Analyzing Birkenstock (BIRK) & Its Peers

Birkenstock (NYSE:BIRK) is one of 117 public companies in the “Textiles, Apparel & Luxury Goods” industry, but how does it weigh in compared to its competitors? We will compare Birkenstock to similar companies based on the strength of its institutional ownership, dividends, risk, profitability, analyst recommendations, valuation and earnings.

Institutional & Insider Ownership

19.9% of Birkenstock shares are owned by institutional investors. Comparatively, 54.1% of shares of all “Textiles, Apparel & Luxury Goods” companies are owned by institutional investors. 16.2% of shares of all “Textiles, Apparel & Luxury Goods” companies are owned 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.

Volatility & Risk

Birkenstock has a beta of 1.3, suggesting that its stock price is 30% more volatile than the S&P 500. Comparatively, Birkenstock’s competitors have a beta of 0.93, suggesting that their average stock price is 7% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Birkenstock and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Birkenstock	1	5	13	0	2.63
Birkenstock Competitors	1648	7629	10047	356	2.46

Birkenstock currently has a consensus price target of $51.91, indicating a potential upside of 55.33%. As a group, “Textiles, Apparel & Luxury Goods” companies have a potential upside of 16.77%. Given Birkenstock’s stronger consensus rating and higher probable upside, research analysts plainly believe Birkenstock is more favorable than its competitors.

Profitability

This table compares Birkenstock and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Birkenstock	14.82%	13.36%	7.21%
Birkenstock Competitors	-3.60%	13.55%	2.59%

Valuation & Earnings

This table compares Birkenstock and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Birkenstock	$2.32 billion	$385.46 million	15.69
Birkenstock Competitors	$5.66 billion	$471.75 million	24.53

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

Summary

Birkenstock competitors beat Birkenstock on 7 of the 13 factors compared.

Birkenstock Company Profile

Birkenstock Holding plc manufactures and sells footwear products. It also offers sandals, shoes, closed-toe silhouettes, skincare products, and accessories. The company sells its products through e-commerce sites and a network of owned retail stores, as well as business-to-business channels. It operates in the United States, Brazil, Canada, Mexico, Europe, APMA, and internationally. Birkenstock Holding plc was founded in 1774 and is based in London, the United Kingdom. Birkenstock Holding plc is a subsidiary of BK LC Lux MidCo S.à r.l.