FIGS (NYSE:FIGS) and TJX Companies (NYSE:TJX) Head-To-Head Contrast

FIGS (NYSE:FIGS) and TJX Companies (NYSE:TJX) are both consumer discretionary companies, but which is the better stock? We will compare the two businesses based on the strength of their valuation, risk, institutional ownership, analyst recommendations, earnings, profitability and dividends.

Risk & Volatility

FIGS has a beta of 1.05, meaning that its share price is 5% more volatile than the S&P 500. Comparatively, TJX Companies has a beta of 0.58, meaning that its share price is 42% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for FIGS and TJX Companies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FIGS	0	4	8	0	2.67
TJX Companies	0	5	21	0	2.81

FIGS presently has a consensus price target of $21.62, suggesting a potential downside of 4.89%. TJX Companies has a consensus price target of $172.78, suggesting a potential upside of 27.37%. Given TJX Companies’ stronger consensus rating and higher probable upside, analysts plainly believe TJX Companies is more favorable than FIGS.

Insider & Institutional Ownership

92.2% of FIGS shares are held by institutional investors. Comparatively, 91.1% of TJX Companies shares are held by institutional investors. 27.1% of FIGS shares are held by company insiders. Comparatively, 0.2% of TJX Companies shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares FIGS and TJX Companies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FIGS	9.67%	14.78%	11.22%
TJX Companies	9.73%	56.56%	15.92%

Earnings and Valuation

This table compares FIGS and TJX Companies”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FIGS	$631.10 million	5.99	$34.25 million	$0.38	59.84
TJX Companies	$60.37 billion	2.47	$5.49 billion	$5.41	25.08

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

Summary

TJX Companies beats FIGS on 9 of the 14 factors compared between the two stocks.

About FIGS

FIGS, Inc. designs and sells apparel and accessories for healthcare professionals. Its products include scrubs, underscrubs, lab coats, outerwear, footwear, compression socks and other work-related accessories, with an emphasis on functional design and performance fabrics. The company primarily sells through its e-commerce platform, serving healthcare workers in the United States and internationally. Its offerings are aimed at professionals across a range of medical roles and care settings. FIGS was founded in 2013 by Heather Hasson and Trina Spear.

About TJX Companies

The TJX Companies, Inc. is an off-price retailer that sells apparel, footwear, accessories, home furnishings and other merchandise through stores and e-commerce sites. Its buying approach focuses on offering brand-name and designer goods at prices generally below those of traditional retailers. The company operates retail chains including TJ Maxx, Marshalls, HomeGoods and Sierra in the United States; Winners, HomeSense and Marshalls in Canada; and TK Maxx and Homesense in Europe. Its stores carry a changing selection of products across categories such as clothing, home décor, furniture, beauty and outdoor gear.