Head-To-Head Analysis: Revolve Group (NYSE:RVLV) versus PVH (NYSE:PVH)

PVH (NYSE:PVH) and Revolve Group (NYSE:RVLV) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, profitability, dividends, risk, analyst recommendations, earnings and institutional ownership.

Volatility & Risk

PVH has a beta of 1.72, meaning that its share price is 72% more volatile than the S&P 500. Comparatively, Revolve Group has a beta of 1.79, meaning that its share price is 79% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for PVH and Revolve Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PVH	0	9	8	0	2.47
Revolve Group	0	7	8	1	2.63

PVH currently has a consensus target price of $91.60, indicating a potential upside of 26.81%. Revolve Group has a consensus target price of $27.62, indicating a potential upside of 9.92%. Given PVH’s higher probable upside, analysts plainly believe PVH is more favorable than Revolve Group.

Institutional & Insider Ownership

97.3% of PVH shares are owned by institutional investors. Comparatively, 67.6% of Revolve Group shares are owned by institutional investors. 1.2% of PVH shares are owned by insiders. Comparatively, 43.8% of Revolve Group shares are owned 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.

Earnings and Valuation

This table compares PVH and Revolve Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PVH	$8.82 billion	0.38	$598.50 million	$6.67	10.83
Revolve Group	$1.13 billion	1.59	$49.56 million	$0.76	33.06

PVH has higher revenue and earnings than Revolve Group. PVH is trading at a lower price-to-earnings ratio than Revolve Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares PVH and Revolve Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PVH	3.87%	11.44%	4.98%
Revolve Group	4.64%	11.26%	7.30%

Summary

Revolve Group beats PVH on 8 of the 14 factors compared between the two stocks.

About PVH

PVH Corp. operates as an apparel company in the United States and internationally. The company operates through Tommy Hilfiger North America, Tommy Hilfiger International, Calvin Klein North America, Calvin Klein International, and Heritage Brands Wholesale segments. It designs and markets men's, women's, and children's branded apparel, footwear and accessories, underwear, sleepwear, outerwear, home furnishings, luggage, dresses, suits and swimwear, activewear, sportswear, socks and accessories, outerwear, golf products, footwear, watches and jewelry, eyeglasses and non-ophthalmic sunglasses, jeans wear, performance apparel, intimate apparel, dress shirts, handbags, fragrance, small leather goods, and other related products; and men's and boy's tailored clothing products, duvets, pillows, mattress pads and toppers, and feather beds. The company offers its products under its own brands, such as TOMMY HILFIGER, TOMMY JEANS, Calvin Klein, CK Calvin Klein, Calvin Klein Jeans, Calvin Klein Underwear, and Calvin Klein Performance, as well as various other owned, licensed, and private label brands. It distributes its products at wholesale in department, chain, and specialty stores; through warehouse clubs, mass market, and off-price and independent retailers; and through company-operated full-price, outlet stores, and concession locations; and through digital commerce sites. PVH Corp. was founded in 1881 and is based in New York, New York.

About Revolve Group

Revolve Group, Inc. operates as an online fashion retailer for millennial and generation z consumers in the United States and internationally. The company operates in two segments, REVOLVE and FWRD. It operates a platform that connects consumers and global fashion influencers, as well as emerging, established, and owned brands. The company offers apparel, footwear, accessories, beauty, and home products from emerging, established, and owned brands, as well as luxury brands through its websites and mobile apps. The company was formerly known as Advance Holdings, LLC and changed its name to Revolve Group, Inc. in October 2018. Revolve Group, Inc. was founded in 2003 and is headquartered in Cerritos, California.