Head to Head Survey: Hugo Boss (OTCMKTS:BOSSY) versus Tefron (OTCMKTS:TFRFF)

Tefron (OTCMKTS:TFRFF) and Hugo Boss (OTCMKTS:BOSSY) are both consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their risk, earnings, dividends, analyst recommendations, institutional ownership, valuation and profitability.

Earnings & Valuation

This table compares Tefron and Hugo Boss”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tefron	$293.86 million	0.27	$15.11 million	$0.87	7.39
Hugo Boss	$4.66 billion	0.72	$230.99 million	$0.69	14.10

Hugo Boss has higher revenue and earnings than Tefron. Tefron is trading at a lower price-to-earnings ratio than Hugo Boss, indicating that it is currently the more affordable of the two stocks.

Dividends

Tefron pays an annual dividend of $0.12 per share and has a dividend yield of 1.9%. Hugo Boss pays an annual dividend of $0.21 per share and has a dividend yield of 2.2%. Tefron pays out 13.8% of its earnings in the form of a dividend. Hugo Boss pays out 30.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Profitability

This table compares Tefron and Hugo Boss’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tefron	4.31%	15.13%	7.68%
Hugo Boss	5.15%	15.57%	6.00%

Volatility and Risk

Tefron has a beta of 0.68, suggesting that its share price is 32% less volatile than the S&P 500. Comparatively, Hugo Boss has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and price targets for Tefron and Hugo Boss, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tefron	0	0	0	0	0.00
Hugo Boss	0	1	0	0	2.00

Summary

Hugo Boss beats Tefron on 9 of the 12 factors compared between the two stocks.

About Tefron

Tefron Ltd. engages in the design, development, production, marketing, and sale of intimate apparel and activewear, and leisurewear worldwide. The company through Brands and Retail segments. It offers women’s intimate, and active and lounge wear; and men’s underwear, activewear, and baselayer products. Tefron Ltd. was incorporated in 1977 and is headquartered in Misgav, Israel.

About Hugo Boss

Hugo Boss AG, together with its subsidiaries, provides apparels, shoes, and accessories for men and women worldwide. It also offers licensed products comprising of fragrances, eyewear, watches, children’s fashion, equestrian, and cycling. The company markets and sells its products under the BOSS and HUGO brand names through freestanding stores, shop-in-shops, factory outlets, multi-brand stores, and franchise business, as well as online retailers, distribution, and stores. Hugo Boss AG was founded in 1924 and is headquartered in Metzingen, Germany.