Luvu Brands (OTCMKTS:LUVU) vs. Natural Health Trends (NASDAQ:NHTC) Head to Head Contrast

Natural Health Trends (NASDAQ:NHTC) and Luvu Brands (OTCMKTS:LUVU) are both small-cap consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, risk, dividends, institutional ownership, earnings, profitability and valuation.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Natural Health Trends and Luvu Brands, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Natural Health Trends	1	0	0	0	1.00
Luvu Brands	0	0	0	0	0.00

Profitability

This table compares Natural Health Trends and Luvu Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Natural Health Trends	-0.29%	-0.40%	-0.24%
Luvu Brands	-1.49%	-14.33%	-4.08%

Volatility & Risk

Natural Health Trends has a beta of 0.81, suggesting that its share price is 19% less volatile than the S&P 500. Comparatively, Luvu Brands has a beta of 1.67, suggesting that its share price is 67% more volatile than the S&P 500.

Earnings and Valuation

This table compares Natural Health Trends and Luvu Brands”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Natural Health Trends	$42.96 million	0.85	$570,000.00	($0.01)	-317.00
Luvu Brands	$24.69 million	0.12	-$450,000.00	($0.01)	-3.79

Natural Health Trends has higher revenue and earnings than Luvu Brands. Natural Health Trends is trading at a lower price-to-earnings ratio than Luvu Brands, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

10.1% of Natural Health Trends shares are held by institutional investors. 9.6% of Natural Health Trends shares are held by insiders. Comparatively, 45.9% of Luvu Brands shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Natural Health Trends beats Luvu Brands on 8 of the 11 factors compared between the two stocks.

About Natural Health Trends

Natural Health Trends Corp., a direct-selling and e-commerce company, provides personal care, wellness, and lifestyle products under the NHT Global brand. The company offers wellness products, including liquid, encapsulated, tableted and powder dietary and nutritional supplements, vitamins, and minerals; and herbal products comprising herbal supplements. It also provides beauty products, such as age-defying and hydrating cleansers, creams, lotions, serums, and toners; and lifestyle products, which include weight management and energy enhancing supplements, as well as topical gels. In addition, the company offers home appliances; and daily products, such as oral care, hair care, and body care. It sells its products directly to consumers, as well as through an e-commerce retail platform in the United States, Canada, Cayman Islands, Mexico, Peru, Hong Kong, Taiwan, China, Singapore, Malaysia, Thailand, South Korea, Japan, India, Russia, Kazakhstan, and Europe. The company was formerly known as Florida Institute of Massage Therapy, Inc. and changed its name to Natural Health Trends Corp. in June 1993. Natural Health Trends Corp. was incorporated in 1988 and is headquartered in Tsim Sha Tsui, Hong Kong.

About Luvu Brands

Luvu Brands, Inc. designs, manufactures, and markets various consumer lifestyle products worldwide. The company offers sensuality and intimacy products under the Liberator brand; and bed therapy products, which assistive in relieving medical conditions associated with acid reflux, surgery recovery, and chronic pain under the Avana brand. It also provides daybeds, sofas, and beanbags made from virgin and re-purposed polyurethane foam under the Jaxx brand. In addition, the company is involved in the purchase and resale of products to e-merchants, retailers, and e-commerce sites, as well as provision of contract manufacturing and fulfillment services. It markets its products through various websites comprising liberator.com, jaxxliving.com, and avanacomfort.com, as well as through distributors, retailers, and e-tailers across various channels of adult, mass market, drug, and specialty accounts. The company was formerly known as Liberator, Inc. and changed its name to Luvu Brands, Inc. in November 2015. Luvu Brands, Inc. was incorporated in 1999 and is headquartered in Atlanta, Georgia.