Analyzing Perfect Moment (NASDAQ:PMNT) & Under Armour (NYSE:UAA)

Perfect Moment (NASDAQ:PMNT) and Under Armour (NYSE:UAA) are both consumer discretionary companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, profitability, dividends, analyst recommendations, valuation, institutional ownership and risk.

Profitability

This table compares Perfect Moment and Under Armour’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Perfect Moment	-67.38%	-513.83%	-119.38%
Under Armour	-2.39%	11.03%	4.67%

Earnings and Valuation

This table compares Perfect Moment and Under Armour”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Perfect Moment	$21.31 million	0.82	-$8.72 million	($1.30)	-0.81
Under Armour	$5.32 billion	0.42	$232.04 million	($0.29)	-17.84

Under Armour has higher revenue and earnings than Perfect Moment. Under Armour is trading at a lower price-to-earnings ratio than Perfect Moment, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Perfect Moment has a beta of -3.46, meaning that its share price is 446% less volatile than the S&P 500. Comparatively, Under Armour has a beta of 1.49, meaning that its share price is 49% more volatile than the S&P 500.

Institutional & Insider Ownership

23.0% of Perfect Moment shares are owned by institutional investors. Comparatively, 34.6% of Under Armour shares are owned by institutional investors. 15.6% of Under Armour shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and price targets for Perfect Moment and Under Armour, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Perfect Moment	0	0	1	0	3.00
Under Armour	3	14	4	0	2.05

Perfect Moment currently has a consensus target price of $6.00, suggesting a potential upside of 468.18%. Under Armour has a consensus target price of $9.12, suggesting a potential upside of 76.21%. Given Perfect Moment’s stronger consensus rating and higher possible upside, equities analysts clearly believe Perfect Moment is more favorable than Under Armour.

Summary

Under Armour beats Perfect Moment on 10 of the 14 factors compared between the two stocks.

About Perfect Moment

Perfect Moment Ltd., together with its subsidiaries, owns and operates a fashion brand that offers ski, surf, and activewear collections under the brand name of Perfect Moment. It offers skiwear, outerwear, swimwear and activewear for women, men, and children. The company sells its collections directly to customers through e-commerce and to wholesale accounts, as well as through other sales partnerships. Perfect Moment Ltd. was founded in 1984 and is based in London, the United Kingdom.

About Under Armour

Under Armour, Inc., together with its subsidiaries, engages developing, marketing, and distributing performance apparel, footwear, and accessories for men, women, and youth. The company provides its apparel in compression, fitted, and loose fit types. It also offers footwear products for running, training, basketball, cleated sports, recovery, and outdoor applications. In addition, the company provides accessories, which include gloves, bags, headwear, and socks; and engages in brand licensing, digital subscription, advertising, and other digital business activities. It primarily offers its products under the UNDER ARMOUR, ARMOUR, HEATGEAR, COLDGEAR, HOVR, UA, PROTECT THIS HOUSE, I WILL, ARMOUR FLEECE, and ARMOUR BRA brands. The company sells its products through wholesale channels, including national and regional sporting goods chains, independent and specialty retailers, department store chains, mono-branded Under Armour retail stores, institutional athletic departments, and leagues and teams, as well as independent distributors; and directly to consumers through Brand and Factory House stores, as well as through e-commerce websites. It operates in the United States, Canada, Europe, the Middle East, Africa, the Asia-Pacific, and Latin America. The company was incorporated in 1996 and is headquartered in Baltimore, Maryland.