Stitch Fix (NASDAQ:SFIX) vs. Woolworths (OTCMKTS:WLWHY) Head to Head Comparison

Stitch Fix (NASDAQ:SFIX) and Woolworths (OTCMKTS:WLWHY) are both retail/wholesale companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, valuation, dividends, institutional ownership and earnings.

Institutional and Insider Ownership

71.0% of Stitch Fix shares are held by institutional investors. 16.1% of Stitch Fix shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Stitch Fix and Woolworths’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stitch Fix	-2.23%	-14.38%	-5.88%
Woolworths	N/A	N/A	N/A

Risk and Volatility

Stitch Fix has a beta of 2.1, suggesting that its share price is 110% more volatile than the S&P 500. Comparatively, Woolworths has a beta of 0.34, suggesting that its share price is 66% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Stitch Fix and Woolworths, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stitch Fix	1	4	1	0	2.00
Woolworths	0	0	0	1	4.00

Stitch Fix currently has a consensus target price of $6.00, indicating a potential upside of 16.28%. Given Stitch Fix’s higher possible upside, equities research analysts clearly believe Stitch Fix is more favorable than Woolworths.

Valuation and Earnings

This table compares Stitch Fix and Woolworths”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stitch Fix	$1.27 billion	0.55	-$28.74 million	($0.16)	-32.25
Woolworths	$4.42 billion	0.87	$134.61 million	N/A	N/A

Woolworths has higher revenue and earnings than Stitch Fix.

Summary

Woolworths beats Stitch Fix on 8 of the 13 factors compared between the two stocks.

About Stitch Fix

Stitch Fix, Inc. sells a range of apparel, shoes, and accessories for men, women, and kids through its website and mobile application in the United States and the United Kingdom. It offers denim, dresses, blouses, skirts, shoes, jewelry, and handbags under the Stitch Fix brand. The company was formerly known as rack habit inc. and changed its name to Stitch Fix, Inc. in October 2011. Stitch Fix, Inc. was incorporated in 2011 and is headquartered in San Francisco, California.

About Woolworths

Woolworths Holdings Limited, through its subsidiaries, operates a chain of retail stores in South Africa, Australia, and New Zealand. It operates through seven segments: Woolworths Fashion, Beauty and Home; Woolworths Food; Woolworths Financial Services; Woolworths Logistics; Country Road Group; and Treasury. The company provides food, clothing, homeware, beauty, and various lifestyle products. It offers financial products and services, such as store cards, credit cards, personal loans, and other financial products. The company is also involved in the cash and debt management activities. Woolworths Holdings Limited was incorporated in 1929 and is based in Cape Town, South Africa.