Vipshop (VIPS) & Its Peers Head to Head Contrast

Vipshop (NYSE:VIPS) is one of 142 publicly-traded companies in the “Broadline Retail” industry, but how does it compare to its competitors? We will compare Vipshop to related businesses based on the strength of its valuation, profitability, institutional ownership, earnings, dividends, risk and analyst recommendations.

Earnings and Valuation

This table compares Vipshop and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Vipshop	$15.15 billion	$1.04 billion	4.27
Vipshop Competitors	$24.25 billion	$1.71 billion	15.49

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

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Vipshop and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vipshop	1	5	3	1	2.40
Vipshop Competitors	1404	5405	10877	309	2.56

Vipshop currently has a consensus target price of $17.16, indicating a potential upside of 33.10%. As a group, “Broadline Retail” companies have a potential upside of 20.84%. Given Vipshop’s higher possible upside, analysts clearly believe Vipshop is more favorable than its competitors.

Institutional & Insider Ownership

48.8% of Vipshop shares are owned by institutional investors. Comparatively, 44.6% of shares of all “Broadline Retail” companies are owned by institutional investors. 29.5% of Vipshop shares are owned by company insiders. Comparatively, 23.6% of shares of all “Broadline Retail” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Vipshop	9.88%	12.63%	7.09%
Vipshop Competitors	-3.00%	-38.43%	-2.57%

Risk & Volatility

Vipshop has a beta of 0.57, indicating that its share price is 43% less volatile than the S&P 500. Comparatively, Vipshop’s competitors have a beta of 1.69, indicating that their average share price is 69% more volatile than the S&P 500.

Dividends

Vipshop pays an annual dividend of $0.60 per share and has a dividend yield of 4.7%. Vipshop pays out 19.9% of its earnings in the form of a dividend. As a group, “Broadline Retail” companies pay a dividend yield of 17.9% and pay out 73.0% of their earnings in the form of a dividend.

Summary

Vipshop beats its competitors on 8 of the 15 factors compared.

Vipshop Company Profile

Vipshop Holdings Limited operates online platforms in the People's Republic of China. It operates in Vip.com, Shan Shan Outlets, and Others segments. The company offers womenswear, menswear, sportswear and sporting goods, shoes and bags, accessories, baby and children products, skincare and cosmetics, home goods and other lifestyle products, and supermarket products. It also provides internet finance services, including consumer and supplier financing. In addition, the company engages in warehousing, retail business, product procurement, and software development and information technology support activities. The company provides branded products through its vip.com and vipshop.com online platforms, as well as through retail stores. Vipshop Holdings Limited was founded in 2008 and is headquartered in Guangzhou, the People's Republic of China.