Financial Comparison: Tefron (OTCMKTS:TFRFF) versus PVH (NYSE:PVH)

Tefron (OTCMKTS:TFRFF) and PVH (NYSE:PVH) are both consumer discretionary companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, dividends, earnings and valuation.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Tefron and PVH, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tefron	0	0	0	0	0.00
PVH	1	8	7	1	2.47

PVH has a consensus price target of $86.14, suggesting a potential upside of 12.07%. Given PVH’s stronger consensus rating and higher probable upside, analysts plainly believe PVH is more favorable than Tefron.

Volatility & Risk

Tefron has a beta of 0.29, indicating that its stock price is 71% less volatile than the S&P 500. Comparatively, PVH has a beta of 1.72, indicating that its stock price is 72% more volatile than the S&P 500.

Profitability

This table compares Tefron and PVH’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tefron	2.14%	6.72%	3.44%
PVH	1.76%	10.87%	4.58%

Earnings and Valuation

This table compares Tefron and PVH”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tefron	$293.86 million	0.28	$15.11 million	$0.40	16.08
PVH	$8.95 billion	0.39	$25.30 million	$3.16	24.33

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

Insider & Institutional Ownership

97.3% of PVH shares are held by institutional investors. 53.3% of Tefron shares are held by insiders. Comparatively, 1.5% of PVH shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

PVH beats Tefron on 13 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 PVH

PVH Corp. operates as an apparel company in the United States and internationally. The company operates through Tommy Hilfiger North America, Tommy Hilfiger International, Calvin Klein North America, Calvin Klein International, and Heritage Brands Wholesale segments. It designs and markets men's, women's, and children's branded apparel, footwear and accessories, underwear, sleepwear, outerwear, home furnishings, luggage, dresses, suits and swimwear, activewear, sportswear, socks and accessories, outerwear, golf products, footwear, watches and jewelry, eyeglasses and non-ophthalmic sunglasses, jeans wear, performance apparel, intimate apparel, dress shirts, handbags, fragrance, small leather goods, and other related products; and men's and boy's tailored clothing products, duvets, pillows, mattress pads and toppers, and feather beds. The company offers its products under its own brands, such as TOMMY HILFIGER, TOMMY JEANS, Calvin Klein, CK Calvin Klein, Calvin Klein Jeans, Calvin Klein Underwear, and Calvin Klein Performance, as well as various other owned, licensed, and private label brands. It distributes its products at wholesale in department, chain, and specialty stores; through warehouse clubs, mass market, and off-price and independent retailers; and through company-operated full-price, outlet stores, and concession locations; and through digital commerce sites. PVH Corp. was founded in 1881 and is based in New York, New York.