Head-To-Head Analysis: Yue Yuen Industrial (OTCMKTS:YUEIY) and Adidas (OTCMKTS:ADDYY)

Yue Yuen Industrial (OTCMKTS:YUEIY) and Adidas (OTCMKTS:ADDYY) are both consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, risk, valuation, profitability and institutional ownership.

Dividends

Yue Yuen Industrial pays an annual dividend of $0.41 per share and has a dividend yield of 4.7%. Adidas pays an annual dividend of $0.76 per share and has a dividend yield of 0.7%. Adidas pays out 20.7% of its earnings in the form of a dividend.

Institutional and Insider Ownership

0.1% of Yue Yuen Industrial shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Yue Yuen Industrial and Adidas”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Yue Yuen Industrial	$8.18 billion	0.34	$392.42 million	N/A	N/A
Adidas	$25.63 billion	1.54	$826.72 million	$3.67	30.04

Adidas has higher revenue and earnings than Yue Yuen Industrial.

Risk & Volatility

Yue Yuen Industrial has a beta of 0.7, meaning that its stock price is 30% less volatile than the S&P 500. Comparatively, Adidas has a beta of 1.22, meaning that its stock price is 22% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Yue Yuen Industrial and Adidas, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Yue Yuen Industrial	0	0	0	0	0.00
Adidas	0	2	4	3	3.11

Profitability

This table compares Yue Yuen Industrial and Adidas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Yue Yuen Industrial	N/A	N/A	N/A
Adidas	4.93%	20.68%	5.99%

Summary

Adidas beats Yue Yuen Industrial on 10 of the 13 factors compared between the two stocks.

About Yue Yuen Industrial

Yue Yuen Industrial (Holdings) Limited, an investment holding company, manufactures and sells athletic, athleisure, casual, and outdoor footwear in the People’s Republic of China, rest of Asia, the United States, Europe, and internationally. The company operates as an original design manufacturer/original equipment manufacturer for various international brand names, such as adidas, Asics, New Balance, Nike, Salomon, and Timberland. It retails sportswear, outdoor, and leisure products; and operates a sport service platform, which includes events, venues, media, broadcasting, shopping, activities, registration, ticketing, and other sports-related services online and offline for event sponsorship, promotions, sports center operations, and design services. In addition, the company provides commercial spaces to retailers and distributors; and corporate management consultation services. Further, it trades in footwear. The company was founded in 1969 and is headquartered in Kwun Tong, Hong Kong.

About Adidas

adidas AG, together with its subsidiaries, designs, develops, produces, and markets athletic and sports lifestyle products in Europe, the Middle East, Africa, North America, Greater China, the Asia-Pacific, and Latin America. It offers footwear, apparel, and accessories and gear, such as bags and balls under the adidas brand; golf footwear and apparel under the adidas Golf brand; and outdoor footwear under the Five Ten brand. It sells its products through its own retail stores; mono-branded franchise stores and shop-in-shops; and wholesale and its e-commerce channels. The company was formerly known as adidas-Salomon AG and changed its name to adidas AG in June 2006. adidas AG was founded in 1920 and is headquartered in Herzogenaurach, Germany.