Xponential Fitness (NYSE:XPOF – Get Free Report) and GEN Restaurant Group (NASDAQ:GENK – Get Free Report) are both small-cap consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, profitability, valuation, institutional ownership, earnings, dividends and risk.
Insider & Institutional Ownership
58.6% of Xponential Fitness shares are owned by institutional investors. Comparatively, 10.2% of GEN Restaurant Group shares are owned by institutional investors. 24.1% of Xponential Fitness shares are owned by company insiders. Comparatively, 59.1% of GEN Restaurant Group shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
Valuation & Earnings
This table compares Xponential Fitness and GEN Restaurant Group”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Xponential Fitness | $314.88 million | 0.64 | -$33.79 million | ($1.47) | -2.77 |
| GEN Restaurant Group | $212.54 million | 0.29 | -$3.03 million | ($0.83) | -2.23 |
GEN Restaurant Group has lower revenue, but higher earnings than Xponential Fitness. Xponential Fitness is trading at a lower price-to-earnings ratio than GEN Restaurant Group, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent ratings and price targets for Xponential Fitness and GEN Restaurant Group, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Xponential Fitness | 1 | 10 | 1 | 0 | 2.00 |
| GEN Restaurant Group | 1 | 2 | 1 | 0 | 2.00 |
Xponential Fitness currently has a consensus price target of $6.94, indicating a potential upside of 70.66%. GEN Restaurant Group has a consensus price target of $3.00, indicating a potential upside of 62.16%. Given Xponential Fitness’ higher possible upside, research analysts clearly believe Xponential Fitness is more favorable than GEN Restaurant Group.
Profitability
This table compares Xponential Fitness and GEN Restaurant Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Xponential Fitness | -13.64% | -3.40% | -0.66% |
| GEN Restaurant Group | -2.09% | -7.76% | -0.77% |
Risk & Volatility
Xponential Fitness has a beta of 1.07, indicating that its stock price is 7% more volatile than the S&P 500. Comparatively, GEN Restaurant Group has a beta of 0.94, indicating that its stock price is 6% less volatile than the S&P 500.
Summary
Xponential Fitness beats GEN Restaurant Group on 7 of the 12 factors compared between the two stocks.
About Xponential Fitness
Xponential Fitness, Inc., through its subsidiaries, operates as a boutique fitness franchisor in North America. It offers pilates, indoor cycling, barre, stretching, rowing, dancing, boxing, running, functional training, and yoga services under the Club Pilates, Pure Barre, CycleBar, StretchLab, Row House, YogaSix, Rumble, AKT, Stride, and BFT brands. Xponential Fitness, Inc. was founded in 2017 and is headquartered in Irvine, California.
About GEN Restaurant Group
GEN Restaurant Group, Inc. operates restaurants in California, Arizona, Hawaii, Nevada, Texas, New York, and Florida. It offers meats, poultry, and seafood. The company was founded in 2011 and is based in Cerritos, California.
Receive News & Ratings for Xponential Fitness Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Xponential Fitness and related companies with MarketBeat.com's FREE daily email newsletter.
