Edgewell Personal Care (NYSE:EPC) and Tokyo Lifestyle (NASDAQ:TKLF) Head to Head Analysis

Edgewell Personal Care (NYSE:EPC) and Tokyo Lifestyle (NASDAQ:TKLF) are both small-cap consumer staples companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, profitability, earnings, risk, analyst recommendations, institutional ownership and dividends.

Profitability

This table compares Edgewell Personal Care and Tokyo Lifestyle’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Edgewell Personal Care	-1.76%	7.16%	2.90%
Tokyo Lifestyle	N/A	N/A	N/A

Earnings and Valuation

This table compares Edgewell Personal Care and Tokyo Lifestyle”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Edgewell Personal Care	$2.22 billion	0.42	$25.40 million	($0.85)	-23.24
Tokyo Lifestyle	$210.12 million	0.06	$6.64 million	N/A	N/A

Edgewell Personal Care has higher revenue and earnings than Tokyo Lifestyle.

Volatility and Risk

Edgewell Personal Care has a beta of 0.59, meaning that its stock price is 41% less volatile than the S&P 500. Comparatively, Tokyo Lifestyle has a beta of 0.05, meaning that its stock price is 95% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Edgewell Personal Care and Tokyo Lifestyle, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Edgewell Personal Care	1	4	3	0	2.25
Tokyo Lifestyle	1	0	0	0	1.00

Edgewell Personal Care currently has a consensus price target of $23.67, indicating a potential upside of 19.80%. Given Edgewell Personal Care’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Edgewell Personal Care is more favorable than Tokyo Lifestyle.

Institutional and Insider Ownership

91.9% of Edgewell Personal Care shares are held by institutional investors. 3.0% of Edgewell Personal Care shares are held by insiders. Comparatively, 75.4% of Tokyo Lifestyle shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Dividends

Edgewell Personal Care pays an annual dividend of $0.60 per share and has a dividend yield of 3.0%. Tokyo Lifestyle pays an annual dividend of $0.08 per share and has a dividend yield of 2.8%. Edgewell Personal Care pays out -70.6% of its earnings in the form of a dividend.

Summary

Edgewell Personal Care beats Tokyo Lifestyle on 12 of the 14 factors compared between the two stocks.

About Edgewell Personal Care

Edgewell Personal Care Company is a manufacturer and marketer of personal care products in the wet shave, sun and skin care, feminine care and infant care categories. As of September 30, 2016, the Company had a portfolio of over 25 brands. It manages its business in four segments: Wet Shave, Sun and Skin Care, Feminine Care and All Other. Its Wet shave products are sold under the Schick, Wilkinson Sword, Edge, Skintimate, Shave Guard and Personna brand names. Its Sun and Skin Care products are sold under the Banana Boat, Hawaiian Tropic, Wet Ones and Playtex brand names and offers Wet Ones, portable hand wipes category, and Playtex household gloves, the branded household glove in the United States. Its Feminine Care segment markets its products under the Playtex, Stayfree, Carefree and o.b. brands and markets pads and liners. Its All Other segment includes infant care, pet care and miscellaneous other products.

About Tokyo Lifestyle

Yoshitsu Co., Ltd engages in the retail and wholesale of beauty, health, and other products. It offers beauty products, such as cosmetics comprising of foundation, powder, concealer, makeup remover, eyeliner, eye shadow, brow powder, brow pencil, mascara, lip gloss, lipstick, and nail polish; skin care products consisting of facial cleanser, whitening products, sun block, moisturizer, facial mask, eye mask, eye gel, and exfoliating; and cosmetic applicators, such as brush, puff, curler, hair iron, and shaver products. The company also provides body care products, such as shampoo, conditioner, and body wash; and fragrance products consisting of perfume and cologne for women and men. In addition, the company provides facial wash, firming lotion, astringent, and moisturizer products for men; and lip balm, lotion, shampoo, soap, and essence oil for children. Further, the company offers OTC drugs for the treatment of common ailments, such as colds, headaches, stomach pain, cough, and eye strains, as well as medical supplies and devices, including bandages, masks, thermometers, disinfectant sprays, eye masks, contact lens, and contact lens cleaners and solutions. Additionally, the company provides vitamins, minerals, fiber supplements, nutritional yeast, dietary products, and other nutritional supplements; bedding and bath products, and car supplies; and food, alcoholic beverages, and miscellaneous products. It directly operates physical stores in Japan and Hong Kong; online stores in Japan, China, and Korea; and franchise stores in the United States, Canada, and the United Kingdom, as well as wholesale customers in Japan, China, the United States, and Canada. The company was incorporated in 2006 and is headquartered in Tokyo, Japan.