative accessories, art, mirrors, home fragrance, lighting, floral, housewares, outdoor, and gifts. The company operates its stores under the Kirkland’s, Kirkland’s Home, Kirkland’s Home Outlet, Kirkland’s Outlet, and Kirkland Collection names. It also operates an e-commerce website, kirklands.com. The company was founded in 1966 and is headquartered in Brentwood, Tennessee.