Clorox (NYSE:CLX) and Ollie’s Bargain Outlet (NASDAQ:OLLI) Head-To-Head Comparison

Ollie’s Bargain Outlet (NASDAQ:OLLI) and Clorox (NYSE:CLX) are both consumer staples companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, valuation, profitability, analyst recommendations, dividends, institutional ownership and risk.

Institutional and Insider Ownership

78.5% of Clorox shares are owned by institutional investors. 0.8% of Ollie’s Bargain Outlet shares are owned by company insiders. Comparatively, 0.6% of Clorox shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Ollie’s Bargain Outlet and Clorox”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ollie’s Bargain Outlet	$2.27 billion	2.89	$199.76 million	$3.62	29.59
Clorox	$7.10 billion	2.17	$810.00 million	$6.12	20.80

Clorox has higher revenue and earnings than Ollie’s Bargain Outlet. Clorox is trading at a lower price-to-earnings ratio than Ollie’s Bargain Outlet, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current recommendations and price targets for Ollie’s Bargain Outlet and Clorox, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ollie’s Bargain Outlet	0	4	12	0	2.75
Clorox	4	11	1	0	1.81

Ollie’s Bargain Outlet presently has a consensus price target of $142.14, suggesting a potential upside of 32.72%. Clorox has a consensus price target of $118.73, suggesting a potential downside of 6.72%. Given Ollie’s Bargain Outlet’s stronger consensus rating and higher probable upside, equities analysts plainly believe Ollie’s Bargain Outlet is more favorable than Clorox.

Profitability

This table compares Ollie’s Bargain Outlet and Clorox’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ollie’s Bargain Outlet	8.81%	12.86%	8.29%
Clorox	11.17%	383.01%	14.57%

Volatility and Risk

Ollie’s Bargain Outlet has a beta of 0.51, suggesting that its stock price is 49% less volatile than the S&P 500. Comparatively, Clorox has a beta of 0.59, suggesting that its stock price is 41% less volatile than the S&P 500.

Summary

Clorox beats Ollie’s Bargain Outlet on 8 of the 14 factors compared between the two stocks.

About Ollie’s Bargain Outlet

Ollie’s Bargain Outlet Holdings, Inc. is a holding company, which engages in the retail of closeouts, excess inventory, and salvage merchandise. It offers overstocks, package changes, manufacturer refurbished goods, and irregulars. The company’s products include housewares, food, books and stationery, bed and bath, floor coverings, electronics and toys. Ollie’s Bargain Outlet Holdings was founded by Mark Butler, Mort Bernstein, Oliver Rosenberg and Harry Coverman on July 29, 1982, and is headquartered in Harrisburg, PA.

About Clorox

The Clorox Company manufactures and markets consumer and professional products worldwide. It operates through four segments: Health and Wellness, Household, Lifestyle, and International. The Health and Wellness segment offers cleaning products, such as laundry additives and home care products primarily under the Clorox, Clorox2, Scentiva, Pine-Sol, Liquid-Plumr, Tilex, and Formula 409 brands; professional cleaning and disinfecting products under the CloroxPro and Clorox Healthcare brands; professional food service products under the Hidden Valley brand; and vitamins, minerals and supplement products under the RenewLife, Natural Vitality, NeoCell, and Rainbow Light brands in the United States. The Household segment provides cat litter products under the Fresh Step and Scoop Away brands; bags and wraps under the Glad brand; and grilling products under the Kingsford brand in the United States. The Lifestyle segment offers dressings, dips, seasonings, and sauces primarily under the Hidden Valley brand; natural personal care products under the Burt's Bees brand; and water-filtration products under the Brita brand in the United States. The International segment provides laundry additives; home care products; water-filtration systems; digestive health products; grilling products; cat litter products; food products; bags and wraps; natural personal care products; and professional cleaning and disinfecting products internationally primarily under the Clorox, Ayudin, Clorinda, Poett, Pine-Sol, Glad, Brita, RenewLife, Ever Clean and Burt's Bees brands. It sells its products primarily through mass retailers; grocery outlets; warehouse clubs; dollar stores; home hardware centers; drug, pet, and military stores; third-party and owned e-commerce channels; and distributors, as well as a direct sales force The Clorox Company was founded in 1913 and is headquartered in Oakland, California.