Critical Contrast: Abercrombie & Fitch (NYSE:ANF) & Asos Pls (OTCMKTS:ASOMY)

Asos Pls (OTCMKTS:ASOMY) and Abercrombie & Fitch (NYSE:ANF) are both retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, institutional ownership, valuation, dividends and profitability.

Valuation & Earnings

This table compares Asos Pls and Abercrombie & Fitch”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Asos Pls	$3.23 billion	0.15	-$388.99 million	N/A	N/A
Abercrombie & Fitch	$4.95 billion	0.97	$566.22 million	$10.43	10.00

Abercrombie & Fitch has higher revenue and earnings than Asos Pls.

Profitability

This table compares Asos Pls and Abercrombie & Fitch’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Asos Pls	N/A	N/A	N/A
Abercrombie & Fitch	10.07%	38.01%	14.98%

Volatility and Risk

Asos Pls has a beta of 2.24, suggesting that its share price is 124% more volatile than the S&P 500. Comparatively, Abercrombie & Fitch has a beta of 1.17, suggesting that its share price is 17% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings for Asos Pls and Abercrombie & Fitch, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Asos Pls	1	1	0	1	2.33
Abercrombie & Fitch	0	6	6	0	2.50

Abercrombie & Fitch has a consensus price target of $118.20, indicating a potential upside of 13.36%. Given Abercrombie & Fitch’s stronger consensus rating and higher probable upside, analysts clearly believe Abercrombie & Fitch is more favorable than Asos Pls.

Summary

Abercrombie & Fitch beats Asos Pls on 9 of the 11 factors compared between the two stocks.

About Asos Pls

ASOS Plc operates as an online fashion retailer in the United Kingdom, the United States, Australia, France, Germany, Spain, Italy, Sweden, the Netherlands, Denmark, Poland, and internationally. It offers womenswear and menswear products. The company sells its products under the ASOS Design, ASOS Edition, ASOS Luxe, ASOS 4505, Collusion, Reclaimed Vintage, Topshop, Topman, Miss Selfridge, HIIT, AsYou, Dark Future, UNRVLLD/SPPLY, Crooked Tongues, Daysocial, Actual, and Weekend Collective brands, as well as through third-party brands. It is also involved in the employer of marketing staff and payment processing businesses, as well as acts as a vehicle for issue of convertible bonds. ASOS Plc was incorporated in 2000 and is headquartered in London, the United Kingdom.

About Abercrombie & Fitch

Abercrombie & Fitch Co. engages in the retail of apparel, personal care products, and accessories. The firm operates through following geographical segments: Americas, EMEA and APAC. The Americas segment includes operations in North America and South America. The EMEA segment includes operations in Europe, the Middle East and Africa. The APAC segment includes operations in the Asia-Pacific region, including Asia and Oceania. The company was founded by David Abercrombie in 1892 and is headquartered in New Albany, OH.