Salvatore Ferragamo (OTCMKTS:SFRGF) versus The Dixie Group (NASDAQ:DXYN) Financial Contrast

Salvatore Ferragamo (OTCMKTS:SFRGF) and The Dixie Group (NASDAQ:DXYN) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, dividends, analyst recommendations, risk, profitability, institutional ownership and earnings.

Earnings and Valuation

This table compares Salvatore Ferragamo and The Dixie Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Salvatore Ferragamo	N/A	N/A	N/A	$0.87	10.18
The Dixie Group	$271.01 million	0.03	-$2.72 million	($0.35)	-1.46

Salvatore Ferragamo has higher earnings, but lower revenue than The Dixie Group. The Dixie Group is trading at a lower price-to-earnings ratio than Salvatore Ferragamo, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Salvatore Ferragamo and The Dixie Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Salvatore Ferragamo	0	0	1	0	3.00
The Dixie Group	0	0	0	0	0.00

Profitability

This table compares Salvatore Ferragamo and The Dixie Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Salvatore Ferragamo	N/A	N/A	N/A
The Dixie Group	-0.99%	-7.65%	-1.04%

Insider and Institutional Ownership

8.8% of Salvatore Ferragamo shares are owned by institutional investors. Comparatively, 40.0% of The Dixie Group shares are owned by institutional investors. 12.5% of The Dixie Group shares are owned by 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

Salvatore Ferragamo beats The Dixie Group on 7 of the 10 factors compared between the two stocks.

About Salvatore Ferragamo

Salvatore Ferragamo S.p.A., through its subsidiaries, creates, produces, and sells luxury goods for men and women in Italy, rest of Europe, North America, Japan, the Asia Pacific, and Central and South America. It offers men's and women's footwear; leather goods, such as handbags, suitcases, belts, wallets, and other men's and women's leather accessories; and knitwear, clothes for formal occasions, sportswear, and leisure wear, as well as outerwear, such as husky jackets, ponchos, and leather garments. The company also provides silk accessories, including ties, foulards, scarves, etc.; home accessories comprising plaid throws, cushions, and beach towels; costume jewelry; and other accessories consisting of shawls and gloves. In addition, it develops and distributes perfumes and fragrances. Further, the company offers men's and women's sunglasses and prescription glasses; jewelry products; and watches. Additionally, it is also involved in the real estate management business. The company was formerly known as Salvatore Ferragamo Italia S.p.A. and changed its name to Salvatore Ferragamo S.p.A. in April 2011. The company was founded in 1927 and is headquartered in Florence, Italy. Salvatore Ferragamo S.p.A. is a subsidiary of Ferragamo Finanziaria S.p.A.

About The Dixie Group

The Dixie Group, Inc. manufactures, markets, and sells floorcovering products to residential customers in North America and internationally. The company offers residential carpets, custom rugs, and engineered wood products under the Fabrica brand for interior decorators and designers, selected retailers and furniture stores, luxury home builders, and manufacturers of luxury motor coaches and yachts; and specialty carpets and rugs for the high-end residential marketplace, as well as luxury vinyl flooring products and broadloom carpet products under the Masland Residential brand name through the interior design community and specialty floorcovering retailers. It provides residential tufted broadloom carpets and rugs to selected retailers and home centers under the DH floors and private label brands, as well as luxury vinyl flooring products to the marketplace it serves. The Dixie Group, Inc. was founded in 1920 and is based in Dalton, Georgia.