Critical Survey: a.k.a. Brands (NYSE:AKA) and MOGU (NYSE:MOGU)

a.k.a. Brands (NYSE:AKA) and MOGU (NYSE:MOGU) are both small-cap retail/wholesale companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, earnings, valuation, dividends, institutional ownership, profitability and risk.

Profitability

This table compares a.k.a. Brands and MOGU’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
a.k.a. Brands	-4.48%	-21.06%	-6.33%
MOGU	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent ratings and price targets for a.k.a. Brands and MOGU, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
a.k.a. Brands	1	1	1	0	2.00
MOGU	1	0	0	0	1.00

a.k.a. Brands presently has a consensus price target of $20.00, suggesting a potential upside of 55.52%. Given a.k.a. Brands’ stronger consensus rating and higher possible upside, equities research analysts clearly believe a.k.a. Brands is more favorable than MOGU.

Volatility and Risk

a.k.a. Brands has a beta of 1.6, indicating that its share price is 60% more volatile than the S&P 500. Comparatively, MOGU has a beta of 0.28, indicating that its share price is 72% less volatile than the S&P 500.

Institutional and Insider Ownership

55.3% of a.k.a. Brands shares are held by institutional investors. Comparatively, 19.1% of MOGU shares are held by institutional investors. 17.6% of a.k.a. Brands shares are held by insiders. Comparatively, 19.8% of MOGU shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares a.k.a. Brands and MOGU”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
a.k.a. Brands	$598.11 million	0.23	-$25.99 million	($2.51)	-5.12
MOGU	$19.46 million	1.17	-$8.62 million	N/A	N/A

MOGU has lower revenue, but higher earnings than a.k.a. Brands.

About a.k.a. Brands

a.k.a. Brands Holding Corp. operates a portfolio of online fashion brands in the United States, Australia, and internationally. The company offers streetwear apparel, dresses, tops, bottoms, shoes, headwear, and accessories through its online stores under the Princess Polly, Petal & Pup, Culture Kings, and mnml brands. It also operates physical stores under the Culture Kings brand. The company was founded in 2018 and is headquartered in San Francisco, California.

About MOGU

MOGU Inc., through its subsidiaries, engages in the online fashion and lifestyle business in the People's Republic of China. The company operates an online platform that primarily offers a range of fashion apparel and other products, including beauty products and accessories provided by third party merchants, as well as personal care, food, and medical beauty products. It also provides online marketing, commission, financing, technology, and other related services to merchants, brand partners/owners, and users; and technology services to insurance companies. The company offers its products through mobile apps, including flagship Mogujie app, mini programs on Weixin, and Weixin pay; websites comprising Mogu.com, Mogujie.com and Meilishuo.com. The company was formerly known as Meili Inc. and changed its name to MOGU Inc. in November 2018. The company was incorporated in 2011 and is headquartered in Hangzhou, the People's Republic of China.