GAP (NYSE:GAP – Get Free Report) and 1-800 FLOWERS.COM (NASDAQ:FLWS – Get Free Report) are both consumer discretionary companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, profitability, dividends, risk, valuation, earnings and institutional ownership.
Institutional & Insider Ownership
58.8% of GAP shares are held by institutional investors. Comparatively, 38.4% of 1-800 FLOWERS.COM shares are held by institutional investors. 31.0% of GAP shares are held by company insiders. Comparatively, 52.2% of 1-800 FLOWERS.COM shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.
Earnings & Valuation
This table compares GAP and 1-800 FLOWERS.COM”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| GAP | $15.37 billion | 0.46 | $816.00 million | $3.35 | 6.01 |
| 1-800 FLOWERS.COM | $1.50 billion | 0.12 | -$134.76 million | ($2.11) | -1.28 |
GAP has higher revenue and earnings than 1-800 FLOWERS.COM. 1-800 FLOWERS.COM is trading at a lower price-to-earnings ratio than GAP, indicating that it is currently the more affordable of the two stocks.
Risk and Volatility
GAP has a beta of 2.08, meaning that its stock price is 108% more volatile than the S&P 500. Comparatively, 1-800 FLOWERS.COM has a beta of 1.34, meaning that its stock price is 34% more volatile than the S&P 500.
Analyst Ratings
This is a breakdown of current recommendations and price targets for GAP and 1-800 FLOWERS.COM, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| GAP | 1 | 11 | 5 | 2 | 2.42 |
| 1-800 FLOWERS.COM | 1 | 1 | 1 | 0 | 2.00 |
GAP presently has a consensus target price of $27.07, suggesting a potential upside of 34.46%. 1-800 FLOWERS.COM has a consensus target price of $3.75, suggesting a potential upside of 38.38%. Given 1-800 FLOWERS.COM’s higher probable upside, analysts clearly believe 1-800 FLOWERS.COM is more favorable than GAP.
Profitability
This table compares GAP and 1-800 FLOWERS.COM’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| GAP | 8.14% | 19.72% | 5.94% |
| 1-800 FLOWERS.COM | -8.96% | -36.75% | -10.16% |
Summary
GAP beats 1-800 FLOWERS.COM on 13 of the 15 factors compared between the two stocks.
About GAP
Gap, Inc. operates as a global apparel retail company, which offers clothing, apparel, accessories, and personal care products for men, women, and children. The firm operates through the following segments: Gap Global, Old Navy Global, Banana Republic Global, Athleta, and Other. The Gap Global segment includes apparel and accessories for men and women under the Gap brand, along with the GapKids, BabyGap, GapMaternity, GapBody, and GapFit collections. The Old Navy Global segment offers clothing and accessories for adults and children. The Banana Republic Global segment provides clothing, eyewear, jewelry, shoes, handbags, and fragrances. The Athleta segment offers fitness apparel for women. The company founded by Donald G. Fisher and Doris F. Fisher in July 1969 and is headquartered in San Francisco, CA.
About 1-800 FLOWERS.COM
1-800-FLOWERS.COM, Inc. provides gifts for various occasions in the United States and internationally. It operates through three segments: Consumer Floral & Gifts, Gourmet Foods & Gift Baskets, and BloomNet. The company offers a range of products, including fresh-cut flowers, floral and fruit arrangements, plants, gifts, personalized products, dipped berries, popcorns, gourmet foods and gift baskets, cookies, chocolates, candies, wines, and gift-quality fruits. It offers its products and services through online platform under the 1-800-Flowers.com, 1-800-Baskets.com, Cheryl's Cookies, FruitBouquets.com, Harry & David, Moose Munch, The Popcorn Factory, Wolferman's Bakery, PersonalizationMall.com, Simply Chocolate, Vital Choice, DesignPac, Stock Yards, Shari's Berries, BloomNet, Napco, and Flowerama brand names. 1-800-FLOWERS.COM, Inc. was founded in 1976 and is headquartered in Jericho, New York.
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