Samsonite Group (OTCMKTS:SMSEY – Get Free Report) and Lifetime Brands (NASDAQ:LCUT – Get Free Report) are both consumer discretionary companies, but which is the better business? We will compare the two companies based on the strength of their valuation, earnings, dividends, analyst recommendations, risk, profitability and institutional ownership.
Dividends
Samsonite Group pays an annual dividend of $0.38 per share and has a dividend yield of 4.0%. Lifetime Brands pays an annual dividend of $0.17 per share and has a dividend yield of 2.5%. Samsonite Group pays out 36.5% of its earnings in the form of a dividend. Lifetime Brands pays out -13.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Volatility and Risk
Samsonite Group has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500. Comparatively, Lifetime Brands has a beta of 0.83, meaning that its share price is 17% less volatile than the S&P 500.
Analyst Recommendations
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Samsonite Group | 0 | 1 | 0 | 2 | 3.33 |
| Lifetime Brands | 1 | 2 | 1 | 0 | 2.00 |
Lifetime Brands has a consensus price target of $5.00, suggesting a potential downside of 26.90%. Given Lifetime Brands’ higher possible upside, analysts plainly believe Lifetime Brands is more favorable than Samsonite Group.
Institutional and Insider Ownership
40.6% of Lifetime Brands shares are owned by institutional investors. 43.6% of Lifetime Brands shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.
Profitability
This table compares Samsonite Group and Lifetime Brands’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Samsonite Group | 8.27% | 19.58% | 5.61% |
| Lifetime Brands | -4.16% | 4.66% | 1.62% |
Earnings and Valuation
This table compares Samsonite Group and Lifetime Brands”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Samsonite Group | $3.50 billion | 0.76 | $289.00 million | $1.04 | 9.18 |
| Lifetime Brands | $647.93 million | 0.24 | -$26.94 million | ($1.24) | -5.52 |
Samsonite Group has higher revenue and earnings than Lifetime Brands. Lifetime Brands is trading at a lower price-to-earnings ratio than Samsonite Group, indicating that it is currently the more affordable of the two stocks.
Summary
Samsonite Group beats Lifetime Brands on 11 of the 17 factors compared between the two stocks.
About Samsonite Group
Samsonite International S.A. engages in the design, manufacture, sourcing, and distribution of travel luggage bags in North America, Asia, Europe, and Latin America. The company offers luggage, business, computer, outdoor, casual, and women's bags; and travel accessories and slim protective cases for personal electronic devices primarily under the Samsonite, Tumi, American Tourister, Speck, High Sierra, Gregory, Lipault, Kamiliant, Hartmann, and eBags brands, as well as other owned and licensed brand names. It sells its products through various wholesale distribution channels, as well as through company operated retail stores and e-commerce. The company was founded in 1910 and is based in Luxembourg, Luxembourg.
About Lifetime Brands
Lifetime Brands, Inc. designs, sources, and sells branded kitchenware, tableware, and other products for use in the home in the worldwide. The company provides kitchenware products, including kitchen tools and gadgets, cutlery, kitchen scales, thermometers, cutting boards, shears, cookware, pantryware, spice racks, and bakeware; and tableware products comprising dinnerware, stemware, flatware, and giftware. It also provides home solutions, such as thermal beverageware, bath scales, weather and outdoor household, food storage, neoprene travel, and home décor products. The company owns or licenses various brands, including the Farberware, Mikasa, Taylor, KitchenAid, Pfaltzgraff, BUILT NY, Rabbit, Kamenstein, S’well, and Fred & Friends. It serves mass market merchants, specialty stores, department stores, warehouse clubs, grocery stores, off-price retailers, food service distributors, food and beverage outlets, and e-commerce. The company sells its products directly, as well as through its retail websites. Lifetime Brands, Inc. was founded in 1945 and is headquartered in Garden City, New York.
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