Aritzia (ATZ) Competitors

Roots (TSE:ROOT) and Aritzia (TSE:ATZ) are both consumer cyclical companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, valuation, community ranking, media sentiment, profitability, risk, dividends, earnings and institutional ownership.

Which has more risk and volatility, ROOT or ATZ?

Roots has a beta of 2.42, suggesting that its stock price is 142% more volatile than the S&P 500. Comparatively, Aritzia has a beta of 1.83, suggesting that its stock price is 83% more volatile than the S&P 500.

Is ROOT or ATZ more profitable?

Aritzia has a net margin of 5.24% compared to Roots' net margin of 1.11%. Aritzia's return on equity of 15.24% beat Roots' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Roots	1.11%	1.58%	2.29%
Aritzia	5.24%	15.24%	5.67%

Do analysts prefer ROOT or ATZ?

Aritzia has a consensus price target of C$67.40, suggesting a potential downside of 1.58%. Given Aritzia's stronger consensus rating and higher probable upside, analysts plainly believe Aritzia is more favorable than Roots.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Roots	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
Aritzia	1 Sell rating(s)	0 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	2.78

Which has preferable earnings & valuation, ROOT or ATZ?

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

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Roots	C$261.62M	0.47	C$2.89M	C$0.07	42.91
Aritzia	C$2.67B	3.06	C$140.00M	C$1.14	60.17

Does the MarketBeat Community favor ROOT or ATZ?

Aritzia received 164 more outperform votes than Roots when rated by MarketBeat users. Likewise, 65.36% of users gave Aritzia an outperform vote while only 59.37% of users gave Roots an outperform vote.

Company	Underperform	Outperform
Roots	Outperform Votes 187 59.37%	Underperform Votes 128 40.63%
Aritzia	Outperform Votes 351 65.36%	Underperform Votes 186 34.64%

Do institutionals & insiders hold more shares of ROOT or ATZ?

51.0% of Roots shares are held by institutional investors. Comparatively, 51.3% of Aritzia shares are held by institutional investors. 14.2% of Roots shares are held by company insiders. Comparatively, 0.9% of Aritzia shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Does the media favor ROOT or ATZ?

In the previous week, Aritzia had 4 more articles in the media than Roots. MarketBeat recorded 4 mentions for Aritzia and 0 mentions for Roots. Aritzia's average media sentiment score of 1.10 beat Roots' score of 0.00 indicating that Aritzia is being referred to more favorably in the news media.

Company	Overall Sentiment
Roots	Neutral
Aritzia	Positive

Summary

Aritzia beats Roots on 16 of the 18 factors compared between the two stocks.