Financial Analysis: Digital Brands Group (DBGI) & Its Competitors

Digital Brands Group (NASDAQ:DBGI) is one of 286 public companies in the “Specialty Retail” industry, but how does it weigh in compared to its peers? We will compare Digital Brands Group to related companies based on the strength of its profitability, analyst recommendations, valuation, risk, earnings, dividends and institutional ownership.

Profitability

This table compares Digital Brands Group and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Digital Brands Group	-550.26%	-380.16%	-83.78%
Digital Brands Group Competitors	-2.67%	-25.38%	2.95%

Earnings and Valuation

This table compares Digital Brands Group and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Digital Brands Group	$6.83 million	-$28.25 million	-0.14
Digital Brands Group Competitors	$7.17 billion	$387.72 million	13.76

Digital Brands Group’s peers have higher revenue and earnings than Digital Brands Group. Digital Brands Group is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Digital Brands Group and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Digital Brands Group	1	0	0	0	1.00
Digital Brands Group Competitors	3538	15213	21157	546	2.46

As a group, “Specialty Retail” companies have a potential upside of 8.20%. Given Digital Brands Group’s peers stronger consensus rating and higher probable upside, analysts plainly believe Digital Brands Group has less favorable growth aspects than its peers.

Institutional & Insider Ownership

1.6% of Digital Brands Group shares are owned by institutional investors. Comparatively, 51.6% of shares of all “Specialty Retail” companies are owned by institutional investors. 0.0% of Digital Brands Group shares are owned by company insiders. Comparatively, 21.1% of shares of all “Specialty Retail” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Digital Brands Group peers beat Digital Brands Group on 12 of the 12 factors compared.

About Digital Brands Group

Digital Brands Group, Inc. engages in the provision of apparel products under various brands on direct-to-consumer and wholesale basis. It operates through DSTLD, Bailey, H&J, Stateside, and Sundry segments. The company designs, manufactures, and sells women's apparel, such as tops, sweaters, dresses, jumpsuits, bottoms, sets, jackets, rompers, suiting, sportswear, shirts, jackets, pants, shorts, polos, T-shirts, skirts, athleisure bottoms, denims, and other accessory products, as well as suiting for men. It sells its products under the Bailey 44, Harper & Jones, Stateside, Sunnyside, DSTLD, Sundry, and ACE Studios brand names. The company sells directly to the consumer through its websites, as well as through its wholesale channel in specialty stores, select department stores, and own showrooms. Digital Brands Group, Inc. was formerly known as Denim.LA, Inc. Digital Brands Group, Inc. was incorporated in 2012 and is headquartered in Austin, Texas.