Boot Barn (NYSE:BOOT) vs. Sportsman’s Warehouse (NASDAQ:SPWH) Head to Head Analysis

Sportsman’s Warehouse (NASDAQ:SPWH) and Boot Barn (NYSE:BOOT) are both retail/wholesale companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Institutional & Insider Ownership

83.0% of Sportsman’s Warehouse shares are held by institutional investors. 3.8% of Sportsman’s Warehouse shares are held by company insiders. Comparatively, 0.7% of Boot Barn shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

Sportsman’s Warehouse has a beta of 0.41, meaning that its share price is 59% less volatile than the S&P 500. Comparatively, Boot Barn has a beta of 1.69, meaning that its share price is 69% more volatile than the S&P 500.

Profitability

This table compares Sportsman’s Warehouse and Boot Barn’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sportsman’s Warehouse	-4.17%	-10.68%	-2.39%
Boot Barn	10.02%	18.15%	9.82%

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Sportsman’s Warehouse and Boot Barn, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sportsman’s Warehouse	1	1	2	1	2.60
Boot Barn	0	2	12	0	2.86

Sportsman’s Warehouse currently has a consensus price target of $2.58, suggesting a potential upside of 124.64%. Boot Barn has a consensus price target of $226.92, suggesting a potential upside of 50.25%. Given Sportsman’s Warehouse’s higher probable upside, analysts clearly believe Sportsman’s Warehouse is more favorable than Boot Barn.

Earnings & Valuation

This table compares Sportsman’s Warehouse and Boot Barn”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sportsman’s Warehouse	$1.21 billion	0.04	-$50.06 million	($1.30)	-0.88
Boot Barn	$2.25 billion	2.03	$225.88 million	$7.35	20.55

Boot Barn has higher revenue and earnings than Sportsman’s Warehouse. Sportsman’s Warehouse is trading at a lower price-to-earnings ratio than Boot Barn, indicating that it is currently the more affordable of the two stocks.

Summary

Boot Barn beats Sportsman’s Warehouse on 11 of the 15 factors compared between the two stocks.

About Sportsman’s Warehouse

Sportsman’s Warehouse Holdings, Inc. engages in the retail of sporting and athletic goods. Its products include hunting and shooting, archery, fishing, camping, boating accessories, optics and electronics, knives and tools, and footwear. The company was founded in 1986 and is headquartered in West Jordan, UT.

About Boot Barn

Boot Barn Holdings, Inc., a lifestyle retail chain, operates specialty retail stores in the United States. The company's specialty retail stores offer western and work-related footwear, apparel, and accessories for men, women, and kids. It offers boots, shirts, jackets, hats, belts and belt buckles, handbags, western-style jewelry, rugged footwear, outerwear, overalls, denim, and flame-resistant and high-visibility clothing. The company also provides gifts and home merchandise. The company also sells its products through e-commerce websites, including bootbarn.com; sheplers.com; and countryoutfitter.com. The company was formerly known as WW Top Investment Corporation and changed its name to Boot Barn Holdings, Inc. in June 2014. Boot Barn Holdings, Inc. was founded in 1978 and is based in Irvine, California.