European Wax Center (NASDAQ:EWCZ) versus Exlites Holdings International (OTCMKTS:EXHI) Financial Contrast

European Wax Center (NASDAQ:EWCZ) and Exlites Holdings International (OTCMKTS:EXHI) are both small-cap consumer staples companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, valuation, earnings, analyst recommendations, risk, institutional ownership and dividends.

Profitability

This table compares European Wax Center and Exlites Holdings International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
European Wax Center	4.20%	29.11%	3.94%
Exlites Holdings International	-18.27%	N/A	N/A

Volatility & Risk

European Wax Center has a beta of 1.48, indicating that its share price is 48% more volatile than the S&P 500. Comparatively, Exlites Holdings International has a beta of -2.44, indicating that its share price is 344% less volatile than the S&P 500.

Earnings and Valuation

This table compares European Wax Center and Exlites Holdings International”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
European Wax Center	$216.92 million	1.19	$10.46 million	$0.20	23.45
Exlites Holdings International	$100,000.00	264.59	-$20,000.00	N/A	N/A

European Wax Center has higher revenue and earnings than Exlites Holdings International.

Analyst Ratings

This is a summary of current recommendations and price targets for European Wax Center and Exlites Holdings International, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
European Wax Center	1	4	2	0	2.14
Exlites Holdings International	0	0	0	0	0.00

European Wax Center currently has a consensus target price of $7.0625, indicating a potential upside of 50.59%. Given European Wax Center’s stronger consensus rating and higher probable upside, research analysts clearly believe European Wax Center is more favorable than Exlites Holdings International.

Institutional and Insider Ownership

82.1% of European Wax Center shares are owned by institutional investors. 5.0% of European Wax Center shares are owned by company insiders. Comparatively, 18.9% of Exlites Holdings International shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

European Wax Center beats Exlites Holdings International on 10 of the 12 factors compared between the two stocks.

About European Wax Center

European Wax Center, Inc. operates as the franchisor and operator of out-of-home waxing services in the United States. It offers body and facial waxing services; and pre- and post-service products, including ingrown hair serums, exfoliating gels, brow shapers, and skin treatments. The company was founded in 2004 and is headquartered in Plano, Texas.

About Exlites Holdings International

Exlites Holdings International, Inc. manufactures and distributes medical products. The company distributes and manufactures therapeutic pain, exercise, weight loss, and DVT prevention systems for use by patients. It sells proprietary patented and patent pending health care products, such as deep vein thrombosis units, transcutaneous electrical nerve stimulation units, electronic muscle stimulation units, various bracing products, and other medical and consumer healthcare products. The company also focuses on electric vehicle range extenders. The company was founded in 1979 and is headquartered in Tampa, Florida.