Head to Head Survey: Torrid (NYSE:CURV) versus Kering (OTCMKTS:PPRUY)

Torrid (NYSE:CURV) and Kering (OTCMKTS:PPRUY) are both retail/wholesale companies, but which is the better business? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, analyst recommendations, valuation and institutional ownership.

Volatility and Risk

Torrid has a beta of 1.5, meaning that its share price is 50% more volatile than the S&P 500. Comparatively, Kering has a beta of 1.54, meaning that its share price is 54% more volatile than the S&P 500.

Profitability

This table compares Torrid and Kering’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Torrid	-0.18%	-1.69%	-0.43%
Kering	N/A	N/A	N/A

Earnings and Valuation

This table compares Torrid and Kering”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Torrid	$1.10 billion	0.09	$16.32 million	($0.01)	-104.00
Kering	$16.60 billion	N/A	$81.44 million	N/A	N/A

Kering has higher revenue and earnings than Torrid.

Analyst Recommendations

This is a summary of recent recommendations for Torrid and Kering, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Torrid	3	4	1	0	1.75
Kering	3	4	1	1	2.00

Torrid currently has a consensus price target of $1.44, indicating a potential upside of 38.46%. Given Torrid’s higher possible upside, research analysts plainly believe Torrid is more favorable than Kering.

Institutional and Insider Ownership

81.8% of Torrid shares are owned by institutional investors. Comparatively, 1.0% of Kering shares are owned by institutional investors. 5.9% of Torrid shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Kering beats Torrid on 8 of the 11 factors compared between the two stocks.

About Torrid

Torrid Holdings Inc. operates in women’s plus-size apparel and intimates market in North America. The company designs, develops, and merchandises its products under the Torrid, Torrid Curve, CURV, and Lovesick brand names. It is involved in the sale of tops, bottoms, dresses, denims, activewear, intimates, sleep wear, swim wear, and outerwear products; and non-apparel products comprising accessories, footwear, and beauty products. The company sells its products directly to consumers through its e-commerce platform and its physical stores. Torrid Holdings Inc. was incorporated in 2019 and is headquartered in City Of Industry, California.

About Kering

Kering SA manages the development of a series of renowned houses in fashion, leather goods and jewelry in France, the Asia-Pacific, Western Europe, North America, Japan, and internationally. The company offers ready-to-wear products apparel and accessories for men and women. It also offers leather goods and shoes; watches and jewelry; eyewear products; and fragrances and cosmetics. The company provides Gucci, Saint Laurent, Bottega Veneta, Balenciaga, Alexander McQueen, Brioni, Boucheron, Pomellato, DoDo, Qeelin, Ginori 1735, Kering Beauté, and Kering Eyewear brands. The company was formerly known as PPR SA and changed its name to Kering SA in June 2013. Kering SA was founded in 1963 and is based in Paris, France.