Contrasting Deckers Outdoor (NYSE:DECK) & Destination Maternity (OTCMKTS:DESTQ)

Deckers Outdoor (NYSE:DECK) and Destination Maternity (OTCMKTS:DESTQ) are both retail/wholesale companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, earnings, profitability, risk and valuation.

Profitability

This table compares Deckers Outdoor and Destination Maternity’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Deckers Outdoor	19.42%	40.49%	26.95%
Destination Maternity	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent ratings for Deckers Outdoor and Destination Maternity, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Deckers Outdoor	2	12	9	2	2.44
Destination Maternity	0	0	0	0	0.00

Deckers Outdoor currently has a consensus price target of $136.26, indicating a potential upside of 43.09%. Given Deckers Outdoor’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Deckers Outdoor is more favorable than Destination Maternity.

Institutional and Insider Ownership

97.8% of Deckers Outdoor shares are held by institutional investors. 0.4% of Deckers Outdoor shares are held by company insiders. Comparatively, 0.4% of Destination Maternity shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Deckers Outdoor and Destination Maternity”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Deckers Outdoor	$5.12 billion	2.76	$966.09 million	$6.52	14.61
Destination Maternity	N/A	N/A	N/A	N/A	N/A

Deckers Outdoor has higher revenue and earnings than Destination Maternity.

Summary

Deckers Outdoor beats Destination Maternity on 9 of the 10 factors compared between the two stocks.

About Deckers Outdoor

Deckers Outdoor Corporation, together with its subsidiaries, designs, markets, and distributes footwear, apparel, and accessories for casual lifestyle use and high-performance activities in the United States and internationally. The company offers premium footwear, apparel, and accessories under the UGG brand name; footwear, apparel, and accessories for ultra-runners and athletes under the HOKA brand name; and sandals, shoes, and boots under the Teva brand name. It also provides relaxed casual shoes and sandals under the Sanuk brand name; casual footwear fashion line under the Koolaburra brand name; and footwear under the AHNU brand name. The company sells its products through domestic and international retailers; international distributors; and directly to its consumers through its direct-to-consumer business, which includes e-commerce websites and retail stores. Deckers Outdoor Corporation was founded in 1973 and is headquartered in Goleta, California.

About Destination Maternity

Destination Maternity Corp. engages in the design, manufacture and sale of maternity apparel and related accessories. It operates stores under three brands: Motherhood Maternity, A Pea in the Pod, and Destination Maternity. The Motherhood Maternity brand serves maternity apparel business, which is used in special occasion, offering quality merchandise at affordable value. The A Pea in the Pod brand is a contemporary, fashion-forward assortment including a curated selection of exclusive designer labels at premium pricing, offering the mom2be fashionable maternity pieces that reflect her uncompromising sense of style in both casual and career apparel. The Destination Maternity brand relates to a selection of fashion offers all three brands, plus skincare, fitness, and nutritional products to pamper the pregnant woman. The company was founded in 1982 and is headquartered in Moorestown, NJ.