Burberry Group (OTCMKTS:BURBY – Get Free Report) and Buckle (NYSE:BKE – Get Free Report) are both mid-cap retail/wholesale companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, analyst recommendations, institutional ownership, risk, profitability and valuation.
Dividends
Burberry Group pays an annual dividend of $0.52 per share and has a dividend yield of 3.4%. Buckle pays an annual dividend of $1.40 per share and has a dividend yield of 2.5%. Buckle pays out 35.0% of its earnings in the form of a dividend.
Profitability
This table compares Burberry Group and Buckle’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Burberry Group | N/A | N/A | N/A |
| Buckle | 16.12% | 43.97% | 20.70% |
Valuation & Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Burberry Group | $3.14 billion | 1.77 | -$95.68 million | N/A | N/A |
| Buckle | $1.25 billion | 2.31 | $195.47 million | $4.00 | 14.14 |
Buckle has lower revenue, but higher earnings than Burberry Group.
Volatility and Risk
Burberry Group has a beta of 1.32, indicating that its share price is 32% more volatile than the S&P 500. Comparatively, Buckle has a beta of 1.12, indicating that its share price is 12% more volatile than the S&P 500.
Analyst Recommendations
This is a summary of recent ratings and price targets for Burberry Group and Buckle, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Burberry Group | 0 | 1 | 0 | 4 | 3.60 |
| Buckle | 0 | 2 | 0 | 0 | 2.00 |
Buckle has a consensus price target of $54.00, indicating a potential downside of 4.53%. Given Buckle’s higher possible upside, analysts plainly believe Buckle is more favorable than Burberry Group.
Institutional & Insider Ownership
10.3% of Burberry Group shares are held by institutional investors. Comparatively, 53.9% of Buckle shares are held by institutional investors. 39.0% of Buckle shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Summary
Buckle beats Burberry Group on 8 of the 14 factors compared between the two stocks.
About Burberry Group
Burberry Group plc, together with its subsidiaries, manufactures, retails, and wholesales luxury goods under the Burberry brand. The company operates in two segments, Retail/Wholesale and Licensing. It provides womenswear, menswear, childrenswear, beauty, eyewear, shoes, and accessories, as well as leather goods, such as bags. The company also licenses third parties to manufacture and distribute products using the Burberry trademarks. It sells its products through Burberry mainline stores, concessions, outlets, digital commerce, Burberry franchisees, department stores, and multi-brand specialty accounts, as well as through Burberry.com website. It operates in the Asia Pacific, Europe, the Middle East, India, Africa, and the Americas. The company was founded in 1856 and is headquartered in London, the United Kingdom.
About Buckle
The Buckle, Inc. operates as a retailer of casual apparel, footwear, and accessories for young men and women in the United States. It markets a selection of brand name casual apparel, including denims, other casual bottoms, tops, sportswear, outerwear, accessories, and footwear, as well as private label merchandise primarily comprising BKE, Buckle Black, Salvage, Red by BKE, Daytrip, Gimmicks, Gilded Intent, FITZ + EDDI, Willow & Root, Outpost Makers, Departwest, Sterling & Stitch, Reclaim, BKE Vintage, Nova Industries, J.B. Holt, Modish Rebel, Maven Co-op, and Veece. The company provides services, such as hemming, gift-packaging, layaways, guest loyalty program, the Buckle private label credit card, and personalized stylist services, as well as special order system that allows stores to obtain requested merchandise from other company stores or its online order fulfillment center. The Buckle, Inc. also sells its products through its website, buckle.com. The company was formerly known as Mills Clothing, Inc. and changed its name to The Buckle, Inc. in April 1991.The Buckle, Inc. was incorporated in 1948 and is headquartered in Kearney, Nebraska.
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