Financial Comparison: Savers Value Village (NYSE:SVV) & Tefron (OTCMKTS:TFRFF)

Tefron (OTCMKTS:TFRFF) and Savers Value Village (NYSE:SVV) are both small-cap consumer discretionary companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, dividends, valuation, risk, institutional ownership, analyst recommendations and earnings.

Valuation & Earnings

This table compares Tefron and Savers Value Village”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tefron	$293.86 million	0.27	$15.11 million	$0.87	7.39
Savers Value Village	$1.54 billion	0.84	$29.03 million	($0.01)	-824.60

Savers Value Village has higher revenue and earnings than Tefron. Savers Value Village is trading at a lower price-to-earnings ratio than Tefron, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

98.8% of Savers Value Village shares are held by institutional investors. 53.3% of Tefron shares are held by insiders. Comparatively, 3.1% of Savers Value Village shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Risk and Volatility

Tefron has a beta of 0.71, suggesting that its stock price is 29% less volatile than the S&P 500. Comparatively, Savers Value Village has a beta of 1.02, suggesting that its stock price is 2% more volatile than the S&P 500.

Profitability

This table compares Tefron and Savers Value Village’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tefron	4.31%	15.13%	7.68%
Savers Value Village	-0.11%	9.18%	2.01%

Analyst Recommendations

This is a breakdown of current ratings and price targets for Tefron and Savers Value Village, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tefron	0	0	0	0	0.00
Savers Value Village	0	4	4	1	2.67

Savers Value Village has a consensus price target of $13.67, suggesting a potential upside of 65.74%. Given Savers Value Village’s stronger consensus rating and higher probable upside, analysts plainly believe Savers Value Village is more favorable than Tefron.

Summary

Savers Value Village beats Tefron on 9 of the 15 factors compared between the two stocks.

About Tefron

Tefron Ltd. engages in the design, development, production, marketing, and sale of intimate apparel and activewear, and leisurewear worldwide. The company through Brands and Retail segments. It offers women’s intimate, and active and lounge wear; and men’s underwear, activewear, and baselayer products. Tefron Ltd. was incorporated in 1977 and is headquartered in Misgav, Israel.

About Savers Value Village

Savers Value Village, Inc. sells second-hand merchandise in retail stores in the United States, Canada, and Australia. It operates stores under the Savers, Value Village, Value Village Boutique, Village des Valeurs, Unique, and 2nd Avenue brands. The company purchases secondhand textiles, including clothing, bedding, and bath items; shoes; accessories; housewares; books; and other goods from non-profit partners and then processes, selects, prices, merchandises, and sells them in its stores. It serves retail and wholesale customers. The company was formerly known as S-Evergreen Holding LLC and changed its name to Savers Value Village, Inc. in January 2022. Savers Value Village, Inc. was founded in 1954 and is based in Bellevue, Washington.