Head to Head Review: Town Sports International (OTCMKTS:CLUBQ) vs. Travel + Leisure (NYSE:TNL)

Town Sports International (OTCMKTS:CLUBQ) and Travel + Leisure (NYSE:TNL) are both consumer discretionary companies, but which is the superior investment? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, institutional ownership, earnings, dividends, profitability and risk.

Profitability

This table compares Town Sports International and Travel + Leisure’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Town Sports International	N/A	N/A	N/A
Travel + Leisure	10.14%	-47.47%	6.15%

Valuation & Earnings

This table compares Town Sports International and Travel + Leisure”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Town Sports International	N/A	N/A	N/A	N/A	N/A
Travel + Leisure	$3.86 billion	1.06	$411.00 million	$5.80	10.90

Travel + Leisure has higher revenue and earnings than Town Sports International.

Institutional & Insider Ownership

87.5% of Travel + Leisure shares are held by institutional investors. 32.2% of Town Sports International shares are held by insiders. Comparatively, 3.8% of Travel + Leisure shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Town Sports International and Travel + Leisure, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Town Sports International	0	0	0	0	0.00
Travel + Leisure	1	1	8	0	2.70

Travel + Leisure has a consensus target price of $62.30, suggesting a potential downside of 1.47%. Given Travel + Leisure’s stronger consensus rating and higher possible upside, analysts plainly believe Travel + Leisure is more favorable than Town Sports International.

Summary

Travel + Leisure beats Town Sports International on 7 of the 9 factors compared between the two stocks.

About Town Sports International

Town Sports International Holdings, Inc., together with its subsidiaries, owns and operates fitness clubs in the Northeast and Mid-Atlantic regions of the United States. The company's clubs offer special purpose rooms for group fitness classes; and other exercise programs, as well as accommodate cardiovascular and strength-training equipment. Its clubs also provide amenities, including swimming pools, racquet and basketball courts, and functional training zones, as well as babysitting services; and fee-based program services, which comprise personal and small group training, children's programs, and summer camps for kids. The company sells its memberships through direct sales at the club level, as well as corporate and group sales; and through its Websites. As of December 31, 2019, it owned and operated 186 fitness clubs. The company was founded in 1973 and is based in Jupiter, Florida.

About Travel + Leisure

Travel + Leisure Co., together with its subsidiaries, provides hospitality services and travel products in the United States and internationally. The company operates in two segments, Vacation Ownership; and Travel and Membership. The Vacation Ownership segment develops, markets, and sells vacation ownership interests (VOIs) to individual consumers, as well as provides consumer financing in connection with the sale of VOIs; and property management services at resorts. The Travel and Membership segment operates various travel businesses, including three vacation exchange brands, travel technology platforms, travel memberships, and direct-to-consumer rentals. This segment also offers private-label travel booking technology solutions. The company was formerly known as Wyndham Destinations, Inc. and changed its name to Travel + Leisure Co. in February 2021. Travel + Leisure Co. was founded in 1990 and is headquartered in Orlando, Florida.