Critical Survey: Vera Bradley (VRA) and Michael Kors (KORS)
Vera Bradley (NASDAQ: VRA) and Michael Kors (NYSE:KORS) are both retail/wholesale companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, valuation, earnings, analyst recommendations, profitability, risk and dividends.
This is a summary of current recommendations and price targets for Vera Bradley and Michael Kors, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
Institutional & Insider Ownership
62.5% of Vera Bradley shares are owned by institutional investors. Comparatively, 85.6% of Michael Kors shares are owned by institutional investors. 39.6% of Vera Bradley shares are owned by company insiders. Comparatively, 6.0% of Michael Kors shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Risk and Volatility
Vera Bradley has a beta of 0.66, meaning that its stock price is 34% less volatile than the S&P 500. Comparatively, Michael Kors has a beta of 0.17, meaning that its stock price is 83% less volatile than the S&P 500.
Valuation & Earnings
This table compares Vera Bradley and Michael Kors’ top-line revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Vera Bradley||$454.65 million||0.86||$7.01 million||$0.60||18.37|
|Michael Kors||$4.49 billion||2.23||$552.50 million||$4.24||15.51|
Michael Kors has higher revenue and earnings than Vera Bradley. Michael Kors is trading at a lower price-to-earnings ratio than Vera Bradley, indicating that it is currently the more affordable of the two stocks.
This table compares Vera Bradley and Michael Kors’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Michael Kors beats Vera Bradley on 10 of the 14 factors compared between the two stocks.
Vera Bradley Company Profile
Vera Bradley, Inc., together with its subsidiaries, designs, manufactures, and sells women's handbags, luggage and travel items, fashion and home accessories, and gifts. It operates through two segments, Direct and Indirect. The company offers totes, crossbodies, satchels, clutches, backpacks, baby bags, and lunch bags; accessories, including wallets, wristlets, eyeglass cases, scarves, and various technology accessories; and travel products, such as rolling luggage, cosmetics, and travel and packing accessories, as well as travel bags comprising duffel and weekend bags. It also provides home products that include throw blankets, beach towels, and comforters, as well as items, which comprise mugs and tumblers; and other products, including apparel/footwear, stationery, merchandising, and gift card products, as well as freight and licensing services. The company sells its Vera Bradley branded products through its full-line and factory outlet stores in the United States; verabradley.com, an online outlet site; and direct-to-consumer eBay sales, as well as its annual outlet sale in Fort Wayne, Indiana. As of February 3, 2018, it operated 109 full-line stores and 51 factory outlet stores. The company also sells its Vera Bradley branded products to approximately 2,400 specialty retail locations located in the United States, as well as department stores, national accounts, third party e-commerce sites, and third-party inventory liquidators, as well as through licensing agreements. Vera Bradley, Inc. was founded in 1982 and is headquartered in Roanoke, Indiana.
Michael Kors Company Profile
Michael Kors Holdings Limited design, markets, distributes, and retails branded women's apparel and accessories, and men's apparel. The company operates in three segments: Retail, Wholesale, and Licensing. The Retail segment is involved in the sale of women's apparel; men's apparel; accessories, which include handbags and small leather goods, such as wallets; footwear; and licensed products comprising watches, jewelry, fragrances, beauty products, and eyewear. It operates collection stores and lifestyle stores, including concessions and outlet stores. As of April 1, 2017, this segment operated 398 retail stores in the United States, Canada, and Latin America, including concessions; and 429 international retail stores, including concessions in Europe and Asia, as well as e-commerce sites in the United States, Canada, France, Germany, Italy, Spain, Switzerland, the United Kingdom, China, and Japan. The Wholesale segment sells accessories, such as handbags and small leather goods, footwear, and women's and men's apparel to department stores and specialty shops in the United States, Canada, Latin America, Europe, and Asia. The Licensing segment licenses its trademarks on products, such as fragrances, beauty, eyewear, belts, cold weather accessories, jewelry, watches, coats, men's suits, swimwear, socks, furs, and ties, as well as licenses rights to third parties to sell the company's products in various geographical regions, such as Brazil, the Middle East, Eastern Europe, Asia, and Australia. The company sells its products under the names of MICHAEL KORS, MICHAEL MICHAEL KORS, and various other related trademarks and logos. Michael Kors Holdings Limited was founded in 1981 and is based in London, the United Kingdom.
Receive News & Ratings for Vera Bradley Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Vera Bradley and related companies with MarketBeat.com's FREE daily email newsletter.