Wacoal (WACLY) and Its Rivals Critical Contrast

Risk and Volatility

Wacoal has a beta of -0.08, indicating that its stock price is 108% less volatile than the S&P 500. Comparatively, Wacoal’s competitors have a beta of 0.87, indicating that their average stock price is 13% less volatile than the S&P 500.

Institutional and Insider Ownership

65.8% of shares of all “TEXTILE – APPAREL” companies are held by institutional investors. 0.8% of Wacoal shares are held by insiders. Comparatively, 17.9% of shares of all “TEXTILE – APPAREL” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Dividends

Wacoal pays an annual dividend of $3.14 per share and has a dividend yield of 1.9%. Wacoal pays out 73.2% of its earnings in the form of a dividend. As a group, “TEXTILE – APPAREL” companies pay a dividend yield of 2.0% and pay out 40.9% of their earnings in the form of a dividend. Wacoal lags its competitors as a dividend stock, given its lower dividend yield and higher payout ratio.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Wacoal	4.06%	3.39%	2.48%
Wacoal Competitors	3.32%	-34.41%	5.65%

Earnings and Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Wacoal	$1.14 billion	$46.13 million	38.81
Wacoal Competitors	$6.37 billion	$620.41 million	7.47

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

Summary

Wacoal competitors beat Wacoal on 8 of the 11 factors compared.

About Wacoal

Wacoal Holdings Corp. engages in the manufacturing, wholesale, and retail sale of intimate apparel, outerwear, sportswear, and other textile products and accessories in Japan, Asia, Oceania, the United States, and Europe. The company operates through Wacoal Business (Domestic), Wacoal Business (Overseas), Peach John Business, and Other Businesses segments. It offers intimate apparel mainly women’s foundation wear, lingerie, nightwear and children’s underwear; and outerwear, sportswear, and other textile products and accessories. The company also engages in the restaurant, cultural and service-related businesses; and manufacture and sale of mannequins and fixtures, interior design work, and other textile-related businesses. It offers products through department stores, general merchandisers, and other general retailers in Japan, as well as directly managed retail stores, E-commerce websites, and distributors in Japan and internationally. Wacoal Holdings Corp. was founded in 1946 and is headquartered in Kyoto, Japan.