Comparing Frasers Group (OTCMKTS:SDIPF) and OneWater Marine (NASDAQ:ONEW)

Frasers Group (OTCMKTS:SDIPF) and OneWater Marine (NASDAQ:ONEW) are both consumer cyclical companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, profitability, analyst recommendations, dividends, institutional ownership, valuation and risk.

Profitability

This table compares Frasers Group and OneWater Marine’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Frasers Group	N/A	N/A	N/A
OneWater Marine	-2.83%	11.55%	3.01%

Earnings & Valuation

This table compares Frasers Group and OneWater Marine’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Frasers Group	N/A	N/A	N/A	$0.30	26.61
OneWater Marine	$1.94 billion	0.20	-$38.59 million	($3.87)	-6.25

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

Analyst Recommendations

This is a breakdown of recent recommendations for Frasers Group and OneWater Marine, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Frasers Group	0	0	0	0	N/A
OneWater Marine	0	2	4	0	2.67

OneWater Marine has a consensus price target of $32.40, suggesting a potential upside of 32.79%. Given OneWater Marine’s higher possible upside, analysts clearly believe OneWater Marine is more favorable than Frasers Group.

Institutional & Insider Ownership

22.5% of Frasers Group shares are owned by institutional investors. Comparatively, 94.3% of OneWater Marine shares are owned by institutional investors. 18.7% of OneWater Marine shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

OneWater Marine beats Frasers Group on 7 of the 10 factors compared between the two stocks.

About Frasers Group

Frasers Group Plc, together with its subsidiaries, retails sports and leisure clothing, footwear, equipment, accessories, and apparel through department stores, shops, and online in the United Kingdom, Europe, the United States, Asia, Oceania, and internationally. The company operates through four segments: UK Sports Retail, Premium Lifestyle, International Retail, and Wholesale & Licensing. It is also involved in the wholesale distribution and sale of sports and leisure clothing, footwear, equipment, and apparel; and licensing activities. The company offers its products under its own and third party brands, which include Slazenger, Everlast, Lonsdale, Karrimor, 18montrose, Evans Cycles, Flannels, Frasers, Game, House of Fraser, Jack Wills, Sofa.com, Sports Direct, USC, Cruise, and van mildert. The company was formerly known as Sports Direct International plc and changed its name to Frasers Group Plc in December 2019. Frasers Group Plc was founded in 1982 and is headquartered in Shirebrook, the United Kingdom. Frasers Group plc operates as a subsidiary of MASH Holdings Limited.

About OneWater Marine

OneWater Marine Inc. operates as a recreational boat retailer in the United States. The company offers new and pre-owned recreational boats and yachts, as well as related marine products, such as parts and accessories. It provides boat repair and maintenance services. In addition, the company arranges boat financing and insurance; and other ancillary services, including indoor and outdoor storage, and marina services. Further, it provides rental of boats and personal watercraft services. OneWater Marine Inc. was founded in 2014 and is headquartered in Buford, Georgia.