Allbirds (NASDAQ:BIRD) and Burberry Group (OTCMKTS:BURBY) Critical Contrast

Allbirds (NASDAQ:BIRD) and Burberry Group (OTCMKTS:BURBY) are both retail/wholesale companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, risk, institutional ownership, earnings, valuation and profitability.

Profitability

This table compares Allbirds and Burberry Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allbirds	-51.90%	-108.35%	-56.25%
Burberry Group	N/A	N/A	N/A

Volatility and Risk

Allbirds has a beta of 1.99, meaning that its stock price is 99% more volatile than the S&P 500. Comparatively, Burberry Group has a beta of 1.12, meaning that its stock price is 12% more volatile than the S&P 500.

Institutional and Insider Ownership

44.1% of Allbirds shares are held by institutional investors. Comparatively, 10.3% of Burberry Group shares are held by institutional investors. 30.7% of Allbirds shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent recommendations for Allbirds and Burberry Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allbirds	1	2	0	0	1.67
Burberry Group	0	0	0	4	4.00

Allbirds currently has a consensus target price of $11.00, suggesting a potential upside of 343.55%. Given Allbirds’ higher probable upside, equities analysts plainly believe Allbirds is more favorable than Burberry Group.

Valuation & Earnings

This table compares Allbirds and Burberry Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allbirds	$189.76 million	0.11	-$93.32 million	($10.37)	-0.24
Burberry Group	$3.14 billion	1.70	-$95.68 million	N/A	N/A

Allbirds has higher earnings, but lower revenue than Burberry Group.

Summary

Burberry Group beats Allbirds on 7 of the 12 factors compared between the two stocks.

About Allbirds

Allbirds, Inc. manufactures and sells footwear and apparel products for men and women in the United States and internationally. The company offers a range of lifestyle and performance shoes; and apparel, including classic tees and sweats, socks, and underwear. It sells its products through its retail stores, as well as online. The company was formerly known as Bozz, Inc. and changed its name to Allbirds, Inc. in December 2015. Allbirds, Inc. was incorporated in 2015 and is headquartered in San Francisco, California.

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.