A recent analysis of mid-cap consumer staples companies highlights that Ollie’s Bargain Outlet (NASDAQ:OLLI) significantly outperforms National Vision (NASDAQ:EYE) across various financial metrics. The comparison focuses on profitability, earnings, valuation, risk, dividends, and analyst recommendations, providing investors with insights into the two businesses.
According to data from MarketBeat.com, Ollie’s Bargain Outlet currently holds a consensus target price of $142.14, indicating a potential upside of 27.00%. In contrast, National Vision has a target price of $29.00, suggesting a more modest potential upside of 8.29%. This discrepancy has led analysts to favor Ollie’s Bargain Outlet as the more attractive investment option.
Profitability and Earnings Comparison
The profitability metrics show that Ollie’s Bargain Outlet achieves higher revenue and earnings per share (EPS) compared to National Vision. While National Vision trades at a lower price-to-earnings (P/E) ratio, suggesting it may be the more affordable option, the stronger revenue and earnings figures from Ollie’s indicate a more robust business model at this time.
In terms of volatility, Ollie’s Bargain Outlet exhibits a beta of 0.48, reflecting a stock price that is 52% less volatile than the S&P 500. Conversely, National Vision has a beta of 1.38, indicating its stock is 38% more volatile than the market benchmark. This difference in volatility could be a crucial factor for investors concerned about risk.
Company Profiles
Founded on July 29, 1982, Ollie’s Bargain Outlet Holdings, Inc. specializes in the retail of closeouts, excess inventory, and salvage merchandise. The company sells a diverse range of products, including housewares, food items, books, stationery, bed and bath products, floor coverings, electronics, and toys. Its headquarters are located in Harrisburg, Pennsylvania.
On the other hand, National Vision Holdings, Inc., established in 1990, operates as an optical retailer across the United States. The company functions through two segments: Owned & Host and Legacy. It provides eyeglasses, contact lenses, and optical accessories, along with eye exams through various branded stores, including America’s Best and Eyeglass World. The company is headquartered in Duluth, Georgia.
In summary, Ollie’s Bargain Outlet outshines National Vision in 11 out of 13 key comparative factors. Investors looking for stronger growth potential may find Ollie’s the more appealing choice based on the current analysis. As both companies continue to navigate their respective markets, the outlook for Ollie’s remains particularly bright, bolstered by its solid financial performance and analyst confidence.
