Contrasting Zumiez (ZUMZ) & Its Rivals

Zumiez (NASDAQ:ZUMZ) is one of 285 publicly-traded companies in the “Specialty Retail” industry, but how does it compare to its rivals? We will compare Zumiez to similar businesses based on the strength of its analyst recommendations, profitability, earnings, institutional ownership, valuation, risk and dividends.

Insider and Institutional Ownership

95.5% of Zumiez shares are owned by institutional investors. Comparatively, 51.9% of shares of all “Specialty Retail” companies are owned by institutional investors. 24.3% of Zumiez shares are owned by company insiders. Comparatively, 20.5% of shares of all “Specialty Retail” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Zumiez and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Zumiez	$929.06 million	$13.38 million	19.97
Zumiez Competitors	$7.06 billion	$386.51 million	31.16

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

Risk & Volatility

Zumiez has a beta of 1.04, suggesting that its share price is 4% more volatile than the S&P 500. Comparatively, Zumiez’s rivals have a beta of 1.91, suggesting that their average share price is 91% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Zumiez and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zumiez	0	3	0	0	2.00
Zumiez Competitors	3683	15611	21635	590	2.46

As a group, “Specialty Retail” companies have a potential upside of 6.64%. Given Zumiez’s rivals stronger consensus rating and higher probable upside, analysts plainly believe Zumiez has less favorable growth aspects than its rivals.

Profitability

This table compares Zumiez and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zumiez	1.36%	3.71%	1.78%
Zumiez Competitors	-3.62%	-13.77%	3.21%

Summary

Zumiez rivals beat Zumiez on 9 of the 13 factors compared.

About Zumiez

Zumiez, Inc. is a specialty retailer focused on apparel, footwear, accessories and equipment associated with action sports and youth-oriented lifestyle culture. Its merchandise assortment includes clothing, shoes, skateboards, snowboards, technical outerwear and related accessories, along with products from established and emerging brands. The company sells products through a network of retail stores and e-commerce websites. Zumiez primarily serves customers in the United States and Canada, while its international operations include Europe through Blue Tomato, an action-sports retailer acquired by Zumiez in 2012.