Critical Analysis: Innovative Designs (OTCMKTS:IVDN) vs. PLBY Group (NASDAQ:PLBY)

PLBY Group (NASDAQ:PLBY) and Innovative Designs (OTCMKTS:IVDN) are both small-cap consumer discretionary companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, valuation and profitability.

Valuation and Earnings

This table compares PLBY Group and Innovative Designs”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PLBY Group	$125.36 million	1.19	-$12.67 million	N/A	N/A
Innovative Designs	$2.77 million	3.48	$500,000.00	$0.03	8.33

Innovative Designs has lower revenue, but higher earnings than PLBY Group.

Volatility & Risk

PLBY Group has a beta of 1.89, meaning that its stock price is 89% more volatile than the S&P 500. Comparatively, Innovative Designs has a beta of -2.74, meaning that its stock price is 374% less volatile than the S&P 500.

Institutional and Insider Ownership

32.5% of PLBY Group shares are owned by institutional investors. 34.5% of PLBY Group shares are owned by insiders. Comparatively, 24.4% of Innovative Designs shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for PLBY Group and Innovative Designs, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PLBY Group	1	1	0	0	1.50
Innovative Designs	0	0	0	0	0.00

Profitability

This table compares PLBY Group and Innovative Designs’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PLBY Group	0.23%	30.31%	2.10%
Innovative Designs	18.21%	24.63%	22.40%

Summary

PLBY Group beats Innovative Designs on 7 of the 11 factors compared between the two stocks.

About PLBY Group

PLBY Group, Inc. operates as a pleasure and leisure company in the United States, Australia, China, the United Kingdom, and internationally. It operates through three segments: Licensing, Direct-to-Consumer, and Digital Subscriptions and Content. The company offers sexual wellness products, such as lingerie, bedroom accessories, intimacy products, and other adult products; style and apparel products for men and women; digital entertainment and lifestyle products; and beauty and grooming products for men and women, such as skincare, haircare, bath and body, grooming, cosmetics, and fragrance. It also owns and operates digital commerce retail platforms, such as playboy.com, honeybirdette.com, yandy.com, and loversstores.com; and Honey Birdette and Lovers retail stores. In addition, the company licenses Playboy name, Rabbit Head Design, and other trademarks and related properties; and programming content to cable television operators and direct-to-home satellite television operators. Further, the company business covers the subscription sale of playboyplus.com and playboy.tv, which are online content platforms. It offers its products under its flagship brand Playboy. PLBY Group, Inc. is headquartered in Los Angeles, California.

About Innovative Designs

Innovative Designs, Inc. engages in manufacture and marketing of cold weather recreational and industrial clothing products in the United States and Canada. The company operates in two segments, Apparel and House Wrap. It offers arctic armor line products, including jackets, bibs, and gloves for ice fisherman, snowmobilers, utility workers, oil/gas pipeline workers, railroad workers, construction workers, ski resort workers, and police and first responders; and house wrap that provides barrier protection and moisture vapor transmission and insulation for the building construction industry. In addition, it offers INSULTEX material in bulk to non-competing customers; products that restore the waterproof character of the outer side of its arctic armor clothing; and cold weather headgears and base insulation clothing products. The company primarily sells its products through independent sales agents, agencies, retailers, and distributors, as well as through website. The company was incorporated in 2002 and is based in Pittsburgh, Pennsylvania.